Startups have been fueling India’s growth, at least for the one past decade. We have seen steep rises of some startups and their stupendous increase in valuations. Some of them have shaken the ‘India’s richest’ lists and have managed to find their place among the biggest corporate honchos.
Fundings are the key to the growth of these tenderfoots. For this reason, the financial market has been evolving continuously and is coming up with new type of fundings and investments every year. Startups are generally the cynosure of these investments and fund management firms, these are called the incubators.
Incubators are the companies that help these startups grow from the scratch. Since startups don’t have the right resources, experience and networks to get things done, Incubators help them cross these hurdles trough their superior niche expertise. They provide various services to the startups like:
- Marketing Assistance
- Providing market research
- Helping with regulatory compliance
- Intellectual property managements
- Solving legal matters
- Management and skill development training
- Supply of skilled human resource
These investment companies have experienced corporate gurus that provide assistance to the startups. They have the experience and the knowledge that the start ups lack in and this synergy makes the incubators an ideal choice for these startups.
In July this year, the government has certified 20 private companies as incubators under the ‘Startup India Action Plan’. Until now, we had 278 incubators that were all state-run and there was a lack of private involvement.
Achal Ghai as adviser, and MD at Azara Capital, which is a Venture Capital company has himself helped many of these entrepreneurial ventures stand up. In his view, “the new incubators and accelerators are the petri dishes of India’s innovations; we may soon see many startups succeeding and re-writing the stories of Flipkart and the Paytm in the coming years!”