The time required to reach the $100 million mark has decreased significantly as the ecosystem has matured over the last decade.
New Delhi, India – According to a report released on Thursday, it now takes around five years for Indian startups to grow from zero to $100 million in revenue.
The time required to reach the $100 million mark has decreased significantly as the ecosystem has matured over the last decade.
According to data from Redseer Strategy Consultants, it took 18 years in 2000 to reach $100 million in revenue.
In India, there are approximately 100 unicorns and 170 soonicorns. As of FY22, 40+ startups in FinTech, eCommerce, and logistics had exceeded $100 million in revenue.
“These startups took anywhere from 5 to 12 years to reach this scale,” according to the report.
VCs have invested approximately $143 billion in the startup ecosystem over the last 15 years (from CY08 to CY22), which is currently valued at $804 billion.
According to the report, at current valuations, it translates to a 4.5x return on investment for VCs.
“Our industry experts help startups scale to desired heights and solve their challenges with customised solutions ranging from TAM expansion to product market fit, to improve profitability and operational efficiency,” said Rohan Agarwal, Partner, Redseer Strategy Consultants.
There are approximately 12,000 startups in India, with revenue ranging from Emerging (less than $10 million), Growth Stage ($10 – 100 million), to Large ($100 million to more than $1 billion).
95 percent of these companies are in the emerging stage, 3-4 percent are in the growth stage, and less than 0.5 percent are large.
