Venture capital is an important money provider at the initial stage of any start-up firm.

1. Group no. 29
Major Venture Capitalist of India and their Investment
Strategy
Submitted By
Prashant Kunjadiya(178050592536)
Bipin Mangukiya(178050592542
Submitted To
Ms. Delnaz Variava
S.R. Luthra Institute of Management-805

2.  Venture capital is money, provided by investors
to startup firms and small businesses with
perceived long-term growth potential.
Venture Capital

3.  Venture capitalists also experience major losses when their
picks fail, but these investors are typically wealthy enough
that they can afford to take the risks associated with funding
young, unproven companies that appear to have a great
idea and a great management team.
 Thus, Venture Capitalist follows “high risk, high retune”
principle.
Venture Capital

4. 1. Helion Venture Partners
2. Sequoia Capital India
3. Accel Partners
4. Kalaari Capital
5. IDG India Ventures
Major Venture Capital Fund in India.

6. 1) Superior Businesses (Unique Product)
 VC look for companies with superior products or
services targeted at large, fast growing or untapped
markets with a defensible strategic position such as
intellectual property or patents.
 2) Long term sustainability
 Venture capitalists deploy millions of rupee; wanting
multiple times return on that investment. That is why
VCs focus heavily on the long-term sustainability of
an idea. If they don't believe the shelf life is large
enough, they simply won't invest.
Investment Strategy

7.  3) Quality and Depth of Management
 Venture capitalists must be confident that the firm has
the quality and depth in the management team to
achieve its aspirations.
 4)Appropriate Investment Structure
 As the requirement of being an attractive business
opportunity, the venture capitalist will also seek to
structure a deal to produce the anticipated financial
returns to investors. This includes making an
investment at a reasonable price per share (valuation).
Investment Strategy

8.  5) Exit Opportunity
 Lastly, venture capitalists look for the clear exit
opportunity for their investment such as public
listing or a third party acquisition of the investee
company.
Investment Strategy

9.  They can provide large sum of equity finance.
 Able to bring wealth and expertise to your
company.
 Easier to secure future funding from other
sources.
 The business is not obligated to repay the money.
Advantages of VC Funds

10.  Lengthy and complex process (needs detailed
business plan, financial projection etc.
 Sometimes VC required high rate of return.
 Loss of control because VC may take a
majority share in company.
 Not a long term investment – VC will aim to
sell within 5-7 years.
Limitation of VC Funds

11. Thank you