For venture capital firms and angel syndicates, managing risk is nothing new. But in 2025, cyber risk has emerged as a blind spot across many investment portfolios — one that can quietly erode valuation, restrict insurance options, and jeopardise exits.
The smartest VCs are now rethinking how they assess, monitor, and improve the cyber maturity of the businesses they back. Not just to protect value — but to build resilience as a competitive advantage.
The Problem: Hidden Risk, No Metrics
Startups often prioritise speed over structure. That’s expected. But when your portfolio includes dozens of companies — each handling sensitive data, relying on SaaS infrastructure, or working with third parties — the cumulative exposure adds up.
And too often, investors:
⚠️ Don’t know which portfolio companies have cyber insurance
⚠️ Can’t say whether suppliers are being vetted
⚠️ Find out about breaches via the press — not the founders
⚠️ Lack a clear, consistent way to assess cyber maturity across deals
From Risk to Resilience: The Shift in VC Thinking
Resilience goes beyond protection. It’s about ensuring companies can:
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Detect issues early
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Contain impact
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Communicate clearly
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Continue operating during disruption
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Recover quickly — and legally
That capability can now affect:
💷 Insurance premiums and insurability
💼 Buy-side interest during M&A
📊 Regulatory exposure
🔎 Investor reputation
As one GP put it: “We now ask about cyber readiness in every due diligence call. If it’s weak, it’s a deal risk.”
What VCs Are Doing Differently in 2025
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Introducing cyber clauses into term sheets – Founders commit to minimum security measures post-raise
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Assessing supplier ecosystems – Especially in SaaS and data-heavy businesses
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Tracking cyber KPIs across the portfolio – From MFA adoption to vulnerability resolution time
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Supporting insurance readiness – Helping startups navigate coverage and claims
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Providing security guidance and tooling – Some even subsidise shared services or group scanning
How Cyber Tzar Supports VCs and Their Portfolios
Cyber Tzar offers a fast, investor-friendly way to understand portfolio risk:
✅ Scan and benchmark each company’s public-facing infrastructure
✅ Identify which startups lack basic controls or have known exposures
✅ Group results by vertical, maturity, or risk score
✅ Support founders with remediation plans, reports, and insurer handover packs
✅ Track improvements quarter to quarter — without adding burden to the startup team
We help investors turn cyber into an area of strategic value — not guesswork.
📊 Want to understand the cyber health of your portfolio?
Start a VC-focused risk scan at cybertzar.com
