SUMMARY
60,500+ Indian startups, $136 Bn funding raised & 7,50,000+ jobs created so far
Less than 10% contribution of domestic capital in total capital invested in Indian startups
To be hosted on 20th July 2023 in Delhi NCR – MoneyX will convene 400+ leading LPs, GPs & Angels to discuss the future of startup investments in India
This article is part of Inc42’s upcoming conference — MoneyX, India’s largest angel & VC conclave scheduled for 20th July, supported by Peak XV, JSA and Venture Catalysts. Click here to know more.
India is undergoing the second wave of the technology revolution.
The first wave ignited in the 1990s with the IT Services boom that now contributes 7% to India’s GDP.
Fast-forward to the 2010s, Indian startups ushered in the second wave of this technological renaissance. Over the past decade, the growth of Indian startups has been nothing short of phenomenal.
India currently has 60,500+ startups.
Their combined valuation today? Half a trillion dollars!
A whopping $136 Bn+ has been poured into Indian startups since 2014 – from just $9 Bn in 2015 to almost 3x in 2022 to $25 Bn.
These startups have created over 7,50,000 jobs and contribute to less than 2% of India’s GDP today.
“Startups are being envisioned as the spine of new India, as they encourage the youth to become job creators rather than job seekers.” – Economic Survey 2022-23 by Finance Ministry, Government of India
Now, imagine a multi-trillion-dollar digital economy with startups leading the charge! Imagine the impact if these numbers were 3X’d?
But how can we achieve that?
Challenges Of The Indian Investor Ecosystem
The Future Of Startup Investments In India = Unlocking India’s Domestic Capital
The road to unlocking India’s digital economy lies in accelerating innovation-driven entrepreneurship and business creation through startups.
While investor participation in startup funding has surged to 9,500 investors since 2014 from a mere 1,000 investors in 2015, still less than 7% of Indian startups have been able to raise financing. With new startups emerging at a rapid pace, new investors and new capital is the need of the hour.
Today, domestic capital contributes less than 10% of the total capital invested in Indian startups.
If Indian startups are such a lucrative asset class, why are domestic investors lagging behind? It’s not like Indian investors don’t want to promote innovation while generating huge returns.
The three biggest factors holding back the growth of India’s domestic capital in startups are the lack of education, network and access.
SMEs & MSMEs ≠ Startups
Startups are different from traditional businesses and Indian investors lack the knowledge to assess startups as an investment opportunity.
Additionally, the lack of a robust investor ecosystem and access to high-quality deal flow makes it tougher for domestic investors to get started.
We believe India needs to unlock its vast pools of domestic capital to supercharge the future of India’s startup economy!
To address these challenges, Inc42 is excited to unveil our latest initiative…
Introducing MoneyX
MoneyX is India’s largest conclave for startup investors where 350+ handpicked LPs, GPs, Angels, Family Offices and International Investors will converge to discuss the insights and trends shaping the future of startup investments in India.
Taking place on 20th July 2023 in Delhi NCR, MoneyX will host 20+ hand-crafted sessions with the latest industry insights and data, startup & fund showcases, high-level peer-to-peer debate and AI-powered networking opportunities, all to help improve your investment outcomes.
India’s top 1% investors will be gathering under one roof to openly share their investment insights and wisdom to help you level up your investment game.
Welcoming Our First Set Of Esteemed Speakers
The 2030 Opportunity
Out of the 9,500+ investors who participated in funding rounds in 2022, the largest share was taken by 5,120+ angel investors (53%). By 2030, the number of angels is predicted to cross 10,000+.
MoneyX is our initiative to unlock domestic capital at a large scale by building a platform where investors find the insights, network and access to level up their startup investment outcomes. While there are several conferences that help HNIs invest in traditional asset classes, MoneyX is designed with the sole focus of promoting investments in India’s booming tech & startup economy.
Among the many challenges on the regulation side, the archaic laws created decades ago prohibiting investments in AIFs that invest overseas, have prevented domestic pension and insurance companies from participating, holding back major pools of capital from entering the Indian startup ecosystem.
The significant improvement in ease of doing business and regulatory authorities responding favourably to the recommendations of industry bodies signals positive sentiment from the government to support the startup industry.
This has opened a once-in-a-generation opportunity for investors and companies to ride the India growth story by mobilising domestic capital and promoting new innovations that will accelerate the growth trajectory of the Indian tech ecosystem.
Come join us at MoneyX and become part of India’s startup renaissance.
Explore MoneyXPresented in partnership with Peak XV Partners, supported by Venture Catalysts, JSA, Samsung, IVCA Associates, Indian Angel Network, JIIF and Marwari Catalysts, MoneyX is aimed at bringing the driving forces of the Indian startup ecosystem under a single roof.
Originally published on 17th March, republished with updated information.
