The study looked at why Venture Capital firms team up to invest in startups. They analyzed data from 2,500 investments in Germany and found that VC firms mainly co-invest to access more resources. They also found that firms like to spread their investments across different startups to reduce risk. Interestingly, both financial and resource-driven reasons play a role in their decision to invest together. The study also showed that less experienced firms are more likely to team up with others for investments.