New Delhi: Startups in India are experiencing steady funding activity at the early stages with more angel investors and micro venture capital firms taking part.
Investments in startups at idea and prototype stages are being made at the seed-stage, allowing founders to build products and enter the market. Rounds at this stage are usually smaller in terms of ticket size and have shorter execution cycles.
Investors like Amit Jain have been busy considering opportunities in areas like technology, fintech, and digital services. Such investments usually involve strategic participation in product development and market entry planning.
The financing model at this level enables startups to experiment with business models and gain some initial traction before pursuing bigger rounds. These resources are being used by founders to build core teams and hone offerings.
The rise in the activity of early-stage funding is indicative of the overall expansion of the ecosystem, as more players enter the investment arena. The trend has remained favorable to the growth of new businesses in various industries in India.
