Evalueserve has come out with a report on Indian early stage VCs. It points out that the VC activity in India is increasing and soon, there will be as many as 44 early stage VC firms operating in India, with around $4.4b to invest! While my own estimates are on a lower side, whats undeniable is that more money than ever before will be available to early stage companies. I guess this is good news for entrepreneurs.

The report also raises some concerns, notably amongst them:
1. Lack of sales, marketing and business development skills amongst startup teams
2. Narrow investment theses of the VCs targeting Indian market

The real metric of success is how many of these VCs make money in the Indian market, so hold on to the toasts just a wee bit longer…