BAG Ventures, a new venture capital firm founded by Bonita Stewart and Jackson Georges Jr. has closed an $11.3 million fund targeting early-stage AI startups. The firm's investment thesis rests on a straightforward bet: enterprise customers will pay only for AI products that demonstrate tangible value and integrate into existing workflows.
Stewart spent 17 years at Google, including nearly a decade as a vice president. Georges previously worked at GE Healthcare and Google before becoming a partner at CapitalG, Alphabet's growth fund.
The fund has deployed capital into 10 companies, including the software firm SXD, the AI travel agent BizTrip, and the agentic reasoning platform Nomadic. Individual checks range from $100,000 to $500,000. BAG Ventures plans to deploy the remaining capital over the next two years.
Georges said the experimental sandbox phase of enterprise AI is ending. "Enterprises are now heavily scrutinizing unit economics, moving past open-ended chatbots to demand deterministic solutions that execute work and integrate deeply into legacy systems," he said. Examples include automated code reviews and legal document parsing.
The shift reflects a hardening of AI procurement standards. Instead of per-user seat licenses, Georges expects enterprises to buy based on demonstrated value and measurable results—a structural change that favors startups built around specific use cases rather than horizontal tools.
BAG Ventures' limited partners include Google, Nvidia, Amazon and Snowflake operators, plus more than 150 others across various companies. Stewart previously served on the board of Gradient Ventures, Google's early-stage AI fund, and is a limited partner in the Female Founders Fund and the Operator Collective.
