Startup Funding, Angel Funding,\nVenture Capitalist Funding, Govt of India Funding, Innovation Funding, these\nare oft repeated terms amongst the business fraternity today. <\/p>\n\n\n\n
We hear lot of stories doing the\nrounds of how the invested on these entrepreneurs have left them bleeding. It has been an uphill battle for the newbie\nentrepreneurs as there is no guarantee for their success even after infusion of\nthe funds and whether they can return the funds to their investors. It is only a handful of them who make it good\nwith the use of these funds.<\/p>\n\n\n\n
As far as India is concerned, it\nis only the traditional business houses that are seeing success and a lucky few\nstartup entrepreneurs who have met with success en route to taping the capital\nmarket.<\/p>\n\n\n\n
\nAn example that comes to mind is PAYTM raising\nfunds from ICICI even after huge accumulation of losses. Will it be able to\nbreak even & pay its investors remains a moot point. There is no mention\nhow the fund requirement or viability was established when Paytm had piled up\nlosses which already covers its fixed assets.<\/p>\n\n\n\n
\nThe recent controversy faced by ICICI is ample\ntestimony to the ambiguity prevailing with regard to the money spend. ICICI has taken high risk with a single\ncustomer, where there is no justification for performance is seen. In\nother words, the losses that are accumulated are because of the funding\nutilized to sell freebies.
\n
\n<\/p>\n\n\n\n
Someone rightly said “IT IS\nEASY TO STEP INSIDE SOMEONE’S SHOES, RATHER THAN ONE\u2019S OWN SHOE” I\nthink this is true not only for STARTUPS BUT ALSO FOR ESTABLISHED Organizations.\nAn entrepreneur might think ten times if he has to fund his own business but if\nit is funded from outside, he may do so without hesitation. External\nfunding is a double-edged sword in that on one end you get to spend without a\nsecond thought but on the other hand the investor may be affected as there may\nnot be requisite controls on the money spend as evidenced by the recent turn of\nevents. \n\nMost of the e-commerce\nportals be it Flipkart, Myntra, PayTM have all tried to woo the customers\nthrough big ad spend, discounted sale price and thereby secure customer loyalty\nbut then ultimately it is now a fact that loyalty\nis not built on Freebies. It is a\ncompany\u2019s trustworthiness that develops customer loyalty.
<\/p>\n","protected":false},"excerpt":{"rendered":"
Startup Funding, Angel Funding, Venture Capitalist Funding, Govt of India Funding, Innovation Funding, these are oft repeated terms amongst the business fraternity today. We hear lot of stories doing the rounds of how the invested on these entrepreneurs have left them bleeding. It has been an uphill battle for the newbie entrepreneurs as there is […]<\/p>\n","protected":false},"author":1,"featured_media":108,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"class_list":["post-107","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-fund-syndication"],"_links":{"self":[{"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/posts\/107","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/comments?post=107"}],"version-history":[{"count":1,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/posts\/107\/revisions"}],"predecessor-version":[{"id":109,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/posts\/107\/revisions\/109"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/media\/108"}],"wp:attachment":[{"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/media?parent=107"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/categories?post=107"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/total-sols.com\/blog\/wp-json\/wp\/v2\/tags?post=107"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}