The last decade has seen tremendous growth in the Indian startup ecosystem. The scenario has changed rapidly with the participation of India’s young entrepreneurs. Last year, the startup ecosystem has crossed the $13.7 billion investment mark. India has become the world’s largest base for startups.
Earlier, if Indian startups used to rely on foreign pools of capital for their seed funding, the scene has changed with the advent of Indian family offices. This is a significant change. Earlier, corporate houses in India would invest their personal wealth in conventional assets like real estate, and gold. The new generation of these rich families has changed that trend. They are investing in startups. And, startups also prefer such family offices as they are safer and more durable options. Startups will receive long-term investment, brand recognition, and global networking.
The past few years have seen more than 100 family office investment groups emerging in India. They have made more than 288 private company investments worth $4.5 billion. Compared to angel investors who have a fixed exit time frame, family office investment groups are willing to support startups in the long term.
Some of India’s prominent family office investment groups are:
Aarin Capital:
Started by Dr Ranjan Pai and Mohandas Pai, it mainly invests in tech startups. Their key investments are Inc 42, Fab Hotels, PharmEasy, and Zimmber.
Burman Family Holdings:
Established by S.K. Burman, this is the private investment body of Dabur India. Easypolicy is one of its key investments.
PremjiInvest:
Azim Premji’s PremjiInvest has contributed to the growth of 14 different startup ventures such as Snapdeal, Flipkart, and Lenskart.com
Ajay Piramal SFO:
A privately-managed family office of the Piramal Group & Shriram Group, it primarily invests in consumer-based and technology startups.
Catamaran Ventures:
Infosys founder Narayana Murthy leads his family office Catamaran Ventures which invests in both Indian and foreign startups. Some of its key investments include Yebhi, Paper Boat, LookUp, and Acko.
Artha India Ventures:
A private family office of the K. Damani Group, it has invested in Coutloot and OYO Rooms.
RNT Associates:
The personal family office fund of Ratan Tata, RNT Associates has been investing in multiple startup ventures since 2009.
The Three Sisters:
Rana Kapoor’s The Three Sisters invests in agri-logistics, tourism, education and family entertainment centres.
Mahindra Partners:
The private equity fund of the Mahindra & Mahindra Group has invested in ZoomCar. The office invests in multiple sectors.
Now that you know the names, find your perfect investor. Keep in mind that it is always good to choose an investor who understands the nature of your business.
