A '''startup studio''', also known as a '''startup factory''', or a '''startup foundry,''' or a '''venture studio''', is a studio-like company that aims at building several companies in succession. This style of business building is referred to as "parallel entrepreneurship".<ref name="Lapowsky-2014" /> A startup studio is an organization that comes up with disruptive ideas and products and builds businesses alongside industry-relevant executives. The startup studio will oversee the startups from the onset of investment and will help guide the company well beyond product launch. A startup studio hires founders (either external or internal entrepreneurs who will direct the startup through “exit”). These founders come in and run each market-tested company, providing the startup with top-level mentorship, all underpinned by an enormous amount of support provided by the studio.<ref>{{Cite web|last=Kronenberger|first=Craig|date=2021-02-23|title=How the Startup Studio Business Model Is Changing the Startup Economy as We Know It|url=https://medium.com/startup-studio-insider/how-the-startup-studio-business-model-is-changing-the-startup-economy-as-we-know-it-4a121a670007|access-date=2021-03-10|website=Medium|language=en}}</ref>
A '''startup studio''', also known as a '''startup factory''', or a '''startup foundry,''' or a '''venture studio''', is a studio-like company that aims at building several companies in succession. This style of business building is referred to as "parallel entrepreneurship".<ref name="Lapowsky-2014" />
==History==
==History==
Revisionasof18:11,13January2022
Astartup studio, also known as a startup factory, or a startup foundry, or a venture studio, is a studio-like company that aims at building several companies in succession. This style of business building is referred to as "parallel entrepreneurship".[1]
History
Idealab, founded by Bill Gross in 1996, was one of the first to introduce the 'incubator industry' to the field of technology startups, and has started over 75 companies.[2] Idealab was founded to test many ideas at once and turn the best of them into companies while also attracting the human and financial capital necessary to bring them to the market.[3][4]
The startup studio trend gained momentum beginning in 2008. As of 2015, there were over 65 startup studios across the world, of which 17 had been built since 2013.[5]
Unlike business incubators and accelerators, venture builders generally don't accept applications concerning their portfolio of companies, and the companies instead "pull business ideas from within their own network of resources and assign internal teams to develop them."[6]
According to VentureBeat, Nova Spivack was "part of the early technologists who pioneered the venture production studio model. He wrote about the model in 2011 at a time when most of its production elements were still in gestation. Nova actually invented the Venture Production Studio term, calling it a 'new approach to building startups.'"[6]
Investor venture studios bring in early-stage external startups and help them grow by providing them both funds and expertise. Studios Betaworks and Science, Inc. fall in this category.[citation needed]
At the very end of the spectrum, some VC firms are growing closer to the startup studio model by intervening very operationally in the startup they invest; for instance Andreessen Horowitz and Google Ventures. However, this participation is usually limited to some areas, such as recruitment, fund raising, or PR relations.[10]
In 2012, Jack Abraham started a new venture capital fund, Atomic, that combined the investor and co-founder roles to create what he called a studio fund model.[11]
