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Startups and Fundings in 2018 | Indian Startups Stories

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2018 – An enterprising year for Indian startups

2018 was an enterprising year for startup success stories in India, with a record number of startups achieving milestone valuations. The startup culture finally matured and reached its peak point after a long gestation period. Popular startups such as Swiggy and Zomato reached valuations of $1 billion and more. Cementing India’s position as one of the global leaders in the market. The year witnessed one of the biggest e-commerce deals when Walmart acquired Flipkart for $16 billion. A deal was so big that it made Flipkart’s Co-Founder Sachin Bansal pay Rs. 699 Crores on tax.

NASSCOM reported that startups saw a 108% growth in total funding. Click To TweetThese significant merits on India’s part are enticing investors to grab meaty portions in the burgeoning startup scene. India is the second-most attractive investment destination in the world after China. This can be owed to the sheer number of educated and talented minds churned out across the country.

Rise of an efficient workforce:

A study conducted by Bain and Co has concluded why India is one of the preferred investment destinations. India has the world’s largest young working population of over 440 million Click To Tweet, including more than 1 million annual engineering graduates. It boasts of a massive talent pool consisting of bright and skilled youngsters. The rise of an efficient workforce culture has contributed to the growth of a healthy startup environment. Leading to a widespread increase in disposable income and consumer expenditure per capita. It has raised the overall standard of living for individuals working in the corporate sector.

[dropcap]B[/dropcap]angalore is the startup capital of India and is closely followed by Delhi and Mumbai. The effects of the startup movement have trickled down to metro cities. Like Hyderabad, Chennai, and Pune which are emerging as new hubs. Government programs such as Niti Aayog and Startup India are encouraging startup development and providing support to boost the movement. The average deal value has substantially increased after a decade. India-focused funds have raised over $10 billion since 2014, indicating a positive investment settlement.

Until 2015, investments were in the initial phase, which prioritized the number of deals. Since then, investment ventures have matured rapidly. Nowadays, investors only focus on a few high-return deals. The deals are lesser in number than before but the values have increased manifold. Consumer tech startups are on the rise and will continue growing. 2018 saw 60% of VC investments going towards startups involved in consumer tech innovations.

The trend of successful exits startup success stories in India is gaining momentum. As highlighted in the landmark Walmart-Flipkart deal. That has contributed to 80% of the exit value by the end of the year. A new record was set in exit values with exits reaching the $20 billion mark on 155 deals.

Visit the startups‘ section to Know more about success stories.

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