🚀 Medial just raised $500k in Pre-Series A. Tap to read the announcement. 🎉

Download App

Home

Switch theme

Blog . Feedback . Privacy
Community Guidelines

Back to feeds

Aakash kashyap

Stealth • 2m

❗❗Important For All ❗❗ A $450 million Indian startup, Zest Money, shut down due to strict RBI regulations, highlighting the risks of external factors in business. 🚀 $450 million valuation: Zest Money was a leading player in the buy now pay later sector. 📉 Industry downturn: 355,000 startups shut down in 2023, nearly double from the previous year. 💰 Venture capital reliance: Many startups faced closure after relying heavily on VC funding. 📜 RBI regulations: Zest Money’s downfall stemmed from strict consumer lending regulations imposed by the RBI. ⚖️ Importance of compliance: Regulatory changes can significantly impact even established Businesses. 🔍 Cautious investors: Investors have become more selective, contributing to startup failures. Key Insights: 🚀 Valuation vs. Viability: A high valuation does not guarantee success; external factors like regulations can derail even strong businesses. 📉 Surge in Closures: The drastic increase in startup shutdowns indicates a challenging environment for new ventures, reflecting investor sentiment and market conditions. 💰 Venture Capital Risks: Over-reliance on venture capital can lead to vulnerability; startups must diversify their funding sources to ensure sustainability. 📜 Regulatory Landscape: Understanding and adapting to regulatory changes is crucial for startups, as compliance can make or break their operations. ⚖️ Investor Selectivity: A shift towards cautious investment strategies by venture capitalists can create additional pressure on startups to prove their worth. 🔍 Market Awareness: Startups need to stay informed about market dynamics, including regulatory landscapes and investor behaviors, to navigate risks effectively.

6 replies4 likes

Replies (6)

Anonymous 3

Stealth • 2m

Honestly, with so many external risks, it feels like starting a business is becoming a losing game nowadays

1 replies

Anonymous 2

Stealth • 2m

True, you can't just build thinking it's okay because you're too small because when you get hit, you get hit hard.

1 replies

Anonymous 1

Stealth • 2m

Huge wake up call for all folks.

1 replies1 like

Recommendations from Medial

Saksham

Stealth • 6m

The RBI released a framework for self-regulatory organizations (SROs) in the fintech sector to balance innovation with regulatory compliance. Key points: •SROs must represent the fintech sector, including RBI-regulated entities, facilitating self-g

0 replies5 likes

Arya Ketan

Stealth • 5m

Startups in the US create actual value, while startups in India focus on expanding valuations. Value creates a strong country, and valuation creates the lifestyles of founders and venture capitalists... #startup #funding #vc

1 replies6 likes

Vaibhav Babruwan Shingde

Stealth • 5m

Why Agritech startups are struggling to survive in India 🤔💭 Some startups are working on this : • DeHaat • Fasal • AgroStar • CropIn 1. Fragmented market: • Millions of small farmers make scaling difficult. 2. Low tech adoption: • Farmers o

6 replies14 likes

Vaibhav Babruwan Shingde

Stealth • 8m

Hello Guys, I am starting one series of content regarding to the Finance, Startups, Venture Capital Firms and Investment Banking etc.📈💭🚀 Let's Discuss with How VC's determine the valuation of startup 🤩🚀💯❓ •TAM : See the Total Addressable Mark

5 replies10 likes

Vaibhav Babruwan Shingde

Stealth • 9m

Which of the these following failed startups , which Startup had raised Funding From Nexus Venture Partners, Sequoia Capital and Softbank in between 2010-2015 at the valuation of 1500 Crores and Failed Eventually 😒🤑🤔💭? I have to check Product M

1 replies4 likes

Pranjal Pandey
•

CompSci • 8m

(3/3) 8. Compliance with Company Law : Comply with the provisions of the Companies Act, including holding annual general meetings, maintaining statutory registers, and filing annual returns with the Registrar of Companies. 9. Contractual Agreements

0 replies8 likes

Udyamee

Stealth • 6m

𝗪𝗵𝗮𝘁 𝗪𝗲𝗻𝘁 𝗪𝗿𝗼𝗻𝗴: 𝗪𝗶𝘁𝗵 𝗭𝗲𝗯𝗽𝗮𝘆?🦓 India's crypto king Zebpay, est. in 2014, quickly became India's largest crypto exchange. At its peak, it was handling over $1 billion worth of TXN. Zebpay was a perfect startup with strong lead

10 replies10 likes

Vinayak Shivanagutti

Stealth • 8m

Case Study: Paytm – India's Payments Pioneer Founded in 2010, Paytm revolutionized India's digital payments landscape. Stats: Users: 330M+ active Merchants: 21M+ partners Business Model: Payments, financial services, e-commerce. Revenue: FY18: $

6 replies9 likes

Priyanshu Gupta

Stealth • 17d

1. Piyush Goyal's Vision for Indian Startups: Union Minister Piyush Goyal highlighted the goal of achieving one startup per 1,000 people in India, inspired by Israel's innovative ecosystem. He emphasized fostering entrepreneurship among youth to make

0 replies4 likes

Vaibhav Babruwan Shingde

Stealth • 5m

𝗪𝗵𝘆 𝗦𝗼𝗳𝘁𝗕𝗮𝗻𝗸 𝗶𝘀 𝗣𝘂𝗹𝗹𝗶𝗻𝗴 𝗠𝗼𝗻𝗲𝘆 𝗢𝘂𝘁 𝗼𝗳 𝗖𝗼𝗻𝘀𝘂𝗺𝗲𝗿 𝗜𝗻𝘁𝗲𝗿𝗻𝗲𝘁 𝗦𝘁𝗮𝗿𝘁𝘂𝗽𝘀 𝗔𝗻𝗱 𝗪𝗵𝘆 𝗕𝘂𝗹𝗹𝗶𝘀𝗵 𝗼𝗻 𝗔𝗜 ❓🤔💭 : 1. Market Saturation : • India's startup scene is crowded and competitive. 2. Ec