‘Don’t need unicorns’: Kunal Bahl has a radical idea to redefine India’s startup ecosystem

Kunal Bahl wants to redefine the Indian startup ecosystem. Instead of chasing unicorns—startups valued at over a billion dollars—he advocates for the rise of Indicorns—profitable, sustainable businesses that generate employment and long-term value.

Since crossing the 100th unicorn milestone in 2022, the country is now home to over 118 billion-dollar-valued companies. These unicorns have collectively raised more than $100 billion in funding, with a combined valuation of $354 billion, reinforcing India’s position as a global startup powerhouse.

“I don’t like the term unicorns. It’s a mythical creature. But a business that’s generating ₹100 crore in revenue, is profitable, and has been running for 15 years—that’s an Indicorn,” says Bahl, co-founder of Titan Capital and Snapdeal. Last year, Titan Capital released a list of 186 Indicorns that have reached ₹100 crore in revenue and achieved profitability.

A Changing Landscape

Over the past decade, India’s startup ecosystem has undergone a seismic shift. From debating whether there were 25 million or 50 million internet users, the country now boasts over a billion connected consumers. With advancements such as UPI, digital payments, and increased capital access, the market has transformed into a high-growth, high-potential playing field.

Kunal Bahl, who has spent 18 years building businesses and nearly 15 years investing in startups, believes India is now a land of “mouth-watering opportunities and eye-watering challenges.” For founders, he says, the key is not just identifying these opportunities but making deliberate, well-thought-out choices.

“Entrepreneurship is a 10, 15, 20-year journey. Yet, many founders spend just two weeks deciding what to build. I tell them—take six months if needed, because the right choice will determine your long-term success,” Bahl advises.

The startup boom has expanded beyond consumer tech, with SaaS, fintech, agri-tech, AI, space tech, and defence now emerging as high-growth sectors. However, Bahl stresses that India’s true differentiator lies in its ability to create enduring businesses, not just high-valuation startups.

Building for Long Haul

Bahl believes that long-term success in business comes down to having the discipline to focus on solving one problem at a time rather than getting distracted by multiple opportunities, ensuring that unit economics are solid from the start because they form the foundation of a sustainable business, and being extremely cost-conscious even after raising capital, since keeping a lean fixed cost structure helps companies weather economic downturns. He emphasises that founders who are too aggressive in chasing rapid growth at the expense of financial stability often find themselves in trouble when market conditions change, and the ones who endure are those who prioritise profitability and efficiency over flashy expansions.

As more startups pivot from hyper-growth to sustainable business models, Kunal Bahl sees enormous potential in this shift. “India needs thousands more Indicorns,” he emphasises, underscoring the need for profitable, enduring companies that create long-term value rather than just chasing valuations.