Startups get a reform boost, Medtech takes a growth pill

Startup-centric reforms are in focus — be it closer home where the angel tax was abolished this week, or in the United States, where the government recently revised the International Entrepreneur Rule (IER).

Sharing the impact of the Budget announcement, Rishabh Mariwala , Managing Partner at Sharrp Ventures, writes on LinkedIn , “This move will support the startup ecosystem by reducing burdens on investors, streamlining deal negotiations, and simplifying documentation processes.” Highlighting an entrepreneur’s perspective, The Moms Co.’s founder Mohit Sadaani shares in a post that the move is “a breath of fresh air,” and gives action to what the government has been saying about wanting to promote startups.

Zooming out to international reforms, the United States recently announced that foreign entrepreneurs can now stay in the country for up to five years if their venture is found to be of significant public benefit. This involves an initial parole of 2.5 years, and if approved for re-parole, the entrepreneur’s stay may be extended up to a total of five years, The Economic Times reports.

For Gaurav Singh , startup consultant, and founder and ex-CEO of 321 Education, two things are very clear from recent rulings and past information.?

“First, governments worldwide are starting to see that entrepreneurship might be the solution to many societal problems. This includes technological, social, and environmental issues. Second, Indian founders and leaders are highly valued, and sometimes other countries do more to attract them,” says Gaurav Singh .

Shrishti Sahu , Managing Partner and angel investor at Swadharma Source Ventures, believes that the move is great for SaaS founders from India and other countries. She adds that entrepreneurs in this sector will benefit immensely by basing themselves in the U.S., since they build for that market. For other models, however, building and listing in India would be a better option, according to her.

Arun Prakash M , founder and CEO at GUVI.io , on the other hand, writes that the IER is a double-edged sword. He says that while it provides potential for rapid growth in a mature market, valuable networking opportunities with industry leaders and investors, and exposure to cutting-edge research and development facilities, there is also a risk of talent drain from the Indian ecosystem. Other challenges include the lack of a clear path to permanent residency or long-term security, and potential for the eligibility requirements to turn prohibitive for early-stage startups.

?? Check out Arun’s post on the pros and cons of the IER reform

The billion rupee question: How can India become the go-to destination for entrepreneurs?

It's high time the Indian government focuses on easing laws for existing startups and SaaS companies, says Nilesh Ukey , Founder and CEO at Nickelfox Technologies. Along with the U.S, he adds that countries like Dubai and Singapore are offering glittering options for founders to make a move.?

Gaurav Singh says that the first step is to simplify taxation and business registration. He also suggests ensuring entrepreneurs are not punished for taking risks and trying new things. Sahu adds that the country needs better options towards an IPO, and more focused GTM help by investors. Family offices are bringing in a new wave of domestic patient capital, which will only accelerate, and longer fund cycles could benefit the ecosystem at large, she adds.?

India’s medtech sector is transforming — and a shift is underway from import dependence to homegrown innovation, says Satish Kannan , co-founder and CEO at MediBuddy.

The country is the fourth-largest market for medical devices in Asia, according to government data, Livemint reports. The industry is expected to expand to $50 billion by 2030 from $12 billion today, according to Vipin Singhal , Associate Director at Anand Rathi Investment Banking, adds the report.

Fuelling this growth is increased global attention due to its cost-effective capabilities, bolstered by strong government backing through initiatives like the PLI scheme, says Kannan. He adds that the sector is seeing a surge in startups focused on innovative, low-risk devices, while established players diversify to navigate evolving regulations. With 80% of devices by value currently being imported, India has a massive opportunity for local design and manufacturing, he says.

What medtech’s rise means for tech professionals

As the industry grows, so does the requirement for talent, The Economic Times reports. Medical billing and coding are undergoing a shift, driven by the adoption of electronic health records, says Ebenazer Paul , GM-Talent Acquisition at Omega Healthcare.

“We need professionals who can bridge engineering and clinical fields, navigate complex healthcare regulations, and adapt to remote work environments,” says Satish Kannan , co-founder and CEO, MediBuddy.

Career opportunities are emerging in electronics, artificial intelligence, regulatory affairs, and project management, says Kannan. “The collaboration of doctors and engineers, design, and manufacturing teams is vital,” he adds. Navneet Kaur , founder and CEO at FemTech India, adds that roles like biomedical engineers, medtech cybersecurity specialists, data scientists in healthcare, and biomaterial scientists and engineers are also on the rise.

A dose of advice for those looking to start up in medtech? “First, focus on addressing unmet clinical needs specific to the Indian population. Second, take full advantage of the government’s supportive initiatives for new enterprises in this sector. Last, design solutions that can be scaled effectively across our varied healthcare landscape,” says Kannan.

Kaur suggests that founders in the field leverage bioinformatics and genomics, harness big data and AI for clinical decision support, develop Augmented Reality and Virtual Reality applications, and focus on precision medicine, among others.

?? Check out Navneet’s deep dive on India’s medtech industry

“Success in this field hinges on balancing innovation with affordability, and creating products that are both high-quality and accessible to a wide range of healthcare providers and patients,” says Kannan.

• Budget highlights: Finance minister Nirmala Sitharaman on Tuesday announced the repeal of the angel tax, a ?1,000 crore venture capital fund to invest into the space economy, and the establishment of e-commerce export hubs, among other updates, The Economic Times reports .?
• IT giants announce Q1 results: While Infosys raised its revenue growth guidance to 3-4%, Tata Consultancy Services announced a net headcount addition of 5,452 employees in FY25. However, HCLTech and Infosys saw their employee base shrink by 8,080 and 1,908, respectively.
• Bluelearn shuts down: The edtech firm’s co-founder Shreyans Sancheti and Harish Uthayakumar announced that they will return 70% of the capital back to their investors. Here’s Sancheti’s article which dives into the company’s journey.

?? Co-founder of Unberry Vini Khabya shares why it’s important to analyse your intentions before starting up:

?? Pranay Desai , Managing Director at Z47 shares why is bullish on India’s SaaS sector:

?? Founder and CEO of GUVI.io Arun Prakash M shares why we need to incorporate vernacular languages in coding:

Reported by: Isha Chitnis

Community Manager: Raunak Ramteke , Rakshit Ravindranathan