What is Startup? What Benefits or Value addition can be provided by Venture Capital Investors (VCs) to Startups?
Contents 1. Introduction 2. Definition of Startup 3. Stages of Funding 4. Benefits of Venture Capital Investors (VCs) to Startups Introduction In August 2015, The Hon’ble Prime Minister , Shri Narendra Modi, announced The launch of the national flagship initiative – Startup India , with a mandate to promote and encourage young entrepreneurs of our country . With the aim of the initiative to transform India into a Startup nation, “ a country of job creators instead of job seekers ”. In the initial stage of business, products are generally untested and do not have an established market. Operations of firms are at a small level with no operating history and no comparable firms. The value of a Startup rests entirely on its future growth potential, which, in many cases is based on an untested idea and may not have been based on an adequate sampling of consumer behavior or anticipated consumer behavior. The estimates of future growth are also often based upon assessments of the