Fundraising Feed
Congratulations to BonV Aero!

Exciting news from Meet the Drapers Season 6 Finale - BonV Aero emerged as the champion, securing a whopping $1.6 million in funding! 🏆

I had the opportunity to be part of the selection panel along with Devesh Ramchandani, Dr. Barada Prasad Panigrahy and Sarika Batra, we witnessed more than 300+ Startups from across India, Srilanka and the MENA region, and least mention the Sri Sri University, Bhubaneswar, certainly was tough call to pick one startup to be represented from each region.

I would like to thank all our judges who were at MEET THE DRAPERS-season 6 India, Madan Padaki Nikhil Kamath Nupur Hemant along with Tim Draper.

BonV Aero’s groundbreaking mission to transform critical logistics with innovative electric aerial vehicles, tailored for demanding terrains, has garnered them well-deserved acclaim from our distinguished panel of judges.

Many congratulations to the team BonV Aero Satyabrata Satapathy Gaurav Achha the winners and 1st Indian startup to be funded at Meet the Drapers seasons.

This season witnessed a total investment of $2.8 million, underscoring the extraordinary promise and commitment of our contestants to propel innovation and change.

If you're convinced your startup can make a significant impact, seize the opportunity to apply for Season-7 of Meet the Drapers. Embark on this journey to leave your imprint on the global entrepreneurial landscape. https://lnkd.in/gWuVsvJF
Startup Learning Series: Understanding ROFR vs. ROFO

ROFR (Right of First Refusal)

➡️ What is ROFR?
The holder has the privilege to match any offer the seller receives before finalizing a deal with a third party. Essentially, they have the right to refuse an initial offer and step in with the same terms.

➡️ Example:
Startup A grants an investor a ROFR. If the startup receives a funding/ acquisition offer from Company X, the investor has the first shot at matching that offer before the startup can proceed with Company X.


ROFO (Right of First Offer)

➡️ What is ROFO?
Unlike ROFR, this gives the holder the first chance to make an offer before the seller approaches others. The seller is obligated to consider this initial offer before entertaining offers from third parties.

➡️ Example:
Startup B gives an investor a ROFO. If the startup decides to sell a portion of its shares, the investor gets the opportunity to present an offer first before the startup explores other options.


Which is more beneficial for Startups?

➡️ ROFO: This can be advantageous for startups aiming to maintain control and nurture strategic partnerships. It provides a structured process for selling shares and ensures that existing stakeholders are considered first.

➡️ ROFR: Startups looking for flexibility might prefer ROFR. It allows them to explore various offers and potentially secure a better deal.


Which is more beneficial for Investors?

➡️ ROFR: Investors seeking security and the ability to protect their investment may lean towards ROFR.

➡️ ROFO: Investors looking for proactive involvement and a first-mover advantage may find ROFO more appealing. It allows them to set the initial terms and potentially secure a deal before others come into play.


Considerations for both Parties

➡️ Negotiation Power: ROFO gives negotiating power to the holder by allowing them to set the initial terms.

➡️ Flexibility: ROFR provides flexibility for sellers to explore various offers before committing.

➡️ Relationship Dynamics: Both agreements impact the dynamics between startups and investors, requiring a careful understanding of the long-term vision and goals.


Conclusion

➡️ The choice between ROFR and ROFO depends on the specific needs and goals of the startup and the investor involved.

➡️ It's not a one-size-fits-all scenario, and understanding the nuances is crucial for creating mutually beneficial agreements.


Other posts in the Startup Learning Series:

🔗 Pre-emptive Rights: https://lnkd.in/dQKcThft

🔗 Liquidation Preference: https://lnkd.in/dRb2Eetc

🔗 Anti-dilution Clause: https://lnkd.in/dFSWs2xH

🔗 Understanding ROFR: https://lnkd.in/dxuVBxge

At STIR Advisors, we help startups and investors with our expertise to navigate through such intricacies.
Welcome to “Kal Ke Krorepati” chhote sheher, Bade sapnein - Bharat ka Apna show.

Yesterday, Team Iroller achieved a “milestone” in the startup ecospace by bringing this show to fruition.

Last year we felt the need to explore this space. The show wouldnt have been possible without the unconditional support of GVFL Limited Saswat Sundar Sushil Sharma Sushanto Mitra Pranav Chaturvedi Marmik Shah Gautam Pai Kamal Bansal i-Hub Gujarat Neha Sharma Lead Angels Network Naveena Reddy Favcy Venture Builders Iroller Capital Pvt Ltd Jadeblue Lifestyle India Limited Karnavati University (KU) RITESH HADA Abhinav Kapadia PDEU Innovation and Incubation Centre Viral Shah M Nagarajan DevX Umesh Uttamchandani Jaimin Shah Jignesh Patel

27 startups, 9 funds, 1 show - Kal Ke Krorepati, Chhote sheher, bade sapnein.

This show is focussed on the innovators and entrepreneurs from Tier2 and Tier3 cities. Its not just another funding show. The objective of this show is to create more awareness and strengthen our startup ecosystem and provide the startup founders, not only with investments, but also venture building, scaling, cross border incubation and mentoring support.

As we embark on our journey to showcase this show on the national platform very soon, we sincerely thank Mr Suniel Shetty Sir who blessed us with his gracious presence and gave us immense strength to keep going. This not only validates our efforts but also strengthens our will and intent to mobilise the startup ecosystem.

Presenting our first chapter - Gujarat



Thank you Team iroller Jignesh Vasavada Hemendra Jadeja Shivani Thakkar CA Pratik Shah Prakash Chandwani Shoeb Bhojani Sidharth Doshi Arpita Chalishazar.

News coverage:

 
Had an awesome time putting together the eChai Ventures breakfast social in Pune along with Prabhjyot Singh Mann.

Here are some key takeaways that resonated with me:

Considering Co-founders:
 
Jimish Kapadia sir shed light on the importance of considering co-founders from a VC perspective. While going solo isn't necessarily a problem, having a co-founder can significantly enhance credibility, especially if the product or idea is promising.

Fundraising Essentials:
 
Pankhil Baunthiyal emphasized the need to address three fundamental questions before diving into fundraising: When to raise funds,
how to raise them, & how much to raise. These questions are crucial for strategic planning and negotiation, particularly in early-stage startups.

In addition to the invaluable insights gained, networking with fellow founders like Aryan Hinge from @Denner was truly enlightening. These interactions underscored the importance of building meaningful connections within the startup ecosystem.

Looking forward to sharing more insights from these enriching experiences and continuing to learn and grow alongside this incredible community!
Had an awesome time putting together the eChai Ventures breakfast meet up in pune along with Prabhjyot Singh Mann!🌟

Connecting with the brilliant minds of fellow founders and investors in Pune was an absolute pleasure and discussing with them on startup fund raising. The impact and reach of eChai Ventures left me truly impressed, and I want to extend my heartfelt gratitude to the visionary team—Jatin Chaudhary

Your collaborative efforts made this networking event not just possible but exceptional! 🚀

Thank you for an amazing experience!

eChai Ventures Jatin Chaudhary Growth Sense Growth91 Sanjay Sarda Prabhjyot Singh Mann Disha Shah Sameer Karandikar Jitesh Devnani Sarthak Sudhir Shubham Sahamate Omkar Jadhav Aryan Hinge Smitesh Gadge Pankhil Baunthiyal Chaitanya Badave Abhishek Bang Rushikesh Khasgiwale Richa Mishra Parth Jadhav
I'll be hosting the special gathering in Pune on this Friday morning - eChai's Fundraising Social - focused on bringing together a small group of startup founders and supporters.

This get-together is all about having honest and open talks with each other, sharing our stories of trying to raise funds, the ups and downs, and everything in between.

Event link
Founders, Investors, Enablers- Who are you listening to?

Over the last few weeks I've been constantly trying to rediscover learning through podcasts and here are some of them that are on my radar-

🎙 Seed to Scale by Accel - A podcast series highlighting the journey of various founders while launching a 2 podcast series with the Accel team from across the globe - Jim Swartz, Anand Daniel, Sameer Gandhi, Harry Nelis, Mahendran Balachandran celebrating their 40 years in the VC industry in 2023

🎙Blume Ventures podcasts - Season 1 on XUnicorns followed by Season 2 focusing on Power of Compounding where Karthik B. Reddy hosts founders like Peyush Bansal, Raamdeo Agrawal who have excelled at compounding from the last decade to almost half a century

🎙Matrix Moments by Matrix Partners India - Highlighting human capital while also discussing trends of 2023 and 2024 hosted by Rupali Sharma ranging to over 180 episodes over different seasons and topics

🎙DesiVC by Akash Bhat - Candid conversations with leading investors from across India with insights from Akash's journey as a founder and investor having spoken to 127+ people. This one has been on my list for over 3 years now

🎙Indian Silicon Valley podcast by Jivraj Singh Sachar- Intricate conversations with founders, investors, and enablers in the Indian start-up ecosystem spanning 161 episodes and more. Jivraj has been closely associated with the start-up and investment ecosystem bringing out his unique perspective through the questions he asks his guests

VCs have extensive insights and access to diverse information. They have access to insights ranging from an industry understanding brought together by cumulative team experiences, in-depth sector focus, and access to real-time information through their portfolio companies. Often these insights stay unshared or when shared, undiscovered by some of us. This year I'm on a mission to uncover some of the most insightful podcasts and will keep sharing as I keep listening.

So what are you listening to, to stay up to date? Drop startup and investing podcast recommendations in the comments. I'm sharing links to the ones I've mentioned above in the comments too.
DevX Coworking Raises $ 7 Mn Funding

Funds to be used for national & global expansion

To add more assets across India with more than 2 Million Sq Feet area

On track to get listed next year

To build a Proptech solution for design & Build offering

DevX, Gujarat’s largest Managed Office Space provider, today announced that it has raised funding of $ 7 Million with a mix of equity & debt split equally. Family offices such as Urmin family office, Gala family office, Bidiwala family office already on captable participated in the equity round, which showcases testimony to the growth model, alongwith HNIs like Ajay Patel, Mitesh Patel and Soham Mehta; while Debt funding was provided by Banks & NBFCs. 

Gujarat’s leader in the Managed office space segment, DevX is a co-working space cum accelerator founded in September 2017 by 3 entrepreneurs. The company was envisioned as a Startup Accelerator focussed on nurturing innovative startups by providing them with all requirements. Positioning DevX as an equal partner in growth, the company supports through their allied strategic partnerships and services. The different initiatives of DevX are thus structured to build synergies, enabling crosspollination of ideas as a means of collaborative growth and development. The company’s initiatives address different requirements across the value chain. 

Speaking on the funding, Mr Umesh Uttamchandani, Co-Founder – DevX said, “This funding comes at a time when we are bullish on growth in both the national domestic & global markets. The funds will be deployed for giving further impetus to our national and global expansion goals. For India, this infusion of funds gives us the boost to add more inventory to grow vertically across cities – signing up Assets with more than 2 lakhs sq feet. Putting in place even stronger governance practices; we plan to get listed next year and also build a Proptech solution for design & build offering. We are proud to be setting standards for the segment to aspire to; with our stated business goal of being the partner of choice for GCCs (Global capability Centres) & ODCs (Offshore Development Centres). Growthcentric corporates are increasingly opting for managed workspaces, which perfectly meshes with our philosophy of offering best-in-class work-space experiences at competitive pricing.” 

Opining on the event, Mr Devansh Majithia, Urmin Family Office said, “We are proud, yet again, to be part of this funding round. DevX’s innovative approach to providing an immersive, value drive experience for its tenants perfectly aligns with our own Investment philosophy. Their track-record of sustained growth and in-depth domain expertise have been core factors in driving our participation in this funding round”. 

As a core part of the ecosystem, DevX also provides, round the year, a platform for industry, academia, professionals and companies to hold hackathons, seminars, events etc…to address trends and issues. The company is planning further expand and thus consolidate it’s pan-India presence by 2024 end. 
Notes for founders raising funds for the first time

BabyOrgano has raised the funds from DevX Ventures.

During our pitches to various investors, we've recognized that the transparency of our business model and the founder's honesty have been pivotal in garnering positive responses.

Key pointers:

  • Clearly specify the fundraising goal and provide a detailed plan outlining how the funds will be strategically deployed in future initiatives.

  • Demonstrate unshakeable confidence in your product idea and vision, even if it appears ambitious or unconventional to others.

  • Prioritise transparency by openly acknowledging any potential challenges or drawbacks. Build trust with prospective investors through honest and straightforward communication.
#Throwback

🇮🇳 #Bangalore: Would you attend a startup demo day on a Saturday evening?

4 years since I last saw Jatin at DSH Singapore for eChai Ventures, we finally caught up IRL – this time co-hosting an eChai #startup pitch event and #investor panel discussion at DSH Bangalore. Our roof was filled with 130+ #entrepreneurs and investors.

Here are some learnings:

⏳45 DAYS to 6 MONTHS

Is the duration for which due diligence, getting a term sheet, to receiving money in the bank can take up to in the process of startups #fundraising (as a gauge) 🪙

📚 RESOURCES

– Venture Deals by Brad Feld is a great read to prepare founders who are #raisingcapital

indianvcs.com is a pooled resource built by some VC folks, for entrepreneurs to have access to investor contacts (built with Notion 🔥)

🤝🏼 KEEP IT PERSONAL AND PROFESSIONAL

– Before reaching out to an investor, research on the fund and what they invest in.

– Be genuine and authentic. Dishonesty is a red flag; The industry is interconnected, and will soon find out 🚩



Seeing is believing. I wouldn't have imagined a pitch night on a weekend evening being full house, and the energy is uplifting.

Thanks a ton to the investors for their valuable insights (Vijetha, Himansu, Bikramjeet, Mohammed Amaan Memon) and all the entrepreneurs who came to share their vision and business ideas with us 🚀 ... Not forgetting one of the best hyper-connectors and startup enablers around: Jatin 💯


WHO SHOULD I MEET NEXT? 😁
I've been here for two weeks already, but will be based out of Draper Startup House #India for the next couple more – I'm happy to connect with #founders, #startups, #investors, ecosystem partners and would love to meet others who are also enabling the startup community! Thanks for the recs 🙌🏼


Loving this journey so far!
Stay tuned for updates from BLR 🇮🇳
Things to keep in mind during fundraising for early stage founders.

1. It is crucial to meticulously select a list of venture capitalists whose interests align with those of your company. This strategic alignment ensures that both parties are working towards common goals, thereby fostering a more fruitful and synergistic partnership.

2. View funding primarily as a catalyst for growth. Often, funds raised merely for the purpose of survival can lead a company into a detrimental cycle. Instead, focus on utilizing capital to accelerate development and expansion, thereby enhancing the company's long-term viability and success.

3. Be aware that certain aspects of your business may raise concerns or 'red flags' from an investor's perspective. It is imperative to continuously strengthen the 'green flags' or positive aspects of your venture. By reinforcing these strengths, you can effectively mitigate the impact of any potential red flags and present your business in a more favourable light to potential investors.
Things to keep in mind during fundraising for early stage founders.

There are no permanent ‘No’s. When an investor passed on your deal, ask for permission to keep them updated every quarter and then enrol them into a list to which you send out a quarterly update across your product, team and growth. You never know when interest in your startup might peak.

Fundraising is a full-time activity for 1 founder. Pitch to as many people as you can. Pitch, Ask for feedback, improve, repeat.

At early stages, valuation is more of an art than a science. Ultimately, when you are at the negotiating table - everything falls back to how desperate you are to raise and how convinced they are to invest in you.
Things to keep in mind during fundraising for early stage founders.

1) It is very important to know/understand when is the right time to raise funds. Don’t raise at the last minute else you won’t have any leverage.  Also consider there may be multiple ways to increase your company’s cash including debt options 

2) In the struggle between balancing funds and growing customers,  try to focus on growing customers using any means necessary.  Remember if there is growth, funds will follow. 

3) During the process of raising funds, anything could go wrong. Don’t rest just because you have a signed term sheet. It’s never over until the funds are in your bank account. 

4) Having some kind of leverage is the most important thing while raising funds.  

You can have leverage if,

a) your growth is strong 
b) multiple VCs are interested in putting money creating competitive situations 
c) founders have a history of building successful companies before
Do's and Don'ts of Fundraising for early stage founders.

Do's

- You should have a clear plan for atleast next 12 months that can be seen on excel sheet, which clearly shows, what this fund raise is going to achieve for you.

- Start the process 4-6 months before you actually need the funds

- Get an understanding of funds portfolio/thesis/decision making process by reaching their portfolio companies prior to pitching.

Don'ts

- Try not to mention about valuations untill explicitly asked. Do not become rigid on a number, try to negotiate and substantiate your number.

- Don't keep high hopes from 1 single investor, keep talking to multiple people at the time. But at same time be transparent about the options to them, whenever you start doing serious conversations on terms and stuff

- Do not mess your cap table with number of people, keep it as clean as possible, it makes your life much much more easy when raising next rounds!
Loved moderating this eChai Ventures gathering on Fundraising for Startups, with Shubham Jhuria and Dishan S Raao at Draper Startup House ❤️

Quoting an attendee who shared his feedback post event, "I feel my energy is revived after attending this and knowing that there are others just like me who are hustling, building and willing to help each other grow".

P.S. We used Cards Against Work by Plum at the start of the event to have a whole lotta fun!

eChai Business Partner Program

eChai Business Partner Program helps businesses and organisations get visibility and engagement within the eChai network.

Preferred eChai Business Partners
IBGrid
An all-in-one investment banking solution for India
Fundraising
Pro Zero Carbon
Helping companies reach net zero through their comprehensive software and data backed sustainability solutions.
Climate Tech
Zepul
Zepul has developed an AI enabled Talent Acquisition marketplace to help companies find the right candidates and vice versa by engaging community recruiters on demand.
HR Tools and Agencies
Candour Legal
Candour legal is India's top-rated law firm providing all legal services under one roof.
Legal Services
Draper Startup House
Enabling Startup Communities through living and working spaces!
Coworking Spaces, Investment Partners
Allevents
Discover Events Happening in Your City
Ahmedabad 100, SaaS Startups
Because
Full stack Branding and Marketing agency. Helping businesses turn into brands.
Creative and Marketing Agencies
STIR Advisors
Driving business growth with strategic M&A, business consultancy, and advanced financial models
LegalWiz.in
Leading Legal Tech company enabling startups & MSMEs to #StartProtectManage business through online CA, CS & legal services.
Ahmedabad 100, LegalTech
58Miles
We design and make the most exciting and functional bags.
Timechain Labs
Timechain labs is a global professional blockchain development services company with leading capabilities in blockchain solutions.
ZenDevX
ZenDevX is a NoCode development platform to develop enterprise-grade web applications, back-office admin panels, and REST-API for mobile apps.
Development Tools, SaaS Startups
MICAverse
MICAverse : The Metaverse Lab
Creatosaurus
Creatosaurus simplifies the workflow of creators & teams with an all-in-one creator stack to tell stories at scale.
Marketing Tools
FirstSales.io
The only outreaching tool you will need to generate leads on autopilot.
Mumbai 100, SaaS Startups
The Headquarters
The Headquarters is a flexible office space provider who renders services in fully furnished offices, Managed offices and co-working offices. They have presence in 15 buildings with a portfolio of 3,75,000 Sft in Hyderabad.
Coworking Spaces
CoKarma
CoKarma is a coworking space and a community of entrepreneurs, creatives and businesses in Hyderabad.
Coworking Spaces
ES Healthcare Centre
Gujarat's first premium healthcare centre, Your one stop solution for all medical essentials.
Healthcare
Mantras2Success
Helping you Hire, Retain & Manage Talent across India, USA, UK, Canada & Australia.
Hearty Mart
Hearty Mart brings the 21st century retail format to the rural and semi urban market.
Ahmedabad 100, Food
Growth Iris
A digital agency built to help SaaS companies find their GTM and generate leads willing to buy subscriptions.
Creative and Marketing Agencies
Bootstart
Bootstart is a coworking space with presence in Pune, Mumbai, Bengaluru and Goa.
Coworking Spaces
Redicine Medsol
Creating a device to improve medical adherence for cardiac & cancer patients
Healthcare
DevX
Collaborative workspaces that ignites innovation and a Venture Fund also.
Ahmedabad 100, Coworking Spaces, Fundraising, Investment Partners
Biziverse
Empowering Indian Businesses with Easy and Powerful ERP + CRM Software to Increase Sales and Optimize Operations.
SaaS Startups
About eChai Business Partner Program:

eChai Business Partner Program helps businesses and organisations get visibility and engagement within the eChai network.

Key benefits:

  • Engagement at relevant in-person eChai Meetups (~4 meetups/year)
  • Listing on preferred eChai Business Partners page (1 year duration)
  • Feature on eChai.Ventures

eChai Business Partner program starts with Rs. 50,000+GST per year.

You can reach out to Jatin Chaudhary, Co-Founder, eChai Ventures over WhatsApp or over email at [email protected] to explore more about it.