Key Funding Trends to Watch Out for in 2017Here are some of the key funding trends that startups could expect in 2017

BySneha Banerjee

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While 2016 was considered to be a year of diminished funding, 2017 could start on a high-note. While tepid funding continues to remain a concern for entrepreneurs, innovative funding methods and new investor participants can be the new sunshine for the ecosystem.

这里有一些关键的投资趋势e could expect in 2017

1. Marriage with the corporate sector

The ecosystem is starting to see the emergence of new investors and mentors in the form of multinational companies and traditional companies. A very recent example of this was Hero MotorCorp investing in new-age technology startup Ather Energy, that manufactures electric motorcycles.

The investments act as asymbiotic engagement– while startups get to warm up to a larger setup and reliable money, big companies get to diversify beyond traditional businesses and onboard innovative technology expertise.

2. Government funds

The Indian government has been late to join the party! Today some of the biggest states in India have floated funds and opened accelerators to hone entrepreneurs and support innovative technology. States like Telangana,Karnataka, Uttar Pradesh have taken special initiatives to encourage entrepreneurship in their respective states.

3. Collaborative funding

With the abundance of funding opportunities and scarcity of pristine funds, one can expect more collaborative funding to happen in this space.

4. Mushrooming New Funds

Even though funding has slowed down, the emergence of new investment funds has compensated for that phenomenon. Funds like Reliance Jio Digital India Fund, Maitreyi Digital India fund and more come with a plethora of cash for new-age startups. According to a report by Tech Circle, around 36 new funds have been started by new and existing investors over the last ten months.

While the deal flow was slow in 2016, the emergence of new trends and angels in the ecosystem indicates a new tunnel of hope in 2017

Wavy Line
Sneha Banerjee

Entrepreneur Staff

Former Staff, Entrepreneur India

She used to write for Entrepreneur India from Bangalore and other cities in South India.

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