Venture Capital Firms In India: The Catalysts For Your Dream Business

Venture Capital Financing In India

 

Are you still sitting idle with the unique business idea in your mind? Don’t do that! Turn that dream idea into reality andventure capital become your own boss for the rest of the life. Venture capital financing in India has already started creating the favorable platform to encourage startups. Now that’s really great!Every business needs a catalyst to kick off. If you too have a viable plan, you must not miss the opportunity to chase the potential venture capitalists in the country.

Here’s a list of some of the top venture capital firms in India that are eager to invest in growing markets. Depending on their sector and stage preference, you can enlist some of the names, do a research on the investors and plan a strategy for your campaign to raise venture capital financing in India.

 

Top Venture Capital Firms In India

 

Accel Partners

Location – Bangalore
– Invests in growth stage startups.
– Targets sectors like, Infrastructure, Internet and Consumer Services, Mobile, Software and Cloud Enabled Services.

  • Battery Ventures

    Location – Mumbai.
    – Invests at seed, early stage, later stage investments along with private equity and debt financing.
    – It is one of those venture capital firms in India that prefer to invest in Enterprise Software, Software and Analytics.
  • Helion Ventures
  • Location – Bangalore and Gurgaon.
    – Invest in early to mid-stage startups.
    – Targets sectors like, Online Services, E-commerce, Mobility, Enterprise Software and Outsourcing.
  • Canaan Partners

    Location – New Delhi
    – Invests in seed, early-stage and late stage, private equity and debt financing investments.
    – Preferred sectors are Software, Biotechnology and Healthcare.
  • Bessemer Venture Partners

    Location – Mumbai.
    – Involved in seed, early stage, later stage venture capital financing in India along with private equity and debt financing investments.
    – Prefers to invest in Software, Enterprise Software and Mobile.

  • Matrix Partners

    Location – Mumbai.
    – Prefers seed and early stage investments.
    – Preferred sectors are, Software, Enterprise Software, Financial Tech, Mobile, SAAS and E-commerce.
  • WestBridge Capital

    Location – Mumbai.
    – Invests at early stage and later stage startups.
    – Prefers to invest in sectors like Mobile, iPhone and Android.
  • Band of Angels

    Location – Mumbai.
    – Invests in seed, early stage and later stage startups.
    – Targets sectors like, Software, Healthcare, Health and Wellness.

  • New Enterprise Associates

    Location – Bangalore
    – Invests at seed, early, later stage, private equity and debt financing
    – It prefers to invest in Software, Biotechnology and Mobile.
  • JumpStart Ventures

    Location – Bangalore.
    – Involved in early stage, later stage and debt financing in India.
    – Its preferred sectors are Internet, Software and E-commerce.
  • LightSpeed Venture Partners

    Location – New Delhi.
    – Invests at seed, early stage, later stage investments, private equity, debt financing and grant investments.
    – It prefers to invest in Enterprise Software, Software and Mobile.

  • Nexus India Capital

    Location – Mumbai
    – Involved in seed, early stage, later stage venture capital financing in India.
    – Prefers to invest in Enterprise Technology, SAAS, Business, Consumer Services, Consumer Internet and Mobile.

Conclusion

Today, there are numerous local and global venture capital firms in India that have already raised billions of dollars in the last few years to invest in various high-potential startups in India. If you have a unique product or service and you are confident about its market value, you must try to approach one of the these top venture capital firms in India. Also ensure that you have an efficient management team to execute the plan smartly and strategically. Once you are able to get hold of the right investor, there will be no looking back for you.

 

For more information on venture capital financing in India, feel free to visit Merger Alpha http://mergeralpha.com/.

Tips For Capital Raising For Your Newly-Established Business

I know how exciting the moment is when you suddenly come up with a new business idea and decide to turn that idea into reality. Very rarely do we realize that the path is going to be really challenging, especially when you have to raise fund for your startup. Often entrepreneurs either get bored or lose hope and motivation after several rounds of failure. Make sure you are not one of them.

It’s praiseworthy that you have decided to establish your own business. It’s OK if you fail at the first few rounds; no need to lose hope and trust me, this is one of the most important tips for Capital Raising that I would like to give you.

Moving to the other tips for capital raising, you have to take care of certain things that will strongly determine your success in fund raising. Firstly, you should know your ultimate goal. What you want, how much you want, how will utilize the fund, what you are trying to achieve in the near future and such other questions.

Often entrepreneurs are concerned about their ownership in the company. Now if you are planning a business which is aimed at “for the people” and “by the people”, then you may not remain the sole owner of the company. On the other hand, if you want a simple investor-backed company where you are the sole owner, then the situation is different. So have to know what you want at the end of the day.

Your next aim should be to approach your customers before you approach the investors. Customer validation is very essential as it indicates how efficiently your business will run. Now, it doesn’t really make sense to include your friends and family in it as their reviews and comments will be to some extent biased since they love and care for you so won’t be very harsh.

To know the exact reality, you have to catch your potential customers in the market and show them a prototype. You have to do this with as little resources as possible. Try to meet at least 20 -40 potential customers and there is no better validation than getting a Letter of Intent signed by the customers themselves. If that’s not possible then, at least, try to get their feedback or comments on your product or service. If they come up with any advice, take it graciously as it will help you in improving your business.

Having strong customer validation shows that you can easily survive on least resources and this is what we call bootstrapping. If you can show your potential investors how well you can bootstrap, they will gain confidence in your business and come forward for investment.

The next important thing is to be able to tell a compelling story. It’s a must when you are sitting in front of a potential investor with your first pitch. You have to show the investors how your business will scale with time. This should arouse curiosity in their minds and increase their urge to know more about your business plan. This is not an easy job I must say. The investors are often in a state of rush and it is quite challenging to grab their attention. Unless your business sounds interesting, they won’t bother to enquire much about it.

Make a list of your potential investors and approach them one by one. If you start with, say, 50 investors, a time will come when there will be only 3 or 4 investors who will be ready to offer you term-sheets. So make sure you start with as many investors as possible, so that there is enough choice to make on both sides. Also, try to show some urgency. Investors often get motivated to see other investors interested in a business. This will help you grab their attention quickly.

Before you jump into fund raising for your startup, make sure you have a unique business plan, an organized management team, a scalable market and a strong value proposition to present in front of the investors. Simply keep in mind the above aspects and you will go a long way in your capital raising campaign. For more tips for capital raising, feel free to visit http://mergeralpha.com/

Best Time To Sell or Finance Companies

Sell or Finance Companies

Sell or Finance Companies

The plan to sell the business should be made very early, nearly 4 to 5 years in advance. This helps businesses to make sufficient preparations like building proper strategies, reducing the liabilities and increasing the key selling factors. This attitude not only makes the business more attractive to buyers but also helps in funding the company.

For those who are trying to sell or finance companies, here are some of the key points that they must remember so as to avoid the last minute rush and nervousness. Business owners are often so engrossed in the company’s day-to-day operations that they hardly tend to focus on selling or financing the companies or, maybe, on the best time to Sell or Finance Companies.

The best time to sell the business is when it is at its peak. It means when the business is performing excellently; when there are more number of key employees who are contributing immensely to the growth and development of the company. At this stage, the companies look more attractive to the other bigger companies or individuals.

One should always aim to increase the value of the company before selling it or raising fund for its further development. A few things that can increase the market value of a business are standardization of the company procedures, reducing liabilities and resolving litigations, maintaining the equipment to ensure smooth operations, having an efficient management team who can work independently or even with a new owner, eliminating non-performing employees, reducing the unwanted inventory, investigating the transferability of leases and sales and supplier contracts, etc.

There are many other things that the business owners might want to get while selling the company. Some prefer to get tax benefits, some are simply concerned about funding their retirement, some hope that their successors remain a part of the company even after it is sold, while some hope that the new owner will run the company as smoothly as before and continue to please the customers with the same standard of service.

So basically, when the owner of a business feels that he has achieved a lot and wants to retire, when his children are ready to succeed him, when his business is earning good amount of revenues or he has got a highly profitable deal, that’s the time he should think of selling his business.

On the other hand, the need for funding the business may arise at various levels of development of the company. The best time to finance the company again depends on certain circumstances such as debt position, cash position, working capital and the business model. Although there is no time bar for a highly potential and unique business, but before investing every business owner must make sure that he has properly evaluated the value of his business and he knows how much to raise so that he can meet the interest payment easily.

In any case, before approaching an investor, business owners must know how much to raise and how strong is their earlier track-records. If they have a proven track record, it becomes much easier to convince the investors and receive the much-needed fund for the business.

Those who are planning to sell or finance companies can feel free to visit http://mergeralpha.com/

Merger Alpha is an intelligent network that brings buyers, sellers, investors and financial advisors all under a single roof so that everyone can easily fulfill their requirement of buying, selling or financing their companies and earn more profit.
Good luck!

Make Your Capital Raising In Singapore Easier With This List Of Top VC Firms And Their Preferred Sectors

Capital Raising in Singapore

Capital Raising in Singapore

The venture capital industry of Singapore is growing increasingly popular. Owing to the favorable government policies and tax incentives, the investors are now getting increasingly attracted towards investment and this has significantly increased the number of startups in Singapore in the last few years.

If you are also one of those talented entrepreneurs planning for Capital Raising in Singapore for their newly-established businesses, here’s a list of some of top venture capitalists you might have been looking for. The names are followed by their preferred sectors so it will make it much easier for you to decide which investor to chase and whom to ignore. After all, it is better to have a proper knowledge of the interest of the investors or else, it might be wastage of time and nothing else. Don’t you agree?

Top Venture Capitalists in Singapore

•    Ardent Capital – Sectors: Technology, Advertising, Transactional Commerce, etc.

•    JFDI.Asia – Sector : Technology

•    Carlyle Group – Sectors: Real Estate, Infrastructure, Energy, Corporate and Private Equity.

•    Extream Ventures – Sectors: Interactive Digital media, Mobile and Wireless, Security, biometrics, Semiconductors, Internet, etc.

•    Innosight Ventures – Sectors: Internet Marketing, Mobile Application Development, Mobile Gaming, IT Security, etc.

•    Golden Gate Ventures – Sectors: Technology, Online Business, Finance, Mobile, etc.

•    Jungle Ventures – Sectors: Healthcare, Ecommerce, Digital Media and Entertainment, Search and Digital Marketing, Tourism. Etc.

•    Merger Alpha – An intelligent network of investors, entrepreneurs and advisers.

•    TNF Ventures – Sectors: Telecommunications, Technology, Medical, Eco-friendly Products/Services, Media, etc.

•    Singtel Innov8 – Sectors: Digital Content Services, Customer Service Enhancers, Next Generation Devices, Network Capabilities, etc.

•    Intel Capital – Sectors: Digital Media and Entertainment, Software Services, Computing, Mobile, Consumer Internet, Manufacturing Industry.Stream Global – Sectors: Mobile, Digital Media, ICT, etc.

•    Walden International – Sectors: IT and Software, Internet/Digital marketing, Cleantech, Semiconductors, Emerging technologies, etc.

•    FLAG Capital – Sectors: Real Estate, Energy resources, etc.

•    Gobi Partners – Sectors: Digital Media, Digital technology, etc.

•    JAFCO Asia – Sectors: Technology

•    Upstream Ventures – Sectors: IT, Internet, Software Services, Security, Biometrics, IDM and Semiconductors.

•    Mc Lean Watson Capital – Sectors: Technology, IT, Software Services, Telecommunications, Energy, etc.

Conclusion

It is not important to raise huge amount of money (more than what is needed) in the first round. You should rather focus on winning the trust of the investors. Once they consider yours a potential startup, money will automatically flow in. The only thing you need is a unique business idea which should be the only solution to an unsolved issue in the society. This will make sure that customers will run for your product or service and you must aim to make sufficient profit before the competitors arrive. Singapore is today a highly potential destination for the entrepreneurs, so make sure you don’t waste a single moment and grab the opportunity as soon as it knocks.

For more information on capital raising in Singapore, feel free to visit http://mergeralpha.com/

Tips for Raising Capital for Your Venture

Tips for Raising Capital

Tips for Raising Capital

Is this the first time you are planning to raise fund for your venture? Raising capital is a highly grueling task as you constantly have to identify your company’s strengths and weaknesses and assess the associated risk at each level. Finding fund however is not impossible and there are a variety of ways you can raise fund for your startup. Here I am giving you a few Tips for Raising Capital with the hope that these will make you a more confident person and help you choose a suitable startup funding campaign.

Firstly, there’s nothing like self-investment. If you have absolutely no personal savings, it’s OK but it really helps if you invest at least 25% to 50% from your personal savings, say, through your credit card or some other source. This gives significant credibility to your business and motivates other investors to pour money in your startup.

You can also raise money from your family and friends although it is not always the safest option as you run the risk of ruining your relationships. If you cannot repay as you promised, it might take them away from you forever. We all know how delicate these relationships are. Right? So, it is better not to take the risk if you have other options. However, if you are super-confident that there will be no such financial issues, you can definitely approach your family/friends for the capital.

Ok, have you tried crowd funding? Not a bad idea at all. It is the process of raising a small amount of money from a large number of people, usually done online. If everything falls in place, your crowd funding campaign can be a real success. Although there are fees associated with the process but there are also many benefits that you can get access to. Till now, over $2 billion has been raised through platforms like Indigogo, Kickstarter and others.
As your next option, you may think about taking bank loans which is, quite unfortunately, next to impossible. Banks and similar financial organizations do not prefer to invest in a startup, especially at a seed stage as the risk associated is huge.

Your next option can be venture capital. Yes, it is currently the most popular form of startup fund that entrepreneurs like you can go crazy about. But hold on, it’s not so easy. Finding the right venture capital firm, convincing the investors, sharing a percentage of your ownership in the company are some of the biggest considerations associated with venture capital funding.

Make sure you chase only those investors who are interested in your sector, your stage and have deep pockets, quite obviously. Venture capital brings with it a lot of other value added services like guidance and mentorship, contacts, exit facilities, etc. If you are successful in raising venture capital, you won’t have to think about chasing another investor, as in most cases, venture capitalists offer several rounds of financing. Their main objective is to earn huge profit after a certain period, say 3 to 8 years, so they make sure that your business run smoothly until you start generating revenues and make profit.

These are some of the basic things you must be aware of while raising capital for your venture. Simultaneously, keep expanding your network. Get in touch with as many people as you can as you never know when someday someone may forward to introduce you to a potential investor.

For more tips on capital raising, feel free to visit us at Merger Alpha http://mergeralpha.com/

How to Attract a Venture Capital Firm to Invest In Your Startup?

Venture Capital Firm

Venture Capital Firm

Venture capital is a strong solution to the financial troubles that you often face as a first-time entrepreneur. At this stage, when you cannot easily expect your bank loan application to get accepted, it is quite a common practice to turn towards a venture capital firm for start-up funding.

A Venture Capital Firm operates quite differently from a bank or other financial organizations. While banks aim at receiving interest incomes, venture capitalists look for long-term profits, which usually extend from 3 to 8 years. Banks are just creditors while venture capitalists own a share (25% to 50%) of your ownership in the company.

Now, the biggest challenge is to attract a venture capital firm because these professional investors are extremely tough to convince. This is due to the fact that the type of investment they deal with involves huge risks so they take extreme care while exploring your business.

If you are planning to attract one, make sure you have all the requirements fulfilled which the investors eagerly look for. Firstly, you need to have a unique product/service to offer. It should target a sizeable market and should be built on a strong and innovative business model. The investors would see if your product or service can gain traction and generate huge profits; they expect an ROI at least 3 to 5 times their investment in 5 to 8 years. They want the ROI to make up for their failed investments.

Value proposition is a must. You have to prove to the investors how your product is different from your competitors. There needs to be something special about your business to ensure that customers will come to you instead of hitting some other store. You can even demonstrate this with the help of a group of Beta customers who trust your business and are willing to wait till it attains a successful position.

Next is the presence of a smart, committed, honest, decent, hard-working and highly-organized management team in your company. Do you have one? Check this out before you approach a venture capital firm. Your management team is your biggest strength as it represents the actual structure of your company. If you have a strong team, investors will automatically get attracted towards your business.

It is not easy to forecast the future of your startup, neither for you nor for the investors. What you can do is, give them a clear idea about your plans and missions, and let them know where you are aiming to be after 5 years from now and also the limitations, if there is any. This is because the venture capitalists are highly knowledgeable people and, usually, invest in an industry which they know well. So if there is any limitation, they will definitely help you overcome it if they find that yours is actually a highly-potential startup.

Lastly, make sure the investor is interested in the industry you are dealing with. Explore their site to see whether their portfolio companies are from your sector. Finding a suitable venture capital firm can be a boon to your business, so make sure you have all the above mentioned things at proper places.

For more information on venture capital firms, feel free to visit http://mergeralpha.com/