Geldem Capital

Three classmates embarked on a mission to revolutionize women's careers. FlexiBees has secured a pre-Series A funding round led by Inflection Point Ventures(major), Shan M S and Reema Mahajan. The investment will be utilized to expand the company's #technological infrastructure, enhance its #AI algorithms, and extend its market presence to better serve the needs of both employers and talent. FlexiBees is a talent marketplace founded by Deepa N Swamy, Rashmi Rammohan and Shreya Prakash who are friends and classmates from one of Asia's leading business schools, the Indian Institute of Management, Bangalore. They bring a combined 30 years of experience across various functions including strategy, service selling, sales, marketing, digital, consumer behavior and insights, and finance. Their passion lies in helping businesses achieve significant growth and uncovering the untapped potential in underserved talent pools, such as women professionals who seek flexible work opportunities.  The #startup boasts a network of over 60,000 qualified and experienced professionals and has served 700 #clients across multiple locations, including India, Singapore, UAE, UK, and USA.  It has successfully placed over 1,400 women in #flexible careers and has made a positive impact on 20,000 women through returnship #preparation and #interview coaching. #Geldemcapital #Women #IIMBangalore #Flexiblecareer

The Budget includes a significant focus on Micro, Small, and Medium Enterprises (MSMEs) through Mudra loan which is to be enhanced to Rs 20 Lakh from 10 Lakh. The Micro-Units Development and Refinance Agency (MUDRA) #Scheme is an initiative by the #Government of India under the Pradhan Mantri Mudra Yojana (PMMY) to promote small businesses, startups, micro-units, and MSMEs. This initiative offers #funding support through various Banks/NBFCs to help start a new business, meet daily business requirements, and expand existing businesses. The maximum loan amount offered under the #MUDRA scheme is up to Rs. 20 lakh with a repayment tenure of up to 5 years. No collateral/security is required to avail the Mudra loan.     Eligible Entities who can apply for Mudra Loans  1️⃣ Individuals, Startups, Business Owners, Entrepreneurs, and MSMEs 2️⃣ Traders, artisans, shopkeepers, vendors, small manufacturers, retailers, and other business entities engaged only in the Trading, Services, and Manufacturing Sectors 3️⃣ Women Entrepreneurs, as well as People belonging to SC/ST/OBC category 4️⃣ Applicants with No past loan default(s) with any financial institution shall be preferred by Banks/NBFCs   Documents required 1️⃣ Duly filled application form with recent passport size photographs 2️⃣ KYC documents of the applicant, such as Passport, Aadhar card, PAN card, Voter ID card, Driving License, Birth Certificate, Utility Bills (Water & Electricity) 3️⃣ Proof of belonging to special categories, such as SC/ST/OBC/Minority, etc. Business incorporation certificate, if applicable 4️⃣ Business address proof 5️⃣ Last 6 months’ bank statement 6️⃣ Any other document required by the Bank/NBFC Follow us for more insights #geldemcapital #budget #mudraloan

Should investors avoid Debt Funding? Equity Funding vs Debt Funding: #Equity funding involves the founder raising funds in exchange for a stake in the startup, whereas debt funding involves securing a loan that the startup must repay in the future according to agreed terms. #Debt funding allows founders to secure funds on a clean financial slate. Even #loss-making startups can raise debt funding during a booming sector, with the expectation of becoming profitable within 3-4 years. During #repayment, if the startup is still not profitable but the sector is thriving, it can secure further debt funding as everything looks good on paper to repay the debt. This #cycle continues until the startup defaults on payments or is unable to secure further debt funding, potentially leading to its downfall of startups. What do you have to say on this? Please share your thoughts ! #debtfunding #equityfunding #geldemcapital

Can Startup Investors dethrone the Founder? A #founder is someone who turns an idea into an actual business by working from scratch. To infuse money into the #business, the founder invites #investors to invest in the startup in exchange for equity shares. For example, in the first round, the founder raises 20 lakh in exchange for a 30% share of the startup's equity, leaving the founder with 80% equity. In the next round, the founder raises 30 lakh in exchange for 30% equity from their share, resulting in the founder holding 40% equity now. It's important to note that the founder invites investors. However, in scenarios where decisions are made collectively by the #Board of Directors, which includes Investor A, Investor B and the founder, investors with the majority share can collectively make decisions against the founder, even if the founder holds 40% equity. Solution: The Co-Founders Agreement should include a #clause stating that  Founders cannot be removed from their #position for a specific year say 3-5 years. Follow us for more insights.

Anti-dilution clause: what you need to know before the next funding round ➡An anti-dilution clause, also known as #valuation protection rights, #safeguards investors from reducing their ownership stake in a company when it raises additional funds at a lower valuation. ➡When a subsequent round of #funding results in a lower valuation compared to the previous round, it's called a Down-Round.   ➡During a down round, #investors' ownership share increases through an adjustment to the conversion price or conversion ratio of the convertible securities they hold. ➡There are three main types of anti-dilution clauses: 1️⃣ Full Ratchet Anti-Dilution Protection 2️⃣ Broad-Based Weighted Average Anti-Dilution Protection 3️⃣ Narrow-Based Weighted Average Anti-Dilution Protection Follow us for more insights.

Why do #Startups fail after Angel Investment? ↘ Understanding the #reasons why startups fail after receiving angel investment is important. Here are the main factors to consider:  📉 Pressure to perform 📉 Employee Burden 📉 Cash Burn-out 📉 Success in a short span Let me know if you know any other reasons as well in the comment section.

🎇 FEW INSPIRING YOUNG ENTREPRENEURS 🎆   🔶 Divya Gandotra Tandon (22 year)  She is the Founder & Director of Scoop Beats Private Limited. Scoop Beats is an Internet media company. Their aim is to bring their audience to the real world. They do this by delivering information as Quickly as possible without compromising the Quality and reliability of Data. They cover topics ranging from technology to science, entertainment, health and business. She is also known as the Tech Girl of the YouTube community. 🔶 Sreelakshmi Suresh  (25 year)  She is a web designer from Kozhikode, Kerala, India. She is mainly known for her work designing websites in India which gained her media coverage as early as 2006. Sources have named other individuals as holding the titles of World's Youngest CEO and World's Youngest Web Designer. 🔶 Advait Thakur  (21 year) He is an Indian computer programmer and serial entrepreneur. He is the founder of an Indian technology company, Apex Infosys India, and is currently its chief executive officer. 19-year-old Indian tech prodigy Advait Thakur who started using computers at age six launched his first website at age nine and has been working with Google’s AI and Natural Language Processing APIs for a couple of years now. Advait is recognized as one of the youngest CEOs in the country by CEOInsights   🔶 Akhilendra Sahu (23 year) He is the Young Serial Entrepreneur From India. He is the founder and CEO of ASTNT Technologies Private Limited Technologies Pvt Ltd, an IT Company a parent organization of Technical Next, ASTNT Media, ASTNT Newswire, StartUp199 & Co-Founder of Scoop Beats Pvt Ltd., an Internet news media company. He helps bollywood & hollywood celebrities and public figures to grow their online presence through social media marketing. Akhilendra ranked on India's top 10 young indian entrepreneur & top 10 young digital influencers. 🔶 tilak mehta (18 year) The creator of #Papers N Parcels, a logistics and courier agency that provides various services, such as document and package transportation and specialised logistical solutions. One of the fastest-growing logistics firms in India, Papers N Parcels, has benefited from Mehta’s creative thinking and emphasis on technology. Mehta received numerous honours for his commitment to his job, including inclusion on the Forbes 30 under 30 Asia list in 2018. 🔶 Krishnav Dhingra (22 year) The founder of Sneakare, a third-year graduate student, coming to a platform like Shark Tank with his second venture is extremely impressive. Sharks found the concept of his business a game changer. What surprised and impressed them was his business background as he started his first business at the age of 17, when he was in school.

Financing Series (Part-II) 📰 CONVERTIBLE NOTES A convertible note is an #investment vehicle used by investors to provide funding to pre-revenue start-ups generally. These notes are essentially a loan for founders, but instead of receiving #principal amount in return, the investor will receive an #equity portion in the invested start-ups. ▶ To understand how a convertible note works, it's important to first grasp the following terms: 🔸 Interest Rate: Essentially, these notes act as loans to founders. For investors, they won't receive regular #interest payments, but rather interest will accumulate alongside the principal and convert into equity in startups. 🔸 Valuation Cap: This sets a maximum price for #conversion in a future event, granting ownership rights to the investors.  🔸 Discount Rate:  When conducting valuation for #equity issuance for current and new #investors. The current investors will receive discounted equity i.e. they will get more shares in the start-ups. 🔸 Maturity Date: This determines when the conversion will occur, usually in the next round of #valuation and is decided at the issuance of the convertible note. ▶ Pros of Convertible Notes ▪  Convertible notes do not have voting rights until they are converted. ▪ The paperwork for convertible notes is easy because there is no need of valuation of  the startup on the issue date. ▪ Convertible notes can act as fixed income for investors if the note agreement mentions paying interest at a fixed period. Otherwise, interest can be accumulated and conversion can be done later. This interest accumulation can also be helpful for the founder as they can use it in their startup. ▪  Convertible notes do not sell actual share ownership on the issue date. This helps the founder to maintain control and make decisions accordingly.   ▶ Cons of Convertible Notes ▪ No ownership of investor in startups until conversion of convertible notes. ▪ There is a high risk of uncertainty because these notes are mainly for non-revenue startups, and the future is uncertain.     ◽ Like this post if you found it insightful ◽ Repost this on your timeline to spread awareness ◽ Comment your thoughts! ◽ Follow us for more such contents.

Financing Series (Part-1) SAFE stands for "Simple Agreement for Future Equity." In the world of startups, it's a creative way to raise funds from early-stage 🤠 investors which is introduced by Y Combinator in 2013, it gained popularity because of its simplicity and ease of use. SAFEs can be best suited for pre-revenue or pre-product startups, and those looking to raise smaller amounts of funding or seeking more flexibility in terms of valuation and dilution. ⏩ How it works? SAFE is an agreement between the founder and the investor in which the founder provides a portion of equity to the investor in exchange for funding. The valuation of that portion of equity is determined in the next round of funding or as otherwise agreed upon. This arrangement allows the founder to maintain control and make decisions without interference. It consists of two major components: Valuation Cap and Discount Rate. 🔸 Valuation Cap: A founder always wants to dilute less and the investor wants to dilute more, which leads to negotiation. However, in SAFE mode, the Valuation Cap is set at maximum because it is determined in the future, where the investor will receive a larger portion of equity. 🔸 Discount Rate: Conversion of an investor's investment into equity will be at a discounted rate compared to new investors in that funding round. For a larger portion of equity, the investor takes on higher risk. ⏩ Advantage to Founder ▪ This arrangement allows the founder to maintain control and make decisions without interference. ▪ Simplicity, speedy and flexibile to raise fund as no Valuation needed. It involves less paperwork & less legal complexity ▪ Non-debt nature ensures no obligatory repayments or accrued interest. ⏩ Advantage to Investor ▪ Participation in the next funding round at the same percentage as their ownership through their SAFE notes.  ▪ Investor access to the startup's financial and operational information.  ▪ In the event of insolvency, SAFE investors have preference in receiving their investment before making any payments to other shareholders. ◽ Like this post if you found it insightful ◽ Repost this on your timeline to spread awareness ◽ Comment your thoughts! ◽ Follow us for more such contects.

After helping founders raise $125M+, I've realized: Only a few things separate the best pitches... Want to know what makes the best pitches different? The thing that separates them from the merely good, or even bad, pitches? Here you go... 👇 ___ Was this helpful? 👍 like and ♻️ repost to help other founders