Top 5 UNICORNS In INDIA 2020

|BY KOMAL YADAV |

Indian startup ecosystem is the third largest propitious ecosystem in the earth. Out of 586 unicorns in the world, India accounts for 61 unicorns collectively. Major 8 cities have been pumping up start-up’s economy in this year.

Many of you might have heard about various startup’s being funded by some or the other companies. There is a very thin line between calling a company- a startup or a unicorn? In this article, you will be updated with the Top 5 Indian Unicorns of the year 2020 along with the clearance of certain doubts related to startup.

People need to know the common base before referring to whether the company is a startup or a unicorn? Let me just shrink this gap of misunderstanding which most of the commoners do.

Basically, when there is a company of one or more entrepreneur founded with a vision to render services or products for which there is a demand in the market in their belief is called a startup. They are at their budding stage of doing business. Initially, it is often funded by friends or family members. Mostly they commence with the high cost and limited revenue.

On the other hand, a privately held startup company with a valuation of $1 billion or more is called a unicorn. Such term is vividly used in the venture capital industry. The term was first coined by venture capitalist Aileen Lee who is a founder of CowboyVC situated in California. In easy terms, when startup reaches its maturity stage (success) where they have been successfully established their worth in the market can be called as a unicorn.

Besides, the Hurun Research Institute has recently released its Hurun Global Unicorn List 2020 representing the valuation of a snapshot of March 31, 2020. India slips to the fourth position of unicorns list while the US beats China fitting the top of the chart. Indian entrepreneur's most preferred place to begin a startup is the US followed by other countries like the UK, Germany and Switzerland.

Two out of three unicorns are founded outside the country unlikely making it home to only 21 unicorns in India. 40 Unicorns that are Indian overseas have a cumulative valuation of $99.6bn when compared to that of $73.2bn founded by the Indian origin. The US and China, dominate 80% of the world unicorns as per the scrutiny.

Check out the Top 5 STARTUPS turned into successful UNICORNS in India.

1. PAYTM

LAUNCHED : August 2010, Noida

FOUNDER : Vijay Shekhar Sharma

VALUATION : US $16bn

A leading online payments company which was budded with the US $2bn in it’s blooming stage has now been rejoicing with rev up turnover every year. It ranks 13th in the Hurun Global Unicorn List 2020. Last year in the month of November, it was capable to get funding round of about US $2bn. It’s been said it is the highest amount raised by an Indian Unicorn in 2019. Hence, it is presently the most valued Indian startup.

2. OYO ROOMS

LAUNCHED : May 2013, Gurgaon

FOUNDER : Ritesh Agarwal

VALUATION : US $8bn

The founder initiated this startup with US $1bn. It is an online hotel booking platform that fetches you rooms at an affordable price. It was started as Oravel and later the name was changed into OYO Rooms. In the October 2019, Ritesh Agarwal invested US $2bn in the company.

3. BYJUS

LAUNCHED : August 2011, Bangalore

FOUNDER : Byju Ravendra

VALUATION : US $8bn

India’s largest ed-tect startup as of now is BYJUS. An online educational platform for children that eases up the stress through visualize learning and solving problems in real time. In it’s recent financial quota, byjus managed to raise US $1.2bn. Spots 31st rank amongst the unicorns making it to the Hurun Global Unicorn List 2020.

4. OLA CABS

LAUNCHED : December 2010, Bangalore

FOUNDER : Bhavish Aggarwal & Ankit Bhati

VALUATION : US $6bn

Indian ride sharing app levels down with 49th in the unicorn list 2020. With a downfall of US$4bn, ola cabs didn’t lose their grip for making it to the list. In October 2019, it occurred in a good pace of valuation of US$ 10bn but within few months tends to miss the momentum. Major shareholders in the unicorn startups are Softbank, Tiger Global, Tencent, Matrix Partners and DST Global.

5. SWIGGY

LAUNCHED : August 2014, Bangalore

FOUNDER : Rahul Jamini, Nandan Reddy & Sriharsha Majety

VALUATION : US $3.5bn

India’s largest plus valuable online food ordering and delivery startup seem to be doing a top-notch job. The startup was invested with the US $ 2mn at the beginning of its crucial stage. In the latest funding round of startups, Swiggy accounts for the US $156mn as it was funded with the US $43mn during the month of April this year.

Now let’s talk some business which might give you a review of what players are upto. Here’s the highlight according to Innoven Capital India report of 2020 startup survey, that lends you to know the buzz amongst startup in today’s time.

.Top 2 challenges for startups were hiring good talent and managing growth expectations. In the period of cut throat competition, where talent acquisition is a great deal for any company obviously they want the best candidate to awash with it. Also to retain the growth expectations has become a greater challenge.

. Fundraising and leadership are the top priorities for startups as funds are delivered only to those startups that fulfill the parameters of that company. No firm would like to invest in a startup that shows no positive outcome in near future or so which certainly implies leadership is the key to your success.

. Startups key concern is that government should provide a stable and predictable regulatory environment. Funds are not the “only” requirement to withstand, it definitely needs a favoring situation too to continue in the long run.

. The report state that entrepreneurs crave progress rather than just making money out of it as 79% of startups are focused on growth over profitability. In short, growth is primary and income is secondary.

. Survey claimed that 75% of startups are seeking to hire more in this year. Employment generation is likewise essential irrespective of which country your startup belongs to.

. Market seems to be distorted when it comes to gender equality in view of the fact that 74% startups have >20% of women in leadership roles. Shocked?

Generally, only 1 unicorn is able to crop up from the rest 10,000 startup’s which are funded every year. Perhaps, there exist hardly 1 in 5 million chances for a startup to transform into a unicorn. What happens to the rest then? Well, either they just thrive for their survival or run away out of cost bringing them to their knees and quit. There needs to be a lot of consistency and patience involved in whichever field you attempt to excel in. So better enter into the game only if you can handle thick and thin days.

However, on March 1, 2020, Department for Promotion of Industry and Internal Trade (DPIIT) had recognised 28,979 startups in India. Considerably, Maharashtra (5,477) leading in the forefront followed by Karnataka (4,206) and Delhi (3,740). So let us hope to be the hub for Indian Startup making it a home of young entrepreneurs and aiming to be a Atmanirbhar Bharat.

On this note I would say, you can create productive crop by implanting seeds. Indeed you need to plant a seed first in your mind. Remember! Do not give up easily!