While 2021 saw an influx of VC funding deals, 2022 is taking a breather. Here’s looking at alternate forms of funding both from a startup founder as well as through an investor lens to see how far they can prove beneficial to fuel startups’ journey.
While today there are 105 Unicorns, last year alone saw 46 entrants to the billion-dollar club. However, the funding boom seems to have slowed down compared to last year. Media reports quoting, Tracxn’s ‘Geo Quarterly Report: India Tech Q2 2022,’ revealed that the Indian startup ecosystem raised $6.9 billion in Q2 2022 (April-June) compared to $10.1 billion in the same quarter last year.
Though some believe it to be an onset of ‘funding winter’, Tarana Lalwani, Partner at Innoven, believes this to be a “cleansing period.”
“There’s a lot of dry powder for early-stage startups, and I don’t believe there is a funding winter yet. It’s a good cleansing period, rather. So the opportunity for good startups to be funded is there,” Tarana Lalwani says.