
The Start-up Boom
The Indian start-up ecosystem is now the third-largest in the world, thanks to the rise of digital technologies and growth in the number of young entrepreneurs.
The Indian start-up ecosystem is now the third-largest in the world, thanks to the rise of digital technologies and growth in the number of young entrepreneurs.
As per the report, the late-stage funding accounted for the increase in funding raised with $688M being raised in total in January 2023, an increase of 16% as compared to December 2022.
However, the domestic start-ups raised funds more than twice in CY22 against ₹1,090 crore in CY20 and ₹1,280 crore in CY19.
The count of mega deals—transactions amounting to over $100 million, dropped to 111 in 2022, compared to 152 in 2021.
Companies on path to profitability are increasingly evincing interest from investors. These companies work hard on unit economics, gross margins, contribution margins, ROIs on spends.
The number of funding rounds has dropped by 30% to 1,841 so far this year from 2,647 seen in the Jan-Nov period last year, according to a report by Tracxn
The hiring of new permanent employees by startups has dipped by as much as 61% in the last year, according to the Annual Insights Report published by RazorpayX Payroll.
Fortune India’s Next 500 event brought together companies which have shown growth in difficult times.
Disruption creates the space for providing new solutions, where fast-moving start-ups can gain ground compared to the structure-heavy MNCs, experts say.
A lot of start-ups are coming from tier-2 and tier-3 cities, as opposed to being centred in metro cities, emphasised Jyotiraditya Scindia.