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Funding winter to IPO spring: The resurgence of Indian startups as VCs eye IPOs and a path to profitability—expert analysis at ET Soonicorns Summit 2024

Economic Times · 26d

- The Indian startup ecosystem has been experiencing a resurgence, fueled by reduced risk aversion among investors and increased domestic capital. - While late-stage funding hasn't fully recovered, early-stage funding is readily available, indicating a positive shift in the market. - IPOs are becoming a more attractive option for startups, with VCs increasingly focused on ensuring sustainable returns through public listings. - Startups must have profitability or a clear path to profitability before considering going public. - Companies reaching a certain revenue scale, often around $100 million ARR, become serious candidates for an IPO. - Founders must plan for all possibilities and prepare for the challenges of managing a publicly traded company, including regulatory requirements and shifts in management focus.