The most important thing for a startup is the funding, using which it can increase its reach and improve its technology. To help the cause of startups, Mindtree co-founders have launched a new startup fund called Mela Ventures. Krishnakumar Natarajan and NS Parthasarathy quit Wipro to start Mindtree, an IT services firm. Now, they have left Mindtree and created an early-stage fund only backed by Indian investors for Indian startups.
What is the motive of the fund?
They have raised 130 crores out of their target 200 crores. One of the founders of the Mela Ventures early-stage fund, NS Parthasarathy, in an interview, explained the purpose of the fund.
He said: “When we exited Mindtree, there was an option of starting a new brownfield venture, but both of us have been engaged with the startup ecosystem for a long time. I started the Emerge forum at Nasscom. This engagement gave us the insight that while there is a lot of buzzes, there is still a lot of untapped potentials. The percent of startups that get institutional funding is just four percent.”
He then added, “Most of those who didn’t get it was committing 4-5 common errors. We felt our expertise would help them not commit those mistakes. A lot of the funding in the ecosystem is more foreign capital. There is a need to create an Indian capital ecosystem for early-stage funding, so this is a 100% Indian venture capital fund, with domestic investors,”
What kind of startups are they looking for?
NS Parthasarathy said that they are looking for startups that use deep tech to help solve enterprise problems. Startups that are based on AI, Machine Learning, AR, IOT are some of them. They aim to launch the startups globally that they choose. Their fund is a Sebi approve early-stage fund for startups, and they aim to fund at least 4-5 startups in the coming 18 months.
They are now looking for startups in Bengaluru, Chennai, Hyderabad and Pune. So, if you have a startup with a compelling idea/product, then you can give Startup fund Mela Ventures a shot. Who knows the next time we write an article, it will be about your startup.
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