Evaluating Venture Studios

Fresh off a vacation in Greece, I jumped right back into an NYU Helpdesk session this week—one of my favorite ways to spend an afternoon.

In just two hours, I get to meet with four startups, rapid-fire problem-solving to help them move forward as quickly as possible.

One of today’s founders was weighing whether to take investment from a venture studio,

So we broke down the pros and cons to help them make an informed decision.

Here’s the quick and dirty version:

When a Venture Studio Makes Sense

✅ You’re a first-time founder still figuring things out
✅ You’re struggling to find co-founders or traction on your own
✅ You’d prefer hands-on support and structured oversight while you build

The Tradeoffs

❌ Studios generally take a lot of equity
❌ They provide less capital than typical VC funds
❌ You’ll likely have less control over key decisions

My general rule of thumb:

🔹 If you’re feeling lost and need serious guidance, a studio can be a great launchpad.​
🔹 If you already have a strong vision and a rough plan (say, 60% clarity), and just need capital to execute—skip the studio.

Locking into a venture studio means:
➡️ A high-equity partner who has a big say in your business
➡️ Pre-set service providers you may or may not need or like
➡️ Foundational infrastructure shared across multiple startups, shifting based on investor priorities
➡️ A declining level of hands-on help as the portfolio grows (esp. if the funds dry up)

For some founders, a venture studio is the right move.

But if you don’t need one,

Keeping your optionality

Can be the better bet.

​Enjoyed reading this article? Subscribe to receive more via email here. 

Know a Founder or Entrepreneur who'd love this content? Please share it!