The second week of July marked a turning point for technology startups
in the country as a record period of fundraising moved its attention to the world’s second-most populous market in the world, just as investors were set off spooked by a crackdown on internet enterprises
While it is raining unicorns in the country, 14 startups have already made it to the list in the first four months of this year. Further, more and more unicorns will be making entries sooner in the country as India is anticipated to raise well over USD 13.7 billion in 2021. Some of the Startups that entered The Unicorn club this year include Digit Insurance, Meesho, PharmEasy, CRED, ShareChat, Chargebee, Moglix, Zeta and many others.
Often, we talk about unicorns such as Uber, Airbnb, Pinterest etc. but little do we understand or are aware of what exactly a unicorn is. ‘Unicorn’ - a term to define a privately held startup with a value exceeding USD 1 billion, used in the venture capital industry was first familiarized by a venture capitalist who was also the founder of CowboyVC, - Aileen Lee. However, becoming a unicorn is no walk in the park, as each unicorn today has its own story.
Home to numerous active startups
Home to accurately 38815 active startups, the Indian startup ecosystem is comprehensive of funded as well as bootstrapped startups. Furthermore, with the launch of new start-ups drives the culture of entrepreneurship, the investors cannot be ignored either as India is home to 5694 plus active investors as well.
The funding winter in 2021 has commenced in the middle of torrid summers, for start-ups in India. While the startup ecosystem has made progress since 2014, going through the golden era of funding amidst the years 2015 to 17. Post a few years of slow but mature growth, last year has been a year of decline.
Owing to the proliferation of uncertainty concerning the upsurge of Covid-19 cases in the country last month, the adoption of internet-based solutions in the country is anticipated to keep proliferating, and this is expected to enhance the investor confidence this year and possibly beyond.
And this can be determined from the fact that so far this year, nine Indian startups have reached USD 1 billion+ valuation.