A Y Combinator graduate has launched a $34 million fund to invest in startups from the accelerator

Kulvir Bhogal, a two-time Y Combinator alum, founded the venture fund Phosphor Capital, which invests exclusively in startups from the accelerator. Since its launch in 2024, the fund has raised $34 million and has already invested in more than 200 companies. One of the investors is Y Combinator CEO Garry Tan.

About 6% of YC companies become unicorns, and a quarter of them grow into decacorns. He himself participated in the program twice—first with the project Auctomatic, and later with the housing rental service Zeus Living. This startup raised over $150 million and was valued at $200 million, but in 2023 it was acquired by competitor Blueground.

After leaving the company, Bhogal decided to focus on supporting new projects, especially in the field of artificial intelligence. The fund became possible thanks to the support of former Zeus investors and partners who knew him from his past experience. The bet is placed not only on startups but also on the new leadership of Y Combinator.

Phosphor invests amounts ranging from $100,000 to $500,000. Among the first companies in the portfolio are the AI platform Circleback and the automation tool Gumloop, which have already raised Series A rounds.

Source: TechCrunch