Who do most startups fail? VC legend Explains || Pankaj Makkar, Bertelsmann India Investments

How do top VCs actually think about investing, risk, and building companies? In this episode, we sit down with Pankaj Makkar (Managing Director, Bertelsmann India Investments) to break down the real frameworks behind venture capital, from how investors pick winners to how capital shapes entire industries. From starting his journey in investments at 21 to leading one of India’s most respected early-growth funds, Pankaj shares the principles, decisions, and insights that have guided him over a decade of investing. We go deep into: • How he navigated his way into venture capital early — and what most people get wrong about the path • Why Bertelsmann chose a contrarian Series B–C strategy when no one else was doing it • The exact framework used to evaluate startups — from founder-market fit to risk classification • How top VCs think about portfolio construction, failure rates, and the “4X return rule” • What separates good founders from great ones at scale • How venture capital has evolved in India — from copycat models to deep-tech and rural innovation • The balance between data and intuition when making investment decisions • Building a long-term, founder-first (but founder-fair) venture institution • What “real” portfolio support looks like beyond capital and intros If you’re a founder, operator, or someone trying to understand how venture capital actually works behind the scenes, this episode will fundamentally change how you think about building and backing companies. ⸻ Timestamps: 00:00 – Introduction 01:56 – Getting into venture capital early 09:04 – Building a unique presence in the market 09:20 – Early strategy & contrarian approach 19:12 – What kind of companies they invest in 19:39 – Key factors & evaluation frameworks 32:39 – How the model evolved over time 40:00 – Evaluating founders & businesses 51:03 – Building a strong VC institution 1:00:45 – What real portfolio support looks like 1:08:24 – Outro #IndianStartups #indiansiliconvalley