Downtime Scaling

Downtime Scaling - Recalibrating is Healthy

May was an exciting month as I traveled to North India – Delhi, Gurugram, Noida, Faridabad, and Chandigarh -interacting with Founders building companies in Web3, Deeptech, SaaS, HealtTech, and D2C.

The startup ecosystem is taking wings in the northern region as over 20% of startups recognized by the Department for Promotion of Industry and Internal Trade (DPIIT) are based in the region.

In the region, Delhi has the highest number of startups (6,094) followed by Haryana (2,743) and Punjab (440). In Uttarakhand, 386 startups are registered with the DPIIT. The Union Territory of Jammu & Kashmir has 226 startups while Chandigarh has 186. Further, 117 startups are registered in Himachal.

Compared to December 2018, the DPIIT witnessed over 350% increase in the registration of startups from the North. The number of registered startups was 2,785 as of December 2018.

Many early-stage VCs, including 100X.VC, are optimistic about the business despite the gloom & doom predictions. Entrepreneurs with grit are viewing this so-called crisis as a major opportunity to build enduring businesses. With abundant engineering talent and entrepreneurial zeal, founders are continuously building to solve the next big problem. One of the reasons why we increased our ticket size in 2022!

With strong business models, unit economics and velocity, the startup ecosystem in India is healthier than many people believe.

This recalibration of the economy is healthy. While we will see the downside through employee layoffs, failed high-profile startups, and reduced returns of prior funds, we believe the medium to long-term outlook investing will improve as specific entrepreneurs build businesses with unit economics, right metrics, and sustained growth with user retention.

About 100X.VC

100X is a first cheque SEBI registered fund that invests in early-stage Indian startups.

Investment Process

www.100x.vc/class08 - Apply here for Class 08

Fill up the application form here. Applications are accepted on a rolling basis. If there is an interest to evaluate further, founders will hear from 100X on the next steps of information collection in 7–10 working days. Once complete information is available to the investment committee, the selected startups will be invited for an interview. On success in the interview, the investment committee will email a term sheet offer for 1.25 Cr for 15% of future equity ownership using iSAFE notes. On completion of legal compliance and due diligence and signing of iSAFE notes, money will be immediately wired into the startup bank account. The estimated time from Term sheet to Deal Closure is 2 weeks once the due diligence documents are submitted and the Indian entity is incorporated.

What Happens in Class 08?

The 100X team starts working closely with the founding team on various aspects of the business, from product improvement to business model to pricing to financial modelling and even hiring key team and addressing various gaps in mutual consultation with the founders.

100X Works with Founders in 3 broad manners:

Mentoring Unlimited - The founders get enrolled in exclusive masterclasses with the 100X Team and 50+ mentors. The Mentors are Founders, Operators, Investors who have been there, done that.

Network Access - Founders are given open access to 100X’s Business Network of Advisors, Mentors, Corporates, CXOs, 100X Alumni Founders, and more. Each connection compounds the value of the startup.

VC Pitch Day - It is an invite-only showcase of the Class 08 startups to a curated set of investors. The founders can build their next round of funding here. The event is attended by all the top Angels, Family Offices, Micro VCs, Corporate Funds and VC funds of India.

www.100x.vc/class08 -

Apply here for Class 08

Our Portfolio: www.100x.vc/portfolio

Everything on Sectors: www.100x.vc/blog

Lets Connect!

linkedin.com/in/shashankrandev

@Shashankrandev_100X