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🎉 Excited to share as an indirect investor that DevRev, backed by Khosla Ventures, has officially become a unicorn. Dheeraj Pandey, CEO at DevRev, puts it perfectly: "At the end of the day, every developer is either building something new or fixing something related to the product. But inefficient systems and processes keep developers further from their consumers. We believe there's a better way to build, operate, support, and grow your business through code. That's why we've embarked on a journey to create the Developer Customer Relationship Manager (DevCRM) that we hope will help makers build the most customer-centric companies on earth." Here are some key points about DevRev: - Co-founded by Dheeraj Pandey (co-founder of Nutanix) and Manoj Agarwal (former SVP of Engineering at Nutanix). - Offers three modern CRM apps tailored for support, product, and growth teams. - Already making waves in Southeast Asia. If you're in the region and have questions, reach out to Jeffin Mathew. 💡 Fun fact: Nutanix was also backed by Khosla Ventures. Congratulations to the entire DevRev team on reaching this incredible milestone in under 4 years! I'm thrilled to be part of the journey as a Limited Partner in 2 | Twelve one of their seed investors.

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To be honest, most VCs in India have not found product market fit (PMF) yet. I believe, you have hit PMF as a VC when you have – 1. Top 1% founders are coming to pitch to you, 2. The founder is willing to take your money at a lower price than the market might give him/her. 3. You have built capabilities to pick the founder and market you want to invest in and the confidence to pass on deals that don’t align with your vision. Best example of this is YC , ~4.5% of the startups that have gone through Y Combinator since 2010 have become billion-dollar companies.  Founders don’t just take their money—they choose YC’s standard terms even after raising at a higher price from other VCs. That’s true PMF for a VC. #VC #PMF #funding

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Founders like D2C. It’s just not a VC favourite. While D2C continues to be wildly popular among consumers, as is also clear from the number of D2C IPOs in India, there are mainly two friction points for VCs when investing in them. First, it’s tough to scale brands beyond INR 100 Cr ARR, especially given the poor brand loyalty and fierce competition in the space. These challenges eventually dilute the ROI and prolong exits for VCs. Second, the more the brands raise initially, the more they’re forced to grow later at any cost. This can result in distraction from the main business, severe cash burn, and funding issues. All in all, it is a good business for founders who don’t raise too much money and for folks with self-employment ambitions. Expecting a lot more consolidation in the space going forward - brands that do it well will scale.

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Zepto announces its $ 665M Series F financing at a $3.6bn valuation yesterday. They started as KiranaKart (part of YC's W21 program) & re-branded to Zepto; the firm has defied all funding winters with crazy momentum ⤵️ June '20: $50K Contrary Capital fellowship Nov '20: $125K YC W21 program  Jan '21: $700K Seed round Oct '21: $60M Series A/B round Dec'21: $100M Series C round May '22: $200M Series D round Aug '23: $200M Series E round Zepto's investors include Y Combinator, Nexus Venture Partners, StepStone Group and even Glade Brook Capital (former investor in Zomato). 📈 And, their metrics in the last few months have been astounding: (1) ~4.5M (i.e. 45 Lakh) Zepto Pass subscribers in 3 months - Initially this was free, then they began charging > ₹99 per month (2) 75% of ~350 dark stores are EBITDA positive - Time to EBITDA breakeven per store is down from 23 months to 6 months (3) ~28% market share in Quick Comm - Impressive given they are an independent company (versus Instamart or Blinkit) ✅ And, Zepto is just getting started:  (a) Entry in non-metro cities next (b) Entry into private label (Zepto Cafe & Meats) (c) Going to x2 the number of dark stores ➡ What I've seen lately in the key metro cities: There is a shift from e-comm to QC. I think it is only going to accelerate as QC co's bring in more categories & tap into long tail SKUs via larger warehouses.. Product searches first moved from Google to Amazon, now they may move from Amazon to Zepto et al. incredible to see how the Power Law plays out - these folks are going to change Commerce in India. Congratulations Aadit, Kaivalya + team Zepto! #startups #india #venturecapital

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Every founders dilemma, PLG Vs MLG, Which one should you build on 🤔 Understanding the nuances of Product-Led Growth (PLG) and Marketing-Led Growth (MLG) can significantly impact the success of a company's go-to-market (GTM) strategy. Product-Led Growth (PLG) PLG is a strategy where the product itself drives acquisition, conversion, and expansion. Key elements include: Product as the Primary Driver : The product offers a compelling user experience that encourages organic growth through word-of-mouth and network effects. Freemium Model : Offering a free tier or trial to attract users, who may later convert to paid plans. Viral Loops : Features that encourage users to invite others, like referral programs or collaborative tools. Focus on User Experience : Investing heavily in a seamless and valuable user experience to ensure satisfaction and retention. Data-Driven : Using data from product usage to inform decisions and optimize the user journey.. Examples : Slack, Dropbox, Zoom. Marketing-Led Growth (MLG) MLG relies heavily on marketing activities to drive customer acquisition and growth. Key elements include: Brand Awareness : Building a strong brand presence through various marketing channels (social media, content marketing, advertising). Lead Generation : Employing tactics like SEO, PPC, and content marketing to generate leads. Nurturing Campaigns : Using email marketing, webinars, and other content to nurture leads through the sales funnel. Sales and Marketing Alignment : Close collaboration between sales and marketing teams to convert leads into customers. Campaign-Based : Running specific marketing campaigns to drive interest and conversion. Examples: HubSpot, Salesforce, Oracle. Primary Driver : In PLG, the product drives growth, whereas in MLG, marketing efforts are the primary driver. User Experience vs. Brand Awareness : PLG focuses on delivering a stellar user experience that sells itself, while MLG focuses on building brand awareness and generating leads. Cost Structure : PLG often relies on lower customer acquisition costs due to organic growth, whereas MLG can involve significant marketing spend. Time to Market PLG might require longer initial development to ensure the product can drive growth independently, while MLG can often go to market faster through aggressive marketing campaigns. Many successful companies blend elements of both strategies, leveraging a strong product to drive organic growth while also investing in marketing to accelerate reach and scale. #McKinsey reports that companies blending PLG and MLG can achieve up to 25% faster revenue growth compared to those relying solely on one approach. A hybrid approach can often provide the best of both worlds, driving sustainable growth through both exceptional products and effective marketing. What's your take on building a winning GTM strategy 🤔 ? Pls share 👏 On a #mission to #disrupting global #commerce #GTM #PLG #MLG #SaaS #D2C #Retail

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🎯 The Zerodha Playbook: That Robinhood Is Stealing! Everyone's talking about Robinhood's minimal rebrand, but let's rewind to the OG strategy... Zerodha didn't raise millions. Didn't do flashy marketing. No cute mascots. Just razor-sharp focus on serious investors from Day 1. The secret sauce? + Minimal, no-nonsense design + Zero investor money (100% bootstrapped) + Focus on power users who actually trade & invest + Clear education focus (Varsity & Zero1 ) + Strong founder presence (Nithin's X & Nikhil's YT game is 🔥) Result? India's largest broker. $3B+ valuation. And guess what? Still no fancy rebrands needed. This is why Robinhood's new "boring" direction makes perfect sense. In fintech, flash ≠ cash. We break this whole strategy down in our latest Design + Unscripted episode with Gurjinder. It's a masterclass in knowing your real user. 🎙️FULL EPISODE, LINK IN COMMENTS #branding #rebranding #designcommunity #design #brandstrategy

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India's deeptech landscape is at a crucial point. Nasscom’s latest report shows that 70% of deeptech startups are worried about not having enough capital for computing operations. On the flip side, over 70% of investment firms are hesitant because these high-potential ventures need patient capital due to their long gestation periods. It's a bit of a chicken-and-egg situation! To really support our deeptech startups and their groundbreaking innovations, we need to rethink our funding approach. This is where we hope the government can step in with some help. Co-investment programs, grants, and tax credits for R&D could make a huge difference. By working together, we can ensure our deeptech startups have the support they need to push boundaries and lead the way in technological innovation. #Deeptech #StartupEcosystem #Innovation #Funding #VentureCapital #GovernmentSupport #IndiaTech #RnD

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As the Indian startup ecosystem continues to evolve, the #preseed stage has emerged as a critical phase for early-stage founders. It’s the bridge between a bold idea and a scalable business. At this stage, #entrepreneurs receive the funding and mentorship needed to validate their concepts, build prototypes, and establish early traction. This is also when decisions around product-market fit, team building, and business models take shape. For the right teams building the right products at the right time, pre-seed capital can be just the rocket-fuel they need to take off successfully. To guide founders through this pivotal stage, #WeWorkLabs and Eximius Ventures have come together to create a comprehensive Pre-Seed Guide, aimed at demystifying how the pre-seed world works and equipping you with the know-how to set yourself up for a successful fundraise. Stay tuned for its launch! 🚀 WeWork India | Eximius Ventures | Pearl Agarwal | Preeti N. | Pankhudi Kedia | Aniket Jagtap | Shenjit Basu | Mohini Kumar | Tanuj Ahuja | Akanksha Sarma #Startups #Entrepreneurship #PreSeed #India #VentureCapital #Innovation #WeWorkLabs #EximiusVentures

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Startup founders in India, I need your input. We're facing significant hurdles with the Google Play Store review process for our app, Queo Health. Current situation: App stuck in review for almost a month Zero feedback from Google Multiple unanswered support tickets 3-month delay in our app launch This lack of communication is severely impacting our business timeline and plans. Despite Google's promise of 48-72 hour response times, we've been waiting for weeks. Questions for the community: Has anyone else experienced such lengthy review times recently? What strategies have you used to get a response from Google Play support? How are you managing the uncertainty in your release schedules? Let's share experiences and solutions. Perhaps together I can find a way to navigate these challenges. #GooglePlayStore #AppReview #StartupChallenges #TechSupport #MobileDevelopment

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I met two founders - no product, no revenue, but raising at $40M valuation🤯 They were super confident that they are building the Next Big Thing and honestly, I love that energy. Every founder should believe they’ll defy the odds. That kind of confidence can move mountains But then we got into the details The CEO said they were planning to raise $2 million for 5% of the company I asked, “Why do you think investors will agree to this?” The CEO said, “Because we’ll be worth $1 billion one day.” This is where it fell apart for me. Red flag spotted 🚩 I get it - there’s no science behind early-stage valuation. It’s messy, subjective, and a mix of belief and negotiation. But this is where most founders get confused So here’s a simple framework to think about early stage valuations: 1️⃣ Raise for 18 months Why 18 months? - You’ll need around 12 months to hit your milestones for the next fundraising round - Then, when you go to the market to raise your next round, you’ll need 3-6 months to close it 2️⃣ Figure out how much money you’ll need Add up your costs: team salaries, product development, marketing, and anything else you’ll spend money on for 18 months 3️⃣ Expect to give away 10-20% equity That’s what most early-stage investors will want. Based on how much you’re raising, this will give you your valuation. For example: If you need $300K (₹2.5 crore) for 18 months and offer 15% equity, your valuation is $2 million post-money So, this is how you arrive at a valuation that works for both you and the investors ————————————————————— If you’re raising funds, I’ve made a step-by-step guide to help you through the entire process of raising money from VCs It’s based on my personal experience of raising $85M+ from top global investors, and you can grab it here - https://lnkd.in/dWUTzp66 Trust me, it’s cheaper than spending hours on bad pitches, awkward investor conversations and walking out of the room wondering what went wrong 🤦🏽‍♂️

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Here's one more theme that has played out over the past decade in India SaaS: SaaS companies that sell into India/Asia (non-China/Japan). There's been a reasonably large set of investors in India who have been default no in this category, based on perception of limited TAM and GTM challenges. However, there is reason to be optimistic for this theme (we are!). A reasonable set of companies in the ecosystem have scaled, such as MoEngage, Darwinbox, Capillary Technologies, Yellow.ai, Unicommerce , Gupshup, CRMNEXT, LeadSquared. Companies like Salesforce, SAP etc have reached multi-hundred million ARR in India. As a result, the potential scale from sales in India has grown from the $15-20mm that people used to talk about 5 years back to perhaps $50mm in India, overall $100mm-150mm in Asia. I think we'll see more companies continue to get funded here as IT demand in India/SEA deepens and local requirements (mobile, India Stack, regulations, languages) get addressed. Founders and investors will need to tune into this being a solid path to go but will take longer to get to impact than US/EU-focused companies. Some characteristics we see at India/SEA-facing software companies: * Many start out in SMB but then find scale & success selling into enterprises. India market has a ton of SMBs (10mm+), a relatively light mid-market and a significant set of large enterprises. * Products tend to have feature sprawl and design-deficit but this can be fixed. * Some large sectors that are pulling at enterprise level e.g. BFSI, multi-sector conglomerates. Early traction from digital native companies (but naturally capped market). * Natural to go to SEA & Gulf countries. Product could remain fairly similar but sales & marketing motion can be quite different. To get really large, feels like will have to end up going to US/EU markets eventually. * ~10 years to $100mm ARR, with market leadership in Asia * Gross margins start out perhaps 10-15 points lower than corresponding companies in the US/EU but trend up over time. * Most India-facing SaaS companies are starting as India Pvt. Ltd. today, compared to 5 years ago (versus US C-corp), with a view to going public in India at $50-100mm revenue level.

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Can technical founders become effective CEOs? Srinath Sridhar knew he needed to step out of his comfort zone when he founded Regie.ai four years ago. Now he and cofounder Matt Millen have raised more than $20 million and landed on G2’s list of fastest-growing software products of 2024. My full conversation with Sri is in the comments.

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🚀 A $7 TRILLION economy by 2030 - the biggest wealth creation opportunity of our generation is unfolding in #India. But how will we get there? This week, we launched #Upstart - a groundbreaking series that decodes India's unprecedented growth story through the lens of its innovators and architects. The numbers are staggering: 👉🏼 97 million people joining the workforce in next decade 👉🏼 371 million middle-class consumers (world's largest) 👉🏼 40% of power capacity from renewables 👉🏼 Digital payments transactions highest globally, 2-10x of developed nations 👉🏼 Services exports hit record $341.1 billion in FY24 But numbers only tell half the story. In Episode 1, we sit down with Pranav Pai, Founding Partner of 3one4 Capital, one of India's most influential VCs who has backed 70+ category leaders including Licious, DarwinBox, and Open. Highlights from the episode: 💡 Why services are "India's LeBron James" for the next 30 years 💡 How PLI schemes are transforming manufacturing 💡 The critical policy shifts needed for global competitiveness 💡 Where the biggest startup opportunities lie in this transition Want to understand where the next decade of opportunity lies in the world's fastest-growing major economy? 👉 Watch Episode 1 of Upstart today! https://lnkd.in/gjqcU47W WeWork India | #WeWorkLabs | Aniket Jagtap | Mohini Kumar | Shenjit Basu | Akanksha Sarma | Tanuj Ahuja #Startups #VentureCapital #Founders #MakeInIndia #StartupIndia #IndianEconomy #Leadership #Entrepreneurship

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"Great things are not done by impulse, but by a series of small things brought together" GalaxEye announced investment by MountTech Growth Fund - Kavachh, a $60 million Category-II AIF, has made its inaugural investment in GalaxEye’s $10 million Series A fundraising round. GalaxEye, founded by a dynamic and skilled team from IIT-M, is on a mission to revolutionize space-based surveillance with cutting-edge, multi-sensor (SAR and MSI) fusion technology. With the first LEO satellite launch slated for mid-2025, GalaxEye aims to meet critical security and commercial needs, showcasing the power of innovation driven by purpose and precision. This partnership exemplifies our commitment to supporting trailblazing solutions that address pressing challenges in surveillance and security. GalaxEye’s ambition to leverage SAR (Synthetic Aperture Radar) and MSI (Multispectral Imaging) fusion for space-based surveillance aligns well with the evolving demands of both defence and commercial sectors. Their innovative approach with LEO #satellite constellations promises to address critical security and monitoring needs with unmatched precision and real-time insights. Backing a driven and skilled team like GalaxEye, rooted in a legacy of innovation like Avishkar Hyperloop, speaks volumes about the fund's dedication to fostering groundbreaking technology. This partnership not only reflects the fund's commitment to advancing national security infrastructure but also highlights a forward-looking vision that appreciates the convergence of innovation and practical impact. The anticipated satellite launch in mid-2025 is set to be a milestone in this collaborative journey, and it will be exciting to witness the tangible outcomes of this strategic alliance! #space #venturecapital #investment #india #strategic https://lnkd.in/ggZuW2xs

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Years of learning from investors and WHAT TRULY MATTERS Raising external capital is always stressful and becomes overwhelming real quick. After raising capital myself and now investing small tickets into other startups, I believe I understand both sides of the story. Key metrics that matter - 1. CAC - I used to believe that organic growth was more important than paid acquisition until an investor explained its importance to me. From an investor perspective, CAC is crucial in determining one complete side of the business and is deeper than just "how many customers will you have if you spend £X?". 2. Churn - Once I understood the value of CAC,  churn was a no-brainer. Helps determine customer stickiness. 3. MAU - Monthly Active Users and trends around MAU are hugely beneficial in communicating the growth and demand of the business. There are other metrics such as market size and stuff but a lot of times these are assumptions or cherry-picked data from various sources. It’s better to focus on the depth of the problem and actual metrics.

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🤔 what Paul Graham describes as “manager mode” just sounds like being a bad CEO. No effective CEO stays only surface level with their managers and just runs hands off the wheel. On the other hand, the other way to fail as a CEO is to try to be in the weeds on a lot of things that don’t matter. Also constantly signaling lack of trust in the capable executives you’ve hired is another way to fail too. Where I do agree is a lot of the advice on how to be a great CEO is fairly useless, if not outright bad. No two CEOs lead in exactly the same way. Figure out what works for you to get results and keep refining it, changing it up if it’s not working.

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Who would invest in founders who have wasted $50M? Koo, an Indian microblogging platform, recently shut shop after raising $50M in capital. Everyone has their views on why Koo failed. IMO, the biggest reason behind its failure was a lack of PMF (Product Market Fit). Koo spent much money on marketing and didn’t build a product people wanted. It kept harping on nationalism, a Twitter for Indians, made in #India. This approach failed. However, this doesn’t mean Koo’s founders aren’t smart or intelligent. I wrote in an earlier post that we shouldn’t be surprised if Koo’s founders raise fresh capital for a new startup. To many of us, this might seem grossly unfair. Millions of smart, hardworking founders are struggling to raise capital while investors are backing failed founders who have wasted millions of dollars. How is that fair? It confirms the widely held belief that the #venturecapital industry is broken and corrupt where a few people with the right connections get all the capital while others don’t see a dime. It shows that the VC industry is a closed group, a cabal where who you know matters more than anything. While these are just complaints, most people who criticise VCs don’t understand how startup investing works. VCs welcome failures. They embrace them because they know failures are inevitable. When VCs invest in 20 #startups, they know 15 will fail. The goal is to invest in startups that can give them a 100x return. Failures are part of the game. They are unavoidable. The aim is to back founders who can build such 100x return companies. Hence, failures are not looked down upon in the VC industry. It’s similar to the American culture where society appreciates the people who take risks, and it easily accepts personal bankruptcies that result from this risk-taking approach. There’s no taboo in failing in the USA and the VC industry. I’m sure Koo’s founders have learnt from their mistakes. It’s an expensive mistake and not everyone is so lucky to have this luxury to spend $50M on their education. ;) However, most VCs will back Koo’s #founders because these founders know how to raise capital and they know how to not build and scale tech companies. Their past failures have improved their chances of future success. In the VC industry, Failure is Good.

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Join us! With great power (capital, position, trust) comes great responsibility. Following the launch of Ortella Global Capital - OG Capital, India's only fund that co-builds companies, we are humbled by the overwhelming support and enthusiasm for our mission to empower the next generation of groundbreaking startups. As we embark on this exciting journey, we are reminded of the profound impact we can make through responsible and strategic investing and co-building. At Ortella Global Capital - OG Capital, India's only fund that co-builds companies, we firmly believe that with great power comes great responsibility. We are dedicated to upholding the highest standards for our investors, our co-builders, our founders and every individual whose lives we touch. As stewards of capital, we understand the importance of harnessing our resources for the greater good, not just for financial gain (yet focused on delivering 50%+ CAGR). As we grow, we are eager to expand our team with exceptional individuals who share our vision. We look forward to potentially working together to create the next hundred unicorns. Who is it for: a. If you had started a company ever and successfully exited, Reach out to us b. If you are a current founder who is passionate about building but for some reason, your business is not working out, Reach out to us c. If you had started out a few times before but for some or other reason it did not work out, Reach out to us And by the way, all our team members are ex-founders :) Additionally: - It does not matter whether you are 15 years old or 60, Reach out to us - It does not matter whether you are in Ahmedabad or Agartala, Reach out to us - It does not matter whether you are from IIT/IIM or a college drop out, Reach out to us --- because we have seen that success does not have a tag, you just need it to click once. And that's it! Please fill out the form in the comments :)

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Forget the polished presentation, India's vibrant startup scene demands a deeper dive. In a landscape teeming with potential, informed decisions separate savvy angels from the rest. Here's why diverse due diligence is your secret weapon: 👉🏻 Beyond the Hype: Go beyond the carefully crafted story. *Talk to customers: Validate their needs and pain points. *Engage competitors: Understand market dynamics and competitive edge. *Seek independent experts: Gain insights into industry trends and potential pitfalls. 👉🏻 Unique Data Points: Unlike traditional markets, access to customer feedback and competitor insights can be limited. 👉🏻 Get Creative: Leverage online forums, conduct anonymous surveys, or partner with research agencies. These unfiltered opinions can reveal hidden gems or potential red flags. Hidden strengths like strong customer loyalty or a unique technology might emerge, while unaddressed weaknesses like a saturated market or operational inefficiencies could be discovered. Due diligence isn't just about numbers, it's about understanding the story behind the story. By seeking diverse perspectives, you gain a more complete picture and make informed investment decisions that fuel India's startup success. Share your experience! What unique methods have you used to gather information during due diligence in the Indian startup ecosystem? #IndianStartups #AngelInvesting #DueDiligenceMatters #BeyondThePitch #Faad Aditya Arora Dr.Dinesh Singh Harshika Paliwal Shivani Khare Neha Mourya Vatsal Lunawat Shashank Rawat Samarth Gupta

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