Fireside Ventures gets ready to raise $230 million for fourth fund

By Admin

23 Apr, 2025

Fireside Ventures, a leading homegrown consumer-focused venture capital firm, is gearing up to raise $230 million (approximately ₹2,000 crore) for its fourth investment fund (Fund IV). This move marks a strategic continuation of Fireside’s vision to support innovative consumer brands while also expanding its investor base.

Staying Consistent with Growth

The amount being raised for Fund IV is consistent with the $225 million raised in 2022 for Fireside’s third fund, signaling the firm’s commitment to maintaining a focused and measured approach amidst a dynamic investment landscape. The upcoming fund will also be Fireside’s largest to date, highlighting its growing stature and ambition within India’s venture capital ecosystem.

A Strategic Shift Towards Global LPs

Traditionally, Fireside Ventures has relied heavily on domestic Limited Partners (LPs)—the fund sponsors who invest in venture capital funds. However, for Fund IV, the firm is actively looking to bring in foreign investors. According to insiders, this shift is aimed at attracting global capital that is eager to tap into India’s thriving startup ecosystem. This strategy is expected to not only fuel Fireside’s growth but also enhance its brand visibility on the global stage.

Regulatory Preparations and Investor Engagements

Fireside has already applied to register Fund IV with SEBI (Securities and Exchange Board of India), showing that regulatory groundwork is well underway. Although the date for the fund’s first close remains undecided, the firm has begun engaging with existing and potential LPs to drive momentum for the fundraise.

Proven Track Record

Since its inception in 2017, Fireside Ventures has built a strong portfolio, having backed 53 consumer brands including high-profile names like Honasa Consumer (parent of Mamaearth), Boat, Yoga Bar, and The Sleep Company. With over ₹3,000 crore in assets under management, the firm has established itself as a key player in nurturing early-stage consumer startups in India.

Fundraising Momentum in the VC Ecosystem

Fireside’s announcement comes at a time when venture capital firms across India are in fundraising mode. Recent examples include A91 Partners raising $665 million for its third fund, Accel securing $650 million for its eighth India fund, and Bessemer Venture Partners locking in $350 million for its second India-specific fund.

Interestingly, while VCs like Bessemer and A91 have expanded the size of their funds, others like Fireside and Accel have opted to keep their fund sizes similar to previous rounds. This reflects a growing sentiment among venture capitalists to remain prudent. As one industry insider notes, larger funds come with greater pressure to deploy capital efficiently and deliver higher returns — a task that’s easier said than done.

Conclusion

As Fireside Ventures prepares to close in on $230 million for Fund IV, the firm continues to stand as a beacon for India’s consumer startup space. By looking beyond domestic boundaries for LP support and building on a solid investment legacy, Fireside is positioning itself for a new phase of impactful and inclusive growth.