Beyond VCs and Angels: Why India’s Richest Families Are Becoming the Smartest Startup Investors

In a world where venture capitalists chase valuations and private equity firms strategize for exits, there exists a quieter yet far more enduring form of investment—one that’s guided not just by returns, but by purpose, legacy, and values. Welcome to the world of family offices, the silent powerhouses behind India’s most prominent business families.

In this exclusive conversation for Inside Investor’s Mind by TICE, Sreepriya N, CEO of Entrust Family Office, decodes how India’s new-generation family offices are shaping the future of patient, purpose-led investing. With over two decades of experience in consumer, retail, corporate, and private banking, Sreepriya has advised some of India’s most influential business families and ultra-high-net-worth individuals (UHNWIs) on succession planning, governance frameworks, and intergenerational wealth transition.

What follows is an insightful deep-dive into how family offices think, invest, and evolve—offering a rare glimpse inside the investor’s mind.

A Detailed Excerpt on Family Offices

The Genesis: From Wealth Creation to Wealth Preservation

“When we started Entrust, it was as a SEBI-registered investment advisory firm,” recalls Sreepriya. “But within a year, we realized that India’s business families didn’t just need someone to manage their wealth—they needed someone to preserve it, transition it, and make it meaningful.”

This realization led to the creation of Entrust’s multi-family office model. Unlike traditional wealth managers, family offices like Entrust go beyond portfolios—they orchestrate the entire ecosystem around family wealth. That includes estate planning, next-gen mentoring, governance frameworks, tax and legal compliance, real estate, and cross-border transactions.

Today, Entrust manages over 80 families, scaling from a single-family setup to a comprehensive multi-family office. “We are a conflict-free model,” Sreepriya emphasizes, “because our loyalty lies only with the client, not with any product or fund house.”

A Patient and Purpose-Driven Investment Philosophy

So, what truly sets family offices apart from institutional investors or traditional wealth managers?

“Family offices are long-term investors. We represent patient capital,” Sreepriya explains. “Our approach isn’t about quick exits—it’s about investments driven with purpose.”

Family offices don’t chase trends; they build conviction. The decision to invest often begins with an intimate dialogue between the promoters and the investors. If there’s alignment in vision, values, and process, the investment proceeds—backed by rigorous due diligence.

“Unlike wealth managers who follow a sell-side approach—pitching products—a family office follows a buy-side mindset,” she adds. “We become partners in the investment journey.”

Inside the Investor’s Mind: What Drives Family Offices

Across India’s top business families, one trait stands out—meaningful investments.

“Families are looking beyond monetary returns,” Sreepriya says. “They seek value creation—something that contributes to the ecosystem, brings innovation, and aligns with their family’s purpose.”

Entrust calls this philosophy ‘wise wealth’—the idea that money isn’t an end in itself but a means to create impact. “We believe wealth must have purpose and meaning. That’s the essence of wise wealth,” she shares.

Family Offices & Startups: The Untapped Equation

Interestingly, while startups often turn to venture capital or angel investors, they’re beginning to discover the power of family offices.

“The trend is changing,” says Sreepriya. “In the last four to five years, more entrepreneurs are approaching family offices directly.”

However, challenges persist. Many single-family offices lack in-house diligence capabilities to assess startups thoroughly. “Investing in a private company means understanding legal, financial, and technical complexities,” she explains.

As a result, some families prefer co-investment alongside established VC or PE funds—leveraging their due diligence expertise. “At Entrust, we have a full in-house team—investment advisors, legal experts, analysts—so we can evaluate opportunities independently,” she adds.

This holistic approach gives multi-family offices an edge over traditional wealth managers, who often operate with limited legal or strategic expertise.

New Generation, New Outlook

If the first generation built empires and the second scaled them, today’s third generation is reinventing the playbook.

“The current generation is far more flexible and global in its outlook,” says Sreepriya. “They’ve studied abroad, seen different systems, and are open to new ideas and asset classes—but they remain deeply rooted in family values.”

The new generation is carving out separate corpuses from operational businesses, channeling them into diversified wealth-creation strategies. While they embrace new opportunities—from tech and ESG to alternate assets—they remain mindful of their family’s core principles.

“Family offices are not just about protecting wealth; they’re about preserving values,” she stresses.

Governance: The Cornerstone of the Modern Family Office

As wealth grows, so do complexities. Global exposure, cross-border operations, and multiple family members across geographies make governance non-negotiable.

“Earlier, one trusted accountant or CA managed everything. That’s not sustainable anymore,” Sreepriya says. “Today, families are moving from a people-dependent to a process-driven model.”

Modern family offices are setting up robust governance frameworks—with checks, balances, and institutional oversight. “The new generation insists on governance—it’s their way of institutionalizing family wealth management,” she notes.

Entrust’s Edge: Relationship First, Conflict Free Always

What truly differentiates Entrust in India’s crowded wealth management landscape is its relationship-first philosophy.

“Both my co-founder Rajmore Krishnan and I believe that dealing with money is about dealing with people,” says Sreepriya. “Money and emotions are deeply intertwined—especially in Indian families.”

Entrust operates with empathy and foresight, guiding families through emotional, financial, and generational transitions. “We see ourselves not just as advisors but as custodians of legacy,” she reflects.

With families growing in wealth, complexity, and global presence, Entrust’s model—anchored on trust, empathy, and structure—stands out as a blueprint for the evolving Indian family office ecosystem.

The Takeaway: From Silent Custodians to Strategic Partners

The Indian family office is no longer a passive wealth custodian—it’s an active architect of generational legacy.

In Sreepriya’s words, “We’re at a cusp where wealth is growing exponentially, but so are complexities. A family office that combines empathy with governance, purpose with performance, will be the real differentiator in this era of wise wealth.”