Tag: Startup Ecosystem

The Impact and Role of Shark Tank India on the Startup Ecosystem: A Critical Analysis

The Indian startup ecosystem has experienced significant growth, driven by a surge in entrepreneurial activities, increased access to venture capital, and a burgeoning culture of innovation. One of the factors contributing to this evolution is the emergence of television shows like Shark Tank India, an Indian adaptation of the popular American reality TV show Shark Tank which has become a prominent platform for entrepreneurs to showcase their innovative ideas, seek investments, and gain exposure to a wide audience.

From Boardrooms to Drawing Rooms
Change of Mindset
Media Visibility
Secure Investments
‘Amrit Kaal’ or Golden Period for Young Entrepreneurs
Democratize Funding
Startup Culture in India
New Contacts and Networks
Credibility of Shark Tank India
Reasons for Rejection by Sharks
Future Aspects

From Boardrooms to Drawing Rooms

Words like startups, stake dilution, seed funding, and ROIs have become common topics of day-to-day drawing room discussions after the Shark Tank India Season 1 was broadcasted in 2021. Commoners and the Indian middle class have become more interested in discussing the pros and cons of running a startup, coming up with new ideas, ownership, and entrepreneurship has become a dream come true.

Change of Mindset

Gone are the days when kids or collegians used to hesitate to discuss their minds about opening their enterprise. I can talk of myself, my 4-year-old son aims to sell (wholesale) ration like dal, rice, and millets after being in touch with a few uncles who have started their venture of selling fully organic grocery, food grains, pulses, and millets. I will not say that it is directly because of Shark Tank India, I would say it is a ripple effect. His uncles have taken inspiration from the varied episodes of the reality show running on prime time at 9 pm on Sony Liv.

The mindset of middle-class income groups has slowly evolved and they are open to the idea of owning an enterprise or business of their own. Thanks to television, OTT platforms, rapidly evolving social media, and brand publicity of a platform called ‘SHARK TANK INDIA’ that has made its space in every drawing room.

Media Visibility

The show that invites applications from the whole country has helped people feel the media and its power. Shark Tank India episodes have significantly boosted the visibility of startups by showcasing their products, services, commodities, and supplies to a more than 140 crore audience within India. This exposure has immensely helped firms, SMEs, potential investors, customers, and partners.

The show has not only opened a gateway for increased visibility, it has opened a vast arena for investments, mutual cooperation, and development for the entire business community throughout the world. One can get orders, deals, and new credit lines after an entrepreneur’s story has been aired on a national TV channel. Thanks to the National Democratic Alliance-led Indian government which has shown the dream of ‘Startup India’ to the whole world. The Narendra Modi-led government has helped streamline policies, rules, and regulations to invite more and more investments in the small-scale sector.

Indian government held hands with entrepreneurs in the way of Startup India, Digital India, Make in India, and many more such programs. Today, India has 3rd largest startup ecosystem in the world, and it is expected to witness year-on-year (YoY) growth of 12-15% consistent annual growth.

Secure Investments

The show promotes secure investments from successful and experienced investors so-called Sharks, who have dealt with the know-how of beginning a venture, taking required approvals, complying with the norms, and facing all the obstacles during their entrepreneurial journey.

Their insights, experiences, advice, and unbiased feedback can be very valuable in shaping the direction of upcoming enterprises.

‘Amrit Kaal’ or Golden Period for Young Entrepreneurs

The stories of Sharks rather successful investors or businessmen/businesswomen cite a wonderful example for the decades to come and the upcoming generation who will be witnessing the ‘Amrit Kaal’ an auspicious period of 25 years between India’s 75th and 100th independence anniversaries. Finance Minister Nirmala Sitharaman has also signified the same and gave enough emphasis on funding for startups by announcing a corpus fund of Rs 1 lakh crore for the country’s tech-savvy youth in her Budget Speech on February 1.

Democratize Funding

The injection of funds is crucial for a startup’s growth and development and would become a huge deterrent if the demands of the business are not met. The show has given enough room for commoners to unhesitatingly pitch for funding on a social platform irrespective of the repercussions involved. The show has given the power to a hard-working entrepreneur to dream big, aim high, and be persistent in their effort to boost the company’s operations and focus on profitability regardless of enough funding at home.

Who is the Richest Shark in Shark Tank India? | Net Worth of Entire Cast of Shark Tank India

Shark Tank India season 4 is set to return with a panel of amazing judges. Check out the sharks’ net worth and the fees charged by them. Explore the entire cast of Shark Tank India judges here.

StartupTalkyDamini Bhandary

Startup Culture in India

There have been 320 pitches across two seasons of the show. The show’s third season has just aired on January 22. Sharks have invested Rs 128 crore in 176 of 320 startups, of which one-third went to food and beverage companies and personal care products. The categories featured on the show tend to reflect emerging trends in the Indian space, such as eCommerce, food and beverage, health and wellness, and education.

The reality show, inspired by its US counterpart, has helped budding businessmen to start a new narrative of being prudent, and gutsy enough to present their business ideas and seeking investment from a panel of seasoned investors or ‘sharks.’

This may contribute to a more vibrant economy, startup ecosystem, and healthy work culture in India. If most of the young minds think for their venture wherever necessary, just imagine what would happen.

With too much supply of ‘startups’, the competition would rise.

Every household will have one entrepreneur just like India has one engineer in every household.

Winning in the startup ecosystem would become tougher and tougher with time.
And, people will start dropping off once the market finds an equilibrium.

At the same time, it may be dangerous to have so many business houses, what would the private sector do? I am sure that everyone will have their niche, uniqueness, and brand supremacy that will help them thrive and sustain in the ever-evolving, technologically-equipped market. The presence of an innovator or an upcoming CEO in the show can serve as a market validation. Maybe just by being in the show, or securing investments on the Shark Tank platform, one can gain enough traction, confidence of customers, flashy deals, and attractive offerings, which the entrepreneur might have not even thought of.

New Contacts and Networks

The entrepreneurs featured or participants on Shark Tank India will gain access to media, different networks, and websites where they can generously promote their products and supplies. A network of successful entrepreneurs, investors, and mentors would be keen to join hands with the budding entrepreneurs. This network would not only provide ongoing support, guidance, and connections but also threads that will be tied beyond the show as well.

Shark Tank India Season 4 has been launched on 6th January 2025.

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Credibility of Shark Tank India

The success rate of any startup funding would depend on how true and reliable are the people (sharks) who are emerging as judges on the show. One may be very sweet and welcoming on television but may be very different in actual behavior and vice versa. What is shown on the screen may not be the entire truth of Shark Tank India. The stories, experiences, and personal behaviors matter a lot when it comes to running a successful show. A lot of participants have not talked about behind-the-scenes stories of Shark Tank India. It won’t be a surprise if tomorrow someone comes up and says that he/she was not paid a penny, which was promised on air. There have been stories in the media where participants have complained of not receiving the promised share from many sharks.

In the latest Season of Shark Tank India, the sharks are exploring extra safeguards for their equity stakes by considering royalties based on sales.

In the last two seasons of the reality show, where startups seek investments from experienced entrepreneurs, two kinds of deals were on the table—equity-based and debt-based. The latest add-on –royalty––is the fresh ingredient incorporated to enhance the overall flavor of the deal, making the culinary experience even more appetizing.

One can say that these are prosperous times for sharks but challenging times for entrepreneurs. In the previous two seasons, no shark invested more than 10% of their net worth. One in five deals involved debt to keep the money secure. To avoid risks, the sharks largely remain restricted to their domain expertise.

Season One Round-up

Reasons for Rejection by Sharks

While the initial pitch on the show may create excitement and interest, the due diligence process that occurred afterward often revealed more about the companies, sometimes the sharks pulled back from their initial offers.

There may be a case that sharks who are posing as judges, and their firms, may not be doing very well in terms of finances. Their own companies may be making losses, have overvaluation, or have not been earning enough profits. Still, their identity as a shark is undeterred, their business acumen, innovative ideas, intelligence, and vision can’t be questioned.

Future Aspects

It’s essential to note that the impact of Shark Tank India on the startup ecosystem will depend on various factors, including the success stories that emerge from the show, the strategies employed by the entrepreneurs post-investment by sharks, market policies, and the overall economic and business climate within the country.

Educational Backgrounds of All the Judges on Shark Tank India

In this post, we’ll look at each Shark Tank India judge’s educational qualification and how they’ve applied their expertise in the real world.

StartupTalkyRia Sahni

FAQs

What is Shark Tank India analysis?

Shark Tank India is a business reality show where entrepreneurs pitch ideas to investors for funding. It boosts startup growth and inspires innovation but faces criticism for focusing on drama and high valuations. Despite this, many startups, have grown after the show.

What is the role of Shark Tank in promoting startups?

Shark Tank India helps startups by providing funding, mentorship, and visibility. It inspires innovation, connects entrepreneurs with investors, and boosts business growth through media exposure. Many startups have scaled quickly after appearing on the show.

What is the impact of Shark Tank India?

Shark Tank India has supported startups by offering funding, guidance, and exposure. It has sparked innovation, promoted business ideas, and motivated aspiring entrepreneurs. Several startups have expanded rapidly after featuring on the show, establishing it as an important platform for growth in India.

January 8, 2025
Nearly 50% of Investors Think Modi Govt 3.0 Will Benefit Startups

Most investors in India’s startup scene are optimistic about the future as Prime Minister Narendra Modi’s National Democratic Alliance (NDA) forms the government for the third time in a row.

According to a survey by a well-known media house, nearly half of the venture capitalists and angel investors surveyed think that the outcome of the Lok Sabha 2024 elections will boost investor confidence in India’s startup scene.

Some 18% of participants are taking a wait-and-see approach to their investments after the elections, while 32% think the elections will have no effect on market sentiment. Only 4% of investors expressed the opinion that sector-specific measures will be implemented as a result of the elections.

Reactions From Investors

Sharing his views on the development, Karna D Shinde, Strategic Investor and Advisor stated, “The Modi government’s visionary approach towards nurturing India’s startup ecosystem has sparked a new era of innovation and opportunity. Through initiatives like Startup India and Digital India, the administration has simplified regulatory frameworks, enhanced funding avenues, and fostered an environment where creativity and entrepreneurship can thrive. By establishing incubation centres, promoting skill development, and easing tax burdens, the government has made significant strides in transforming India into a global startup hub.”

“The focus on digital connectivity and international collaborations further underscores the commitment to integrating India’s startup landscape with global standards. Such holistic and structured support from the government has instilled confidence among investors, catalyzing the growth of innovative enterprises across the nation. The convergence of policy support, infrastructure development, and a renewed entrepreneurial spirit is creating an ecosystem where startups are not only surviving but thriving. This optimism is not just about the present government’s initiatives, but about the long-term vision of positioning India at the forefront of global innovation. With these foundational efforts, the future of India’s startup ecosystem looks promising, driving economic growth, and creating millions of jobs, thereby contributing to a resilient and self-reliant economy,” he added further.

Marking some of the initiatives of the present government, Mahankali Srinivas Rao (MSR), CEO, T-Hub said, “The abolition of the Angel Tax for all classes of investors is a pivotal move that will create a more supportive environment for angel investments, ultimately benefiting startups and paving the way for India to become a global innovation hub. The establishment of an INR 1,000 crore venture capital fund dedicated to boosting the space sector is another forward-thinking initiative. Moreover, the introduction of the Anusandhan National Research Fund and a financing pool of INR 1 lakh crore to spur private sector-driven research and innovation is a game-changer. At T-Hub, we are excited about these developments and the positive impact they will have on our vibrant startup ecosystem. These initiatives will provide startups with the necessary resources and support to thrive, innovate, and contribute significantly to India’s economic growth and technological advancement.”

Reactions From Startup Sector

Amit Bansal, Founder, BharatLoan has put his views forward and commented, “We are thrilled by the optimism among investors regarding the Modi government’s efforts to bolster the Indian startup ecosystem. This positive sentiment is a testament to the government’s progressive policies and initiatives aimed at fostering innovation and entrepreneurship. A robust startup ecosystem not only drives economic growth but also creates job opportunities and encourages technological advancements. Such a dynamic environment is essential for nurturing the next generation of innovators and entrepreneurs.”

Gaurav Bhagat, Founder, of Gaurav Bhagat Academy also shared positive feedback, he said, “Certainly, investors are feeling optimistic. One major victory for startups was the abolition of the angel tax, which had been a top demand. Additionally, key policy decisions like the creation of an INR 1,000 crore venture capital (VC) fund and the reduction of TDS on e-commerce transactions from 1% to 0.1% highlight the government’s strong support for startups.”

Insights of Indian Startup Ecosystem & Startup Investment

Indian Startup Ecosystem is growing hugely. Get an Insights of Indian Startup Ecosystem by Neeraj Tyagi, Co-founder of WE Founder Circle.

StartupTalkyPreeti Karna

August 8, 2024
India Vs China – Comparing The Startup Ecosystem

Ecosystem, a word that looks fancy and grand to many but holds a lot of significance among those who understand the gravity of it. As we talk about startups, the ecosystem and the network become important, as those define the overall growth. India and China, thus, are no different, as the ecosystem continues to play an important role in the growth stories of both nations. While China has always been the flying horse of the startup world with steadfast innovations, India holds the key to unprecedented growth, led by our young workforce and skill set on the world stage. We looked at various key aspects of this one-on-one tussle. Here’s what we found out:

India Grows Because India Matters…
The Rise of Indian Startups, Firms, and Businesses – Turbo Mode On!
The Chinese Behemoth Ft. TikTok
Right Reforms Bring in the Right Transformations
Future of the Nations’ Startups – What Lies Ahead!

Why India’s Tech Unicorns Are Breaking Records

India Grows Because India Matters…

Despite the much-talked-about funding winter, the Indian Startup Ecosystem seems like a force on steroids, as the nation and its ecosystem continue to churn out unicorns at will. The 3rd largest startup ecosystem in the world, after US & China — gone are the days when the world used to sleep upon India’s importance in the startup arena. India is producing unicorns faster than ever, with 60% of the total 108 unicorns being produced in the last 20 months. That’s some progress right there!

The ‘State of Indian Startup Ecosystem Report 2022’ laid emphasis on the fact that India’s ecosystem is blessed with the availability of raw talent, resources, and a young workforce, with an expected 250+ unicorns by 2025, second only to the United States. This is quite impressive as it showcases a whopping 140% increase to the present number over the course of the next three years. This turbo mode for startups has been made possible owing to the emergence of a connected and self-sustaining ecosystem, with government initiatives playing an equally important role.

China has around 174 unicorns, but the growth of startups in China has been tainted by the coronavirus and the authoritative norms of the government. India, on the other hand, is on a growth spree, with three-fifths of the world’s unicorns originating from India in the last 20 months. The unicorns have raised close to $95 billion in capital over the last 20 years, valued at in excess of $341 billion, which automatically gives weightage to India’s love letter to the global startup scene. India is here to stay. India is important. India matters!

The Rise of Indian Startups, Firms, and Businesses – Turbo Mode On!

Growth in the Number of Investment Deals in Startups Across India from 2015 to 2021

If you weren’t living under a rock all this while, you would know that back in 2008-2009, post the fall of Lehman Brothers and the ‘Great Recession’, the opportunities were ripe, but the growth was tough. Who would’ve imagined that Indian startups would get to unicorn status almost half the time when compared to the 2010 scenario?

As far as the cities are concerned, Bengaluru continues to be among the top 30 cities globally for startups and unicorns, graciously placed at the 22nd spot, whereas Mumbai and Delhi made their entry into the Top 40. This comes across as a huge feat for the Indian Startup scene, however, there is still a long way to go, as the numbers are still pretty considerate when it comes to China. Beijing is still the fifth-largest global startup hub on the planet.

However, things are different when it comes to the turnaround time for a startup to be a unicorn. India is churning out unicorns in the span of less than a year, with Mensa Brands achieving the coveted status in six months. On the other hand, GlobalBees, took eight months to bag the prestigious tag. BYJU’S, the most valuable Indian unicorn startup and also one of the most valuable edtech companies in the world, is leading the wave with a whopping $22 billion valuation, followed by the food delivery company Swiggy ($11 billion) and fantasy sports platform Dream11 ($8 billion).

List of 107 Unicorn Startups in India | Top Unicorns in India

India has already seen 107 unicorn startups. Here’s an exhaustive list of all Indian Unicorn Startup Companies including those that joined the unicorn club in 2022.

StartupTalkyAnik Banerjee

The Chinese Behemoth Ft. TikTok

ByteDance, the parent company of Tiktok is the most valuable startup on the planet valued at a jaw-dropping $300 billion! And that is when the actual valuation plummeted by a whopping 100 billion dollars. China’s incredible industrial setup coupled with the technological edge and availability of cheaper manpower has led to China occupying the center stage when it comes to frugal innovation.

Also, with the emergence of new-age startups like Pinduoduo, a group-buying eCommerce platform, and DiDi Global, a cab-hailing solution, the Chinese juggernaut continues to thrive.

Right Reforms Bring in the Right Transformations

Investment Value of Chinese Investors in Indian Startups (2019-2021)

What’s behind this unprecedented rally of growth in investor funding, quick turnarounds, and sky-rocketing valuations?

The answer is — The Government.

China has been consistently pulled down by zero COVID policies, an extra conservative approach in battling the problems, the continuous onslaught of sanctions upon growing businesses, and an all-powerful ruling party that pretends to know it all and listens to none. The lack of founder-friendly reforms has started backfiring in the recent past, and as a result, one can ascertain a decline in the pace at which startups are being produced in the country.

On the other hand, India continued to produce impeccable results on top of the government’s support and reforms that favor startups and founders, overall. Even the Indian Prime Minister, Narendra Modi, applauded India’s undisputed rise in the startup scene.

With concise frameworks and the noble ‘Startup India’ schemes, the sun continues to rise upon Indian startups as they continue to be the icing on the cake when it comes to growth stories from a developing nation. E-commerce, Fintech, and Healthcare continue to prevail in the Indian markets, with 3 out of every 7 unicorns in the country coming from the E-commerce and Fintech industries. The supportive legal framework has helped protect the interests of the consumer and helped India lead the wave of sustainable growth in the startup ecosystem.

Future of the Nations’ Startups – What Lies Ahead!

China’s growth, which was doomed by COVID and other adjoining factors, is expected to be back on track by the end of 2022 and the beginning of 2023. With the availability of raw materials, technology, infrastructure, and two of the most powerful tech hubs on the planet—Shenzhen and Beijing, the Indian neighbor is expected to catch up with India’s pace of unicorn creation in the coming times.

However, when it comes to India, the growth has been interconnected, largely due to the vision that was planted back in 2018-19 when a number of Indian startups attained public status with their IPOs, including the likes of Paytm, Zomato, and Freshworks, being catalysts for the change. Since then, Indian startups have continued to grow by leaps and bounds, pushing the limits of how businesses work in India. The momentum was carried on to 2021 and then continued on to 2022, with $11.7 billion raised during the first half of the year itself. A total of 14 unicorns were already created by the first half, and the number has gone up to 22 by November 2022.

Conclusion

The Indian story is different, as it is about the realization of founders about their work, reimagining their limits, and thus unlocking greater growth opportunities in the Indian startup scene, one that deserves a lot of praise for the way India has continued to grow despite the pandemic and the funding winter.

FAQs

How many unicorn startups are there in India?

As of November 2022, there are a total of 108 unicorn startups in India.

Which are the most powerful tech hubs in the world?

Shenzhen and Beijing are known to be the most powerful tech hubs in the world.

Which Indian cities are among the top 40 startup cities in the world?

Bengaluru continues to be among the top 30 cities globally for startups and unicorns, graciously placed at the 22nd spot, whereas Mumbai and Delhi made their entry into the top 40.

April 18, 2023

How Social Impact is Evolving the Startup Ecosystem

A startup ecosystem is a creative environment to promote entrepreneurship and innovation. These days, startups are taking different approaches with a variety of innovative ideas and products to create Social Impact around the world. They are focussed towards creating social impacts on several sectors – Technology, Education, Health, and others.

Aspire Impact is a Delhi based Impact Rating & Certification initiative. The startup is focused on leadership and ecosystem development in social and environmental impact space.

StartupTalky interviewed Amit Bhatia, Founder & CEO of Aspire Impact to get insights on how he got the idea of building an Impact Rating Startup.

Here is an excerpt of Interview with Amit Bhatia, Founder & CEO- Aspire Impact

In 2020, after concluding my term (2017-2020) as Inaugural CEO of G7’s Global Steering Group for Impact Investment, I was convinced that we will not nudge the Impact Movement past its tipping point unless we get the world to agree on a common standards-based impact measurement system. Whereas there were couple of efforts underway around the world, as former Founding CEO of India’s Impact Investors Council, I believed I could deliver a breakthrough by making Impact empirical and comparable between companies. I believed that if a standardised impact measurement system, which subsumes ESG & Sustainability ratings is created, we will contribute solutions for the apparently intractable challenges like poverty and inequity and make corporations a partner in the solution. It was with this inspiration we created Aspire Impact, a start-up with an ambitious and audacious goal of creating world and India’s first Impact Rating venture.

The ESG, Sustainability & Impact Movement has already attracted $59 trillion worldwide, ~40% of global Assets Under Management (AUM) and is an unstoppable trend. Despite the pressing need to address social and environmental challenges, India has attracted only -1% or $51 billion of this global capital pool: $30 billion in Responsible or ESG Investments, $10.3 billion of sustainable or green investments, and, $10.8 billion of impact investments. The root cause is lack of corporate alignment with impact, as there is no mandatory Sustainability or Impact Reporting framework.

BRSR (Business Responsibility & Sustainability Reporting) for the top 1000 listed companies, India’s version of ESG, with >130 disclosures, requires much synthesis to be valuable. Moreover, the environment is opportune, and the need is clear, as a recent HBS publication of environment costs for top 250 Indian companies shows India Inc. is gravely uncompetitive in the global Impact economy:

Company (2018 or 2019 data)	Environment Cost ($mn)	Net Profit ($mn)	Company (2018 or 2019 data)	Environment Cost ($mn)	Net Profit ($mn)
Tata Power	126,389	365	TCS	4,101	118
Reliance Industries	7,503	4,797	Infosys	2,006	63
State Bank of India	145	99	Godrej Consumer	239	21

Indian corporations must therefore prepare for the era of Impact Accounting, beyond ESG and must adapt to the era of social impact assessment, ratings, and reporting.

On the basis of historical evidence: Financial Inclusion, Renewable Energy, Agriculture, Health, Technology and Education have received the most impact investments over the last decade. However, in the decade ahead- the fastest growth will be delivered by Tech for Good sectors where technology intersects with traditional impact sectors like EdTech, HealthTech and AgriTech.

We believe, India’s immediate goal should be growth with job creation and we have empirical evidence that Impact sectors create 10-14 x more jobs for each $1 mn invested. Therefore, India must focus on three areas:

Catalyse Tech for Good sectors – CleanTech, EdTech, HealthTech, AgriTech, FinTech & FemTech which promise steepest growth, from $65 bn to $177 bn market between 2020 to 2025;
Support specific investment themes. Our analysis of five sectors (Agriculture, BFSI, Education, Water/Waste & Disabilities) shows India can create ~50 million new jobs in 5 years in Dairy Farming (22 mn) Tech-enabled K-12 (3 mn); Digital Consumer Savings Products (1.3 mn) Supplemental & Extra-Curricular Education (1 mn); Student Housing Solutions (1 mn); Neo-Banking (0.6 mn); & Digital Lending (0.5 mn);
Promote Micro Entrepreneurship in rural India, i.e., job creators not job seekers as with small micro loans of INR 2-3 Lacs, a micro-entrepreneur can create self-sufficiency while creating 1-3 local jobs!

How are the key industry leaders supporting the concept of Aspire impact?

Indian leaders realise that to deepen and widen the Impact Movement in India, the leaders must do the following:

Enhance corporate alignment with impact, and in absence of regulatory Sustainability or Impact Reporting, voluntarily publish Impact Reports, to slowly but surely build an Impact DNA for an era of Impact Capitalism for risk management, brand building, fund-raising, future competitiveness and authentic citizenship;
Support research & knowledge, education & training, and, awareness & advocacy about the sector. Last year, 207 India Inc. leaders came together for co-authoring and publishing 8 Impact Future Project reports- a rare collaboration. This year, in 2022, another group will take the initiative forward; and,
Solve the missing piece of the Impact Economy jigsaw- i.e., a standards-based Impact Measurement framework. In 2022, along with partners like Capgemini & University of Chicago’s ESG Centre, 25+ CXOs will release a standards-based framework of Impact Measurement for India- another rare first!

February 12, 2022

Milan Ganatra on Investment in the Indian Startup Ecosystem in 2022

Indian Startup Ecosystem is growing hugely with 60,000 startups creating opportunities of employment as well as investment opportunities for investors. StartupTalky got an opportunity to get an opinion of Milan Ganatra, founder of 1SilverBullet as an investor.

1SilverBullet is a fully digitalized, cutting-edge investment and insurance B2B gateway that serves three financial services verticals: investments, insurance, and lending. Leveraging the power of technology such as Blockchain, the platform acts as a single point of contact for investors and financial institutions, linking them in one place via a secure API.

Here is excerpt of the interview with Mr. Milan Ganatra, Founder & CEO of 1SilverBullet about Indian startup ecosystem.

How was the year 2021 for you as an investor?

As an investor, 2021 was highly promising, with massive investment opportunities in IT and technology-driven businesses, as a result of the COVID-19 pandemic. With new models developing in the market, firms and young entrepreneurs can address problems in a timely and cost-effective manner.

What is a warning sign for you when investing in a startup?

Startups are young businesses, and it is critical that the vision be clear from the beginning, as this is the foundation of a successful enterprise. One of the red flags I would look for is a loss of vision—key employees or workers who have lost confidence in the company’s vision. The second sign would be a lack of messaging – nothing, or very little to talk about new product segments/ services, which leads to lower consumer satisfaction.

We are seeing many startups exiting with IPO, what’s your opinion on that? How is it going to change the ecosystem?

The IPO market had an outstanding year in the face of uncertainty, with government stimulus programs/regulations playing a big part in its amplification. Regulators and IPOs have played a critical role in attracting private investors and piqueing the attention of retail investors in the funding ecosystem. Previously, IPOs were only possible for companies that had made a profit in the previous three years, but when the regulations were altered to allow even loss-making companies to participate in the IPO pool, it completely changed the game for startups. So, where there were previously no exit options for some of the larger investors, this new move has fueled greater investment because a timely exit is now possible.

High valuations and market liquidity will keep the IPO window open in 2022. Internet-based startups who have served their shareholder base well over the years, have shown growth in scale, and rewarded their investors, will continue to do well as a result of robust market demand.

More than 42 unicorns in 2021. What do you think caused this wave? Is the valuation justified according to you?

Unicorns are defined as disruptive, technology-driven, and innovative firms with the potential to be listed among the next Fortune 500 companies. In this tech-focused era, new-age company models are upending traditional ways of doing business, leveraging digital modes. So far, their valuation has been reasonably justified, and given the amount of areas they have covered thus far, most of them would expect to rise rapidly.

The investor community has played a vital part in supporting compatible growth in the startup ecosystem and the company’s success in a relatively short period of time. New age entrepreneurs are planning for the future and embracing the post-pandemic digital wave. It is reasonable to expect a systemic shift in entrepreneur and consumer behaviour as a result of the rapid thinking that these unicorns have embraced.

How can we support/ enable entrepreneurs in tier 2 and tier 3 cities?

Entrepreneurs in tier 2 and 3 cities are now at par with tier 1 cities and good talent is not willing to migrate as everything is transparent, approachable and available at fingertips. Be it engaging with the target audience, running business operations, or connecting with potential investors/customers. As digital communication channels have grown in popularity over the previous two years, entrepreneurs from tier 2 and tier 3 cities have a far higher acceptance rate.

What do you look forward to as an investor in the year 2022?

For the year 2022, I hope to see a 50 percent increase in the ecosystem with 60+ unicorns. More worldwide inventions and solutions are projected as a result of the rise of new-age entrepreneurs and the emergence of unicorns. Investors are seeking business concepts that can demonstrate both long-term promise and dependable business procedures.

What are a few sectors you think would be hot in the upcoming year?

India presently has the world’s third-largest startup ecosystem. We should expect a lot of M&As in the fintech area this year alone, with major players performing fantastic work and complementing larger companies on multiple fronts. Fintech companies that have already covered the market are expected to develop further. They have the capacity to overcome obstacles and become tomorrow’s unicorns.

February 4, 2022
Hot Topics of 2022 in the Startup Ecosystem

This article is contributed by multiple Startup founders from different fields.

Indian startup ecosystem proved to be massive in the year 2021. With a fine number of unicorns, startups from different industries, be it tech, healthcare, food, fintech or others are making everyone’s head turn. Every industry is paving its way and is turning into something unimaginable. The year 2022, seems to be getting even more interesting and jaw-dropping.

In this article, entrepreneurs from various fields shared their views about the industries that they feel are going to be the hot topics in the startup ecosystem, this year. So, let’s take a look.

Rohit Sahni | CEO & Founder, WK Life

Rohit Sahni | CEO & Founder, WK Life

Looking at the current scenario of a possible third wave of Covid-19, I think the hottest topic of 2022 would be how to survive another slowdown in the industry. It could also be the change in the consumer behavior due to lockdown, as we did see a change in the consumer behavior after the previous lockdown. Other than this digital prominence would also be one of the hot topics, owing to the Covid-19 scenario.

Abhinav Mital | Founder, The WorldGrad

Abhinav Mital | Founder, The WorldGrad

2022 is likely to see a continuation of the trends from last year and the massive adoption of technology in all aspects of our lives. Startups will continue to compete with each other to better service levels and go one up on each other whether it is grocery delivery or financial services. With plenty of capital flowing freely in the market, customers will continue to be spoilt for choices. It is expected to see startups in the hi-tech space emerge, leveraging the use of AR or VR to enhance quality provision and introduce a new dimension for customers.
Some of the sectors to watch out for will be fintech, ed-tech, health tech, and cleantech in both the direct-to-customer and business-to-business formats.

Ankur Singh | CEO & Founder, Witzeal Technologies Pvt. Ltd

Ankur Singh | CEO & Founder, Witzeal Technologies Pvt. Ltd

India is becoming the world’s fastest-growing start-up ecosystem. As we move into the new year, technological innovations in any and every vertical will continue to drive the startup ecosystem. Partnerships between start-ups and large international entities are essential for the advancement of technological advancements, as well as the long-term growth of enterprises of all kinds.

I believe the future of online gaming in India lies in the innovations and creativity leading to providing a personalized experience to gamers. Moreover, we foresee the employment and hiring landscape witnessing a sharp rise along with the players choosing their profession as gaming.

Apu Pavithran | CEO & Founder, Mitsogo

Apu Pavithran | CEO & Founder, Mitsogo

At the forefront, most startups would look to increase viable partnership opportunities with other organizations. India is one of the fastest-growing hotspots for unicorn start-ups, so there will definitely be a stronger collective of unicorn start-ups with better investment opportunities. The post-pandemic world opened up a lot of opportunities for the start-up community. Most of them are looking at effective remote work/hybrid work opportunities to help improve employee well-being. Remote/hybrid work is beneficial to start-ups because it is cost-effective, and it largely helps employees in terms of commute, work-life balance, and improved productivity. Many start-ups will look into implementing cost-effective methods for workplace optimisation. Emerging technologies like 5G, AI, ML, edge computing, metaverse, will definitely create more opportunities.

Himanshu Arya | CEO & Founder, Grapes

Himanshu Arya | CEO & Founder, Grapes

The last few years have been exceptional for the start-up ecosystem. There is a surfeit of talent in the Indian marketplace and the start-up sector will continue to thrive in 2022 as well. In this rapidly changing world, Innovation is the key to survival for start-ups. In my belief, the continued development around crypto-currency, Fintech, E-commerce, Metaverse, and Pharma will be in the consumer’s mind. We can see a lot of developments in these sectors in the near future.

Nishant Behl | CEO & Founder, Expand My Business

Nishant Behl | CEO & Founder, Expand My Business

It has been a phenomenal ride for the start-ups in India, especially the emerging tech companies who are witnessing before themselves a new era of possibilities unfold. By the end of 2021, India has already become a home to around 81 unicorn companies of the world, of which 44 emerged to the status in a single year. The startup landscape seems to open up bigger and better possibilities in 2022. Buzzwords like crypto and blockchain are already resonating with the masses. An interesting scenario would be crypto transactions kicking off in the country.

Another interesting thing to look out for is the several IPOs set to happen all through the year. While there is still much to understand how the Metaverse can be related to startups, this virtual reality is set to transform the way a lot of the MSMEs and the business sector work from hereon. Among all the buzz, yet another concern is to create sustainable and more resilient operation systems in companies. All this sets the positive tone for the startup companies and ecosystem which are destined to become the next leaders of the changing world.

Vatsal Agarwal | Founder, The Baklava Box

Vatsal Agarwal – Founder, The Baklava-Box

The pandemic has been a sour spot not just for existing start-ups but also for upcoming ones. The WHO has predicted that 2022 will be a withering of the pandemic and it should be a great time for start-ups to pop up. Radical innovations in startups should be encouraged and the government has been giving impetus for entrepreneurship. Even in our business, brands are changing their outlook towards delivery. Since covid, the focus has been more on a delivery-based model than a traditional sit and eat or take away. That will continue in 2022 as well.

Varun Vashisthaa | Founder, HairVeda

Varun Vashistha | Founder, HairVeda

I feel that Indian Startups will try to create their mark in the global marketplace. Non-region-specific startups will definitely expand to the international audience once they have already captured the Indian market. Brands like ours can be hugely benefited from the international market since there is a massive demand and acceptance for ayurvedic products in countries like the USA, Mexico, etc. We all will see huge investments by the investor community in startups that have arrived with a purpose. Sustainable financing is the trend that will dominate the investment ecosystem for a long time. Crypto and Blockchains by startups will be seen from this year onwards and it will create a deep impact on the ecosystem.

Shriyans Bhandari | CEO & Co-Founder, Greensole

Shriyans Bhandari | CEO & Co-Founder, Greensole

2022 is the year for start-ups. While the pandemic keeps disturbing us time and again, panic has reduced. I think we will get used to the pandemic. It was a challenge earlier but it will not be anymore. Startups will get more room to grow. A lot of startups will fail during this time but the start-ups that will manage to pull through will flourish. New startups exploring new niches will also come about.

Kunal Patil | CEO & Co-Founder, WorkIndia

Kunal Patil | CEO & Co-Founder, WorkIndia

Services being offered by purely tech and tech-enabled companies played an important role during the crucial period of Covid-19. We expect 2022 to be another great year for the Indian Startup Ecosystem. Expect to see more companies catering to the smaller businesses and middle-income households

Entrepreneurship, collaboration, and innovation will be the hot topics in this new year since these are the three key pillars making the entire Indian startup ecosystem the dynamic and vibrant space that it is today. The lessons that all businesses learned over the past two years will be a crucial factor as startups navigate through the new normal. However, we believe that 2022 shows a great promise of being an exciting year for all startups.

Akshay Puljal | CEO, Quikish

Akshay Puljal | CEO, Quikish

Well, the first and foremost thing every startup needs to be prepared for is the continuation of the pandemic. We need to consider this in everything we do. In the F&B industry, you see the demand for clean food rising every day, and more people are leaning towards cooking in their kitchens than ordering from outside. We are glad that Quikish has got it covered already. We believe that Clean food and bringing. Convenience to home cook meals is the aspect which Quikish delivers without compromising on quality and flavours.

Shilpa Rathi | Founder, I Am Love

Shilpa Rathi | Founder, I AM Love

Start-ups are about solving our everyday problems. Start-ups usually succeed when they are able to solve problems that have existed for a long time but people have learned to overlook them. You have been living with the problems and one day you just get up and decide not to live with them anymore. These problems should have solutions to make our lives easier. I think that should always be a hot topic in any startup ecosystem. Apart from that, trying to get adequate funding is always going to be a hot topic. The launch and having a strong customer base and always be a hot topic. Establishing your brand and being able to track the brand engagement and following will always be a hot topic.

Farooq Adam | Co-Founder, Fynd

Farooq Adam | Co-Founder, Fynd

The lessons learned in the post-pandemic world will be crucial to growing your startup in 2022.

SaaS Products will continue to grow

SaaS will retain its throne & the market will welcome more cloud solutions with open arms. The surge in cloud software will continue to rise in 2022. More and more companies are making use of cloud software to manage data, productivity, and much more.

Mass acceptance of Deep-Tech

In the past 2 years, we have observed a radical emergence of deep tech. There will be a keen focus on implementing virtual technologies at the grassroots level.
Indian startups raised $36 billion in 2021 to cope with the growing demand for digitization. As the pandemic stretches on, the technology efforts will start to gain more widespread acceptance. 2022 will see more innovation and increased tech adoption as extended reality makes its presence felt.

Hybrid Workforce

The reality is that the pandemic has been around for more than 2 years now, going to the office full time seems less and less likely. Organizations have to be open to the idea of hybrid work, where employees visit the office for a few days in the week/month/quarter and continue to work from home on day to day basis.
People have also started to expect this flexibility from employers and it is important to listen to the pulse of the organization rather than imposing regulation.

Rasesh Seth | Founder, Nextyn

Rasesh Seth | Founder, Nextyn

We’re seeing a variety of industries that are disrupting traditional ecosystems across the globe. The fintech industry has particularly been of keen interest not only to us, but also to several clients that have been using our services. I believe 2022 is going to continue to fuel its growth, with higher adoption rates and exceedingly high digital payment transactions.

Another term that has been of keen startup interest is Automation. It’s not an independent industry, but the rapid rate at which literally everything is being automated, is frightfully exciting. I don’t think people are considering its long-term impact on the existing workforce, but it is surely making life easier for the vast majority. Right from daily tasks, to cars, to delivery or food. I think 2022 is going to be a year where we see a lot of our daily personal and professional tasks get automated. It’s an interesting space to watch, as its evolving at a monstrously rapid pace.

Conclusion

This is the age of Startups, they are making their presence known in every field and this is just the beginning. From new industries to more viable options regarding businesses. The Startup ecosystem is going to experience something even bigger and better in 2022.

February 1, 2022
Insights of Indian Startup Ecosystem and Investment in Startups by Neeraj Tyagi, Co-founder of We Founder Circle

Indian Startup Ecosystem is growing hugely. India stands third in global start-up ecosystem. With the changing trends in the Indian startup ecosystem, investors are getting attracted towards investing in startups. We founder Circle is a startup that provides investment service to help early stage startups.

Here is excerpt of the interview with Mr. Neeraj Tyagi, CEO & Co-founder of We Founder Circle (WFC) about Indian startup ecosystem.

Tell us briefly about yourself?

We Founder Circle (WFC), a founders-led early stage startup investment platform born in the midst of the pandemic, plans to invest in 70 start-ups in FY 2023. Since the launch in 2020, WFC has become one of the fastest-growing angel networks with 33+ startup investments in a span of 12 months. WFC has already facilitated funds worth $150 million across 33+ startups by the end of December 2021 and became the 2nd largest Angel Investor of the Country. Platform’s key investment includes Zypp, ObenEV, Lissun, Healthysure, Hesa, Glamyo Health, Geekster, YPay Card, EsportsXo and Settl.

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Find the best angel investor for your startup from this list of Angel Investors in Bangalore. Know about their contact & interest in investments.

StartupTalkyLakshya Singh

How was the year 2021 for you as an investor/VC?

In its first year of operation, We Founder Circle (WFC), a founder-led early-stage start-up investment platform, has successfully invested in 33+ start-ups spanning across 10 industries. Our community is strong by 2000 members that combines the extensive experience from angel investors, corporate leaders and unicorn founders. Our efforts were also recognized by the industry as we became #2 active Angel Investor Network in India. Our portfolio expanded to cover 10 sectors including EV, Agritech, Fintech, Edtech and D2C.

How often do you bet on the entrepreneurs and not on the ideas? And when/if you do that, what quality of the entrepreneur usually makes you do that?

An entrepreneur should be a high-energy, high-motivated individual. He or she should be on the move all of the time. At the same time, great degrees of commitment is required. A person can only do justice to his/her line of work if he/she is driven. Entrepreneurs are defined by their passion, resourcefulness, readiness to improvise and listen to others, and a strong desire to succeed.

What is a warning sign for you when investing in a startup?

1. Low quality products. Distinguishing oneself from the competition is a regular difficulty for any startup company. A company that is unable to deliver a high-quality or specialty product will most certainly be steamrolled by competitors that are already well-established.

2. Loss of vision. A good business plan detailing the targeted markets, as well as a vision statement stating how the market will be penetrated, are required for a company to survive.

3. A lack of progression. To thrive, a young firm needs rapid, yet scalable, growth. The reason is straightforward. There’s no guarantee that their loyal consumers will return the next day. It’s critical to seek out new ones as frequently as possible.

What are some common biases you find in the Indian Startup ecosystem?

Despite certain programmes aimed at promoting the growth of female entrepreneurs, there are still gender prejudices in the startup environment. Traditionally, India has shied away from professional risk and entrepreneurship. Though there has been a recent movement in young people’s attitudes, society still has a hard time accepting entrepreneurs. Instead of solving a consumer need with a fantastic product, the current generation is motivated to make money.

Failure is also looked down upon in today’s society. Being an entrepreneur is like sleeping on a bed of thorns in a country that despises hard work and failure. The majority of parents compel their children to work hard in order to acquire a stable career, and they view entrepreneurial efforts with suspicion. It is difficult to build a vibrant startup ecosystem in any country when the youth are not inspired to pursue their own companies.

What are your views on the SharkTankIndia Episodes until now?

We definitely think Shark Tank India is taking entrepreneurship to every Indian household and is making conversations around startups the new normal. The business reality show is giving a much needed boost to the burgeoning Indian startup ecosystem and comes across as a platform to transform dreams into reality for all the budding entrepreneurs.

We are seeing many startups exiting with IPO, what’s your opinion on that? How is it going to change the ecosystem?

Because of lockdowns and other safeguards, the Covid-19 epidemic has aided the technology startup sector by driving more transactions online.

Other factors include India having some of the world’s lowest data prices and an increase in smartphone ownership, which has allowed technological start-ups – many of which were created less than a decade ago – to reach a considerably broader audience. With a young population and internet penetration that is still well below its full potential, these businesses have a lot of room to develop.

Companies aim to use the capital from new proceeds to expand as demand in the post-pandemic world is predicted to increase by a factor of ten. Overall, this is a very encouraging indicator for the Indian economy’s future prospects.

More than 42 unicorns in 2021. What do you think caused this wave? Is the valuation justified according to you?

This year was a wonderful year for Indian businesses, with 42 achieving unicorn status. In 2021, more startups joined the club than in the previous five years combined. The record fundraising boom is projected to continue in the coming year, thanks to India’s increasing embrace of technology and new startup products. With only nine days left in the year, there’s a good chance we’ll see a few more surprises. It’s true that financing for 2021 is at an all-time high. The enormous number of unicorns, as well as a succession of successful IPOs, has piqued the curiosity of investors from all over the world.” I also credit India’s huge talent pool, quick technological adoption, and COVID-generated tailwinds for the increasing number of Indian enterprises making an impact on the global economy.

How can we support/ enable entrepreneurs in tier2 and tier 3 cities?

Close to 30% of our portfolio startups come from Tier 2-3 cities. We are big believers of ideas that are thought locally and aim to reach markets globally. In order to support these local entrepreneurs all we need is to build a strong startup ecosystem that offers co-working spaces, right mentors and angel investor networks, startup weekends and some business partnerships for these startups to grow.

What are a few sectors you think would be hot in the upcoming year?

For 2022, EV, Health Tech, D2C, Automobile Tech, Fintech, EdTech, Food Tech are going to be the hottest sectors. Keeping the same in mind, WFC is focused on start-ups in such sectors to help them grow.

One learning that you would like to share with founders who are looking to raise funds?

Always focus on your pitch and business model. Before approaching any investor, you should be thorough with the scope of your industry and start-up. The clearer your vision is, the better the impact on your investors.

January 28, 2022