There has been a boost in the number of startup companies surfacing in India attributed to the technological and structural advancements in the country. However, not all are successful. Let’s have a look at the potential startup companies in India, their stories, and some pre-requisites to establish a successful startup company.
Definition of Startups
A startup is a young company founded by one or more entrepreneurs to develop a unique product or service and bring it to market. A startup meets the following criterias, such as:
#1. Initiative – A successful startup is one that helps in the ground level problem-solving rather than profit-making. It should help in giving a solution that is yet to be discovered.
#2. Socially Impactful - It should have a social impact as well, catering to the larger masses of the society.
#3. Employment Creation - A potential startup should aim to generate employment.
How did Startups start in India?
Flipkart is the oldest startup in India. We all know the inspiring story of Sachin Bansal and Binny Bansal who started Flipkart as an online bookselling platform. From humble beginnings, today Flipkart is the largest Indian e-commerce player. What followed was a slew of other enterprising ideas such as Snapdeal, Myntra, Paytm, etc.
Types of Startup
According to Amod Anand, there are two types of startups:
#1. Bootstrap – This type of investment comes from self or family funds and investments. These types of startups only account for 10% in India. Their main objective is to earn profits.
#2. Investor Funded: Investor funded startup companies run with investor funds. Their main objective is growth irrespective of profit or loss. These type of companies account for nearly 90% of overall startup stories in India.
Who can kick-start Startups?
There are no limits on who can start a startup company, but you will see 2 category of person who start it, such as:
#1. Students – It is generally seen that students with an engineering or management bent of mind aspire to start a startup. They have a dream of starting their own business and with a backing of a reputable institution such as the IIMs and IITs in India, these students have the required knowledge and technical know-how to see it through. Students fund their startups either with the help of family or others looking for innovative ideas for investment.
However, it is also generally seen that they soon run out of funds and their startup succumbs due to lack of more funding. It is very rare to see students of Class 10 or 12 getting success in the startup business.
#2. Professionals – The next category of people dreaming about starting a startup company is the professional class. These people get easily bored of their mundane 9-5 jobs and believe they have the technical knowledge to start their own business. They do have sufficient industry knowledge gathered from their working experience. Most of the startups in India are the brainchild of professional people.
5 Things Must Know to Start Startup Company
You can use the following 5 steps for launching your startup company.
#1. Idea – There are two things only in idea – Product or Service.
#2. Investment – To be successful a startup company needs some amount of investment. Remember Facebook was started from a student’s room itself.
#3. Man Power – Single person cannot work on everything. He needs a team of at least 3-5 persons to look at the finer details of the business. For example, Flipkart was started with a 3-people team in 2007.
#4. Execution – Execution is very very important. In the last 3-4 years, we have seen manufacturers who are trying to sell their products through online platforms, their main concern is customers, i.e. they do not know who will purchase their product. Similarly, the main problem for service providers is pricing. Many competitors arise every day and they gain customers through low pricing.
#5. Corporate governance - Transparency with government is very crucial. In the beginning, everything is okay, but when a startup reaches a certain level, they start working illegally if things are not in place.
How is a Startup Company Recognized?
Startup India is an online platform where any startup company can free registration. You can check more details here: https://www.startupindia.gov.in/
Benefits of Startup Companies Certification
#1. Tax Benefits - A Startup incorporated after April 1, 2016, is eligible for getting a 100% tax rebate on profit for a period of three years in a block of seven years provided that annual turnover does not exceed Rs 25 crores in any financial year.
#2. Loan - The new entrepreneurs are granted tax relief for 3 years.
#3. Funding - A startup can get funding from family/ friends or angel investors. These come with several advantages like flexible and lower-risk funding, mentorship, networking, etc.
Definition of Successful Startups
In order to be successful, a startup should be both profitable and sustainable, i.e. it should have the capacity to go on like a going concern and should also generate decent profits.
- Profitable
- Sustainable
List of Top Unicorns in India
Here is a list of potential companies striving to become Unicorns in India. These companies have a valuation of $1 billion or more.
#1. Flipkart
Headquarters: Bangalore, Karnataka, India
Year: 2007
No. of Employees: 25K+
Revenue: INR 43,615 crores (US$6.3 billion), 2019
Awards:
Flipkart is a leading e-commerce website in India with more than 100 thousand registered sellers and 100 million registered users. Started by a team of just two members today Flipkart is a large company selling 80 million products across more than 80 categories and having 21 state-of-art warehouses in the country.
Success Story:
#2. Paytm
Headquarters: Noida, Uttar Pradesh, India
Year: 2010
No. of Employees: 9K+
Revenue: INR 3,579 crores (US$500 million), 2019
Awards:
Paytm is a leading online payment portal in India popularly used for Online Recharge, DTH, Data Card & Metro Card, and Mobile Bill Payment. The company offers a host of payments and financial solutions to consumers, offline merchants, and online platforms.
Success Story:
#3. Oyo
Headquarters: Gurgaon, Haryana, India
Year: 2013
No. of Employees: 19K+
Revenue:
Awards:
OYO began as a hotel startup and has become the fastest-growing hotel chain in the world today. OYO has operations in over 800 cities in 80 countries.
Success Story:
#4. Ola
Headquarters: Bangalore, India
Year: 2010
No. of Employees: 9K+
Revenue:
Awards:
Ola has revolutionized the way people move today by becoming your everyday travel partner. It is an Indian ridesharing company serving over 250 cities across India. The Ola app offers mobility solutions by connecting customers to drivers and a wide range of vehicles across bikes, auto-rickshaws, metered taxis, and cabs.
Success Story:
#5. Renew Power
Headquarters: Gurgaon, Haryana, India
Year: 2011
No. of Employees: 800+
Revenue:
Awards: 8th India CSR Awards, VC Circle Awards 2020,
Renew Power is a leading renewable energy player in India providing solutions in utility-scale wind and solar as well as distributed solar. The company has a current renewable asset base of over 8.5 GW, of which more than 5.4 GW is operational. Renew Power started in the year 2011 and is backed by investors from across the globe such as Goldman Sachs, Abu Dhabi Investment Authority, Canada Pension Plan Investment Board, JERA, and Global Environment Fund.
Success Story:
#6. PolicyBazaar
Headquarters: Gurugram, Haryana, India
Year: 2008
No. of Employees: 3K+
Revenue:
Awards:
Policy Bazaar has become the go-to place for Indian consumers looking for insurance solutions across various products and services. It has become a popular choice for Indians to compare policies by various parameters like prices, areas covered, vendors, etc. Policy Bazaar is known for providing transparent information on products.
Success Story:
#7. Swiggy
Headquarters: Bangalore, India
Year: 2014
No. of Employees: 3K+
Revenue:
Awards:
Like other startup stories, Swiggy has changed the way India eats. Swiggy is a leading food ordering and delivery platform in India that started in 2011 by three young graduates.
Success Story:
#8. Zomato
Headquarters: Gurugram, Haryana, India
Year: 2008
No. of Employees: 9K+
Revenue:
Awards:
Zomato is a restaurant aggregator and food delivery business in India. It was launched 11 years ago, and today has a presence in 24 countries and more than 10,000 cities worldwide. What makes Zomato different from its contemporaries, is its collection of menus and user-reviews of restaurants.
Success Story:
#9. Rivigo
Headquarters: Gurugram, Haryana, India
Year: 2014
No. of Employees: 2K+
Revenue:
Awards:
Rivigo offers safer and efficient logistical solutions in India by catering to the issue of truck driver shortage using a driver relay model. The company has a fleet of over 5,000 high-tech trucks and 200,000 verified fleet owners.
#10. Delhivery
Headquarters: Gurugram, Haryana, India
Year: 2011
No. of Employees: 8K+
Revenue:
Awards:
Delhivery is India’s leading supply chain services company that started in 2011. The company uses high-quality infrastructure, logistics operations, and cutting-edge engineering and technology capabilities. Delhivery has delivered over 650 million orders to more than 250 million households across India.
#11. Big Basket
Headquarters: Gurugram, Haryana, India
Year: 2011
No. of Employees: 8K+
Revenue:
Awards:
Big Basket is a leading online grocery store in India. The company provides a wide assortment of 18,000 products and over 1000 brands ranging from fresh Fruits and Vegetables, rice and dals, spices and seasonings to packaged products, beverages, personal care products, meats, and other daily household needs.
#12. Byju’s
Headquarters: Bangalore, Karnataka, India
Year: 2011
No. of Employees: 10K+
Revenue:
Awards:
Byju’s is a learning app launched by an Indian educational technology in 2015. Byju’s offers highly personalized and effective learning programs for classes 1 - 12. It also provides online learning for various competitive exams. It has 50 million registered students and 3.5 million paid subscriptions.
#13. Udaan
Headquarters: Gurugram, Haryana, India
Year:
No. of Employees:
Revenue:
Awards:
Udaan is a B2B trade platform, designed for small and medium businesses in India. It brings together traders, wholesalers, retailers, and manufacturers in India. Businesses can reach out to buyers and sellers across the country through Udaan, which is known for offering the low and best price, good quality, and best selection to their retailers.
#14. LensKart
Headquarters: Faridabad, Delhi NCR, India
Year: 2010
No. of Employees: 2K+
Revenue:
Awards:
Lenskart is the leading online portal for eyewear in India. It has become a one-stop online store for purchasing eyewear and its accessories for men and women in diverse styles and colors and across various brands.
#15. Quikr
Headquarters: Bangalore, India
Year: 2008
No. of Employees: 2K+
Revenue:
Awards:
Quikr is an online platform for buying and selling used cars and bikes, mobiles and tablets, electronics and appliances, real estate, etc. It allows users to post free ads. Quikr was founded in 2008, headquartered in Bangalore, and has a footprint in over 1000 cities in India.
#16. Zerodha
Headquarters: Bangalore, Karnataka, India
Year: 2010
No. of Employees: 1K+
Revenue:
Awards:
Zerodha pioneered the discount broking model in India back in 2010. The company caters to over 3 million clients who place millions of orders every day and contributes over 15% of all Indian retail trading volumes.
List of Potential Startups in India
#1. Loom Solar
Headquarters: Faridabad, Haryana
Year: 2018
No. of Employees: 100+
Revenue:
Awards: Golden Bridge Awards & Amazon Sambhav
Loom Solar is a young solar company with a strong online presence in India. It is headquartered in Faridabad, Haryana, and helps consumers make more informed decisions regarding buying solar systems. It also aids customers in getting government approvals for subsidies and net metering. Loom Solar is founded by Amol Anand, an ex-employee of Luminous Power Technologies Ltd. having a deep understanding of solar energy. Loom Solar is registered with MSME, the government of India and is also ISO certified for providing a superior customer experience.
#2. Droom
Headquarters: Gurugram, Haryana
Year: 2014
No. of Employees: 300+
Revenue:
Awards:
Droom offers an online transaction platform for buying and selling used and new automobiles in India. Droom caters to individual buyers and sellers, dealers, and large enterprises. The company has an 80% share of the online automobile transactions market.
#3. Pepperfry
Headquarters: Mumbai, Maharashtra
Year: 2011
No. of Employees: 600+
Revenue:
Awards:
Pepperfry is a leading online furniture store in India with over 60 lakh registered users and over 1.2 lakh products to choose from. The company delivers to over 500 cities in India and has 17 fulfillment hubs across the country. Pepperfry is also establishing experience centers in major cities in India.
#4. Practo
Headquarters: Bengaluru, Karnataka
Year: 2008
No. of Employees: 1100+
Revenue:
Awards:
Practo is an online platform for booking appointments with doctors, diagnostic tests, obtaining medicines, storing health records, etc. The company ensures that each doctor profile is verified for medical license, qualification, and specialization. It provides a hassle-free consumer-experience of booking appointments via the telephone.
#5. Urban Ladder
Headquarters: Bengaluru, Karnataka
Year: 2012
No. of Employees: 1100+
Revenue:
Awards:
Urban Ladder is another leading online furniture and lifestyle store that provides a wide choice of furniture, home decor, and other lifestyle products.
Started in 2012, today Urban Ladder is a popular choice for city dwellers for aesthetic, fancy, and smart furniture choices.
#6. XpressBees
Headquarters: Pune, Maharashtra
Year: 2015
No. of Employees: 1300+
Revenue:
Awards:
XpressBees is one of the fastest-growing express logistics service providers in India catering to end-to-end supply chain solutions. The company enables 1.5+ million shipments per day and has a 20,000+ fleet size operating in over 1,400 cities.
#7. Zoomcar
Headquarters: Bangalore, India
Year: 2013
No. of Employees: 800+
Revenue:
Awards:
Zoomcar provides a self-driving car rental model in India. It has a vast fleet of hatchbacks, sedans, SUVs, and luxury cars. It provides a good alternative to millions of Indians who have a dream of owning a car. These vehicles are insured and come with 24x7 roadside assistance.
#8. IndiaMart
Headquarters: Noida, Uttar Pradesh, India
Year: 1996
No. of Employees: 9K+
Revenue:
Awards:
IndiaMART is one of the largest buying and selling platforms in India catering to buyers and suppliers in a B2B marketplace. The company has a 60% market share of the online B2B Classified space in India with 102 million+ buyers, 6 million+ suppliers, and 67 million+ products and services. IndiaMART was founded in 1999 with an aim to make doing business easy.
#9. BookMyShow
Headquarters: Mumbai, Maharashtra
Year: 1999
No. of Employees: 1200+
Revenue:
Awards:
BookMyShow.com is an online platform that allows users to book tickets for movies, parties, events, etc. The company was founded in 1999. It saves its customers the time and energy spent on standing in long queues for booking tickets for movies/ special events.
#10. Nazara
Headquarters: Mumbai, Maharashtra
Year: 1999
No. of Employees: 100+
Revenue:
Awards:
Nazara.com offers its users to play multiple games, compete with his friends in multiplayer games, watch streams, etc. It also announces amazing gifts to users who are part of its Rewards Program.
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