CXOtoday gave an exclusive interview to Subhashis Kar, Techbooze Founder and CEO
Introducing Techbooze
Techbooze Consultancy is an India based company that provides various services to startups such as project consulting, startup planning, business consulting and digital SEO services. They aim to improve the quality and standards of the startup ecosystem and work on the principle of trust. Their services include DPR preparation, architectural consulting for large construction projects, business planning, financial planning and marketing planning. We also offer digital marketing services such as dedicated Alexa rankings and increased website traffic.
Where does India’s startup funding stand today? What are Techbooze’s plans for it?
As of 2021, the Indian startup ecosystem has seen significant growth in recent years, with many startups being established and funded. Indian start-ups raised a record $14.5 billion in 2020 despite economic challenges caused by the COVID-19 pandemic, according to a report. The Government of India has also announced various initiatives to support the startup ecosystem, such as the Startup India program.
Techbooze aims to improve the quality and standards of the Indian startup ecosystem. Techbooze offers a variety of services to help startups secure funding. This includes creating a curated and summarized set of plans including certified business plans, certified financial plans, marketing plans, customized marketing plans and investment pitching decks. These plans are created by top experts in their respective fields, and Techbooze emphasizes that the quality of its products is uncompromising.
With a recession on the horizon, what strategies should startups take to raise or raise capital?
During a recession, it can be more difficult for companies to raise money and stabilize their finances. However, there are several approaches that entrepreneurs can consider to navigate this challenging economic environment.
Focus on cost savings: Startups should examine their spending to determine where they can save, whether by hiring less, renegotiating rent, or finding more affordable suppliers.
To reduce reliance on a single source of funding, startups should consider diversifying their income streams. This may involve presenting new products and services or exploring new market niches.
Build a strong financial cushion: To prepare for a possible recession, start-ups should focus on minimizing debt and building cash reserves.
Look for other sources of funding: As a complement to traditional sources of funding such as venture capital and angel investors, startups should consider alternative sources of funding such as crowdfunding and government grants.
Focus on customer retention: To ensure a consistent revenue stream, startups should focus on retaining current customers and fostering loyalty.
Adaptable: Startups must be ready to change their strategy and business model as needed to respond to changing economic conditions.
Startups should focus on showing traction to attract investors during a downturn through revenue growth, customer acquisition, customer retention, etc.
It’s also important to keep in mind that investors tend to be more cautious and may hold back on investing in companies during recessions. Entrepreneurs must therefore be ready to demonstrate their toughness and development potential in difficult economic times.
What are the latest challenges in the Indian VC community today?
There are several issues that the Venture Capital (VC) community in India is currently grappling with. Recent difficulties include:
Slower fundraising: A slowdown in Indian start-up fundraising has resulted in a decline in both transaction and investment volumes.
Lack of exits: There are not many VC-backed business exits in India, making it difficult for VCs to make a profit from their investments.
Limited Number of Established Businesses: India lacks established startups ready for large funding rounds, leaving venture capitalists looking for promising investment potential. are getting harder to find.
Limited Domestic Market: Compared to other important global markets, India’s domestic market is very small, limiting the growth potential of many companies.
Limited number of veteran business owners: With only a small number of veteran business owners in India, it can be difficult for VCs to find companies with strong leadership groups.
Regulatory Issues: Negotiating India’s ever-changing regulatory landscape can be difficult for VCs looking to invest in Indian businesses.
Lack of Adequate Infrastructure: Some parts of the country lack proper infrastructure, which can make it difficult for startups to grow and attract investment.
Despite these challenges, India’s startup ecosystem continues to expand and there are several opportunities for VCs to invest in successful businesses. To mitigate these risks, it is important that VCs are aware of these issues and have a well thought out investment plan.
What will the VC market look like for startups in 2023?
Venture capital industry experts expect 2023 to be a relatively flat year for fundraising growth compared to the previous year. The 2021 funding amount was an anomaly due to the pandemic, but it’s about the same when compared to 2022 and his 2019 funding amount. A market bull run doesn’t last forever, so the slowdown in funding growth isn’t unexpected. Experts expect growth-stage capital to be scarce and only very good companies to continue to attract capital. As a founder, if he’s lucky enough to raise a big late-stage round in 2022, he’d rather use that capital to break even than expect to raise another big one this year. It is recommended to make it a branching point.
