WeWork Labs, the investment and acceleration arm of WeWork India has launched the first edition of its flagship event - Jumpstart
Jumpstart is an initiative designed to equip founders with all the essentials they require to successfully launch and scale their startups
Jumpstart provides early-stage startups with direct fundraising opportunities and exposure to global markets
In an effort to bridge the gap among startup founders, industry experts and the investor community in India, coworking space provider WeWork India launched a new programme under its WeWork Labs initiative.
The programme, Jumpstart, is designed to equip founders with all the essentials they require to launch and scale their startups. Besides, Jumpstart accelerator programme has also been floated, the company said in a statement.
Karan Virwani, CEO, WeWork India, said, “While we previously introduced Growth Campus, which primarily offered subsidised prices focusing on tech stats, the Jumpstart accelerator programme stands out from other programmes. This programme not only incorporates those elements but also includes investment, making it like a full culmination.”
For Jumpstart, WeWork is allocating a fund of INR 10 Cr, with individual investments set at a ticket size of 200K. The objective is to foster the growth of a supportive ecosystem for the companies receiving these investments.
Virwani said, “Our motivation is to support and help startups grow. We have a corpus of INR 10 Cr that we have set aside to put into it. For us it is a funnel to help nurture early stage companies to provide value and hope that they continue to work with us. We are not like a normal VC, we aren’t not incentivised by deploying capital. Our motivation is to support and help startups grow.”
Virwani also highlighted that startups from various sectors, including B2B SaaS, climate tech, proptech and female-led ventures, have applied for the programme, showcasing a diverse range of industries.
“We are determined to provide early-stage founders and entrepreneurs with direct fundraising opportunities, insightful discussions, and networking events to help scale their business. In the coming years, we will remain at the forefront, helping startups create the next wave of innovations that will shape the dynamic startup landscape,” he added.
Jumpstart provides early stage startups with direct fundraising opportunities and exposure to global markets, facilitating a platform for founders and budding entrepreneurs to launch and scale their ventures.
In October last year, WeWork India also launched an investment programme under its WeWork Labs initiative.
Over the past six years, around 1,500 startups have engaged with WeWork Labs.
The company claims that WeWork Labs has already incubated over 500 startups over the last five years and currently over 330 active startups are its members.
WeWork India has been spearheading the concept of flexible workspaces and driving the future of work with over 8 Mn sq ft of assets signed across 53 locations in New Delhi, Gurugram, Noida, Mumbai, Bengaluru, Pune and Hyderabad.
WeWork Labs serves as a nurturing ground for entrepreneurs and early-stage startups, offering them resources, mentorship, and a thriving community.
As it enters the acceleration and incubation space, it joins startups like KRAFTON, Panasonic, Flipkart and more, that have launched incubation and acceleration programmes.
WeWork’s Strategic Focus on India
Concerns over the future of WeWork India arose after WeWork Global, based in New York, announced its intention to file for bankruptcy. However, WeWork India’s CEO, Karan Virwani, clarified that WeWork India operates independently from WeWork Global.
The Embassy Group, holding a majority stake and operational control in India, supported WeWork India. Virwani assured that the news of potential bankruptcy in the United States would not impact members and stakeholders in India.
Despite facing challenges in the US, WeWork is directing its attention towards India, driven by the ongoing attraction of multinational corporations (MNCs) to the country.
“This growth is fueled by ongoing research and development activities, a pool of tech talent, and the enduring quality of skilled professionals in India, offering a competitive advantage on the global stage. Moreover, the consistent affordability of real estate over the past two decades provides an advantageous scenario for MNCs in terms of leasing spaces in India,” Virwani told Inc42.
WeWork India, where WeWork Inc. holds approximately 27% ownership, has been one of the company’s fastest-growing international affiliates outside the United States. The remaining 73% ownership belongs to the Embassy Group, a prominent office development company in India.
Since it entered the Indian market in 2017, WeWork India has been at the forefront of promoting flexible workspaces and driving the future of work.
Virwani points out that in contrast to the saturated market in the US, India is in a growth stage, making WeWork’s presence particularly beneficial.
“From a business fundamentals perspective, we have thrived in the post-COVID landscape, achieving profitability, doubling our EBITDA, and generating positive free cash flow.”
WeWork India seems to have been growing since the emergence of the pandemic at a steady pace. During Q1 of the current financial year, WeWork India’s revenue grew 40% year-on-year to INR 400 Cr, with its EBITDA standing at about INR 70 Cr during the quarter. Following this, it launched its 50th workspace.
