Ashneer Grover Tells VC Firms to 'Right Size' Themselves

Ashneer Grover, co-founder and previous managing director of finance platform BharatPe, has encouraged venture capital and investment organisations to "right-size" themselves first before instructing their portfolio companies and startups to do so.

Grover's scathing assessment of venture capital organisations came as numerous prominent investment firms, including Sequoia Capital, Lightspeed Venture Partners, Craft Ventures, and Y Combinator, delivered memoranda and footnotes to their portfolio companies and startups on how to weather the current crisis.

"It's ironic that VCs are singing aright sizing' of portfolio companies in chorus. The fact is VCs firms need to right size their own teams by 80%. I still haven't figured why you need more than 5 people in a VC firm. If they were tight themselves - portfolio cos won't be so far off," tweeted Grover who is also a famous judge on Shark Tank India.

Sequoia has prepared a 52-slide presentation titled 'Adapting to Endure' for the founders of its portfolio firms, as first reported by The Information.

The deck read, "Our intention in gathering today is not to be a beacon of gloom. But we also believe that winning in the years ahead is going to depend on making hard, decisive choices confronting uncomfortable challenges that may have been masked during the exuberance and distortions of free capital over the past two years."