Looking through the fog

Business standard invited us to do a guest column on the state of early stage technology investing in India today. Key perspectives:

- Slow, but still there. Odds aren’t very different from before.
- Watch your target market and customers – key markets continue to be vibrant.
- Valuation meltdown is more pronounced in later stage companies than in startups.
- These are times when VCs will get tested against claims we have made in past couple of years ;-)

Would love to get your perspectives on what you are seeing in the financing market?

2 Responses to “Looking through the fog”

  1. On a different topic:

    What’s your take on some of the late stage deals (or non-traditional) like Havell’s, Getit, You Look Great (sic), etc. by venture firms? Make money somehow by using the idle cash? or lack of innovation (or coolness) in early stage companies?

  2. Keerthi Laal Kala says:

    I mostly agree with what is mentioned.

    You mention technology investing. Was wondering if you are referring to product or service companies. Arguably, we are good at servicing, but I feel the real value is in product development. Only 1 out of 20 companies seem to be thinking of products (I may be wrong in the stats). I trust these help in growing up the value chain and we can have affordable and valuable products for the Indian market.

    Your pick on VCs is something I can vouch for. I have been trying talking to a couple of them for a plan, but haven’t seen the projected enthusiasm. If it is only expansion money they are willing to provide, it seems to me that the whole idea of a VC as a ‘risk capitalist’ is under question

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