A new era of company building
We have witnessed firsthand that the company-building ecosystem is fundamentally broken. For years, many companies chased hypergrowth and “unicorn” valuations at any cost. The result? An industry defined by extreme odds. Less than 1 in 10 startups provides a positive return to its investors.
One symptom of this broken model is the growing disconnect between 'headline valuations' and real outcomes. Over the past decade, venture funding poured fuel on a boom that inflated over a thousand unicorns. The unicorn era that once promised endless growth has revealed itself to be deeply unsustainable; exposing misaligned incentives where blitzscaling and lofty valuations were prized over sustainable business fundamentals. The system incentivized pursuing scale and hype over resilience and real product-market fit. AI has now made it clear that these dynamics are broken and that the old playbook has run its course. It’s time for a fundamental shift in how we build startups.
The rise of “Autonomous Ventures”
Driven by breakthroughs in AI; we are witnessing the rise “autonomous businesses.” These are ventures designed to leverage AI as a core advantage in how they operate, innovate, and scale. AI co-pilots and automation can handle a growing share of tasks. Small teams can now achieve what once required armies of employees.
It’s enabling faster innovation cycles and iteration. Today, we can prototype, test, and refine ideas far more efficient. With Sqratch, we aim to lay the the groundwork of this new venture class, today.
AI operational model
We believe that embracing AI at the heart of your operational model isn’t just a tech upgrade, it’s the key to built more scalable, capital-efficient, and defensible from day one. The biggest risk would be to continue with business-as-usual. Therefore, we believe companies should choose a different path. We’re proving, one venture at a time, that there is a better way to build.
We invite founders, companies, investors, and tech leaders to join us in building this future. Together, we can build new era of ventures. One where bold ideas truly have the best chance to transform into lasting, impactful companies. Let's start from Sqratch!
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© Sqratch Ventures. 2025