Aspiring For Startup, Here Are Four Important Advice From India's Leading Investor

India has seen a significant increase in the number of startups in the last decade, which has changed the entrepreneurial landscape. The startup ecosystem performed exceptionally well last year with growing interest of investors and inclination of young entrepreneurs towards business leadership.

Indian startups raised more than $23 billion in 2021 alone, spread over 1,000 deals with more than 30 startups entering the unicorn club. So far, nearly 13 startups in 2022 have made it to the unicorn club. The emerging trends of entrepreneurial activity inside the country have also made it the third-largest startup ecosystem in the world, after the US and China.

According to a report published in 2021 by India Venture Capital, India has witnessed massive growth in the number of startups, with cumulative growth of startups since 2012 at a CAGR (Compound Annual Growth Rate) of 17 per cent.

Opportunities For Young Innovators

In recent years, India has developed several incubation and innovation centers that support the student community to foster an entrepreneurial mindset. There has also been a growth in the inclination of young leaders towards starting their enterprises, propelling the startup ecosystem of India.

According to a study, major edtech startups in India are founded by young leaders from the Indian Institute of Technology (IITs) and other premier institutes or those with work experience. For any young leader who envisions solving a problem, it only takes a curious mind, a clear objective, and a blend of passion for breaking the glass.

Guidance For Young Entrepreneurs

The government of India has been a backbone in the growth of the early-stage startup ecosystem. It has created relevant infrastructure and progressive policies that attract problem-solvers to contribute to the startup community.

However, the challenge of starting from scratch, being a first-generation young entrepreneur, always remains on top of the head. To direct the young innovators in the right direction, the entrepreneur and one of the leading investors of India, Dr Ritesh Malik, shared his valuable thoughts from his own experience.

While conversing with The Logical Indian, he highlighted that most young people in their colleges are interested in doing a startup but afraid of failure. He said, "Until and unless 'failure' becomes a democratic word in our education system, we will face the same challenges."

"The best thing about 2019 was that the Chandrayaan-2 space mission failed. In the history of India, for the first time, 136 crore people held their hands together and celebrated the failure and said it's alright to fail."

He also highlighted that young college pass-outs should embrace failure along with uncertainty. It's the foundation of any success story, as youngsters must see all sides of a profession at their earliest stages.

Golden Rule Of Startup

In the words of Dr Ritesh, great companies are built on great products with a valuable problem-solving proposition. He added, "Apart from problem-solving products, young entrepreneurs should focus on product-market fit (PMF). The product that they innovate should meet the needs of the market."

He added that youngsters should build a great product that fits the right market and then build the appropriate sales strategy. He mentioned, "Along with sales strategy, one should also learn to create a focus segment. People think they want to sell their product to everyone, and that's the worst strategy to follow."

Before stepping into the market, youngsters should do extensive research to learn whose problem can be solved with their product. Following these strategies, as suggested by Dr Ritesh Malik, which we call a 'Golden Rule of Startup,' any college pass-out young innovator can lead the market with their product.

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