2. The World of Startups Has Changed

In my last few years of experience of working with startups, one thing stands out- the world of startup funding has changed a lot. The quality of startups looking for funding has improved considerably.

There is wide availability of information on startups, thanks to various forums, platforms, events, and incubators. The founders now have access to role models who are willing to share their experience and costly lessons, thus providing an opportunity for other founders to learn from other's mistakes. The reverse brain- drain into India as well as availability of ecosystem has pulled in founders with successful careers. They are willing to work hard with single minded focus.The VCs have improved their deal sourcing capabilities, are clear what type of startup they want to fund. Days of funding idea are long gone; the focus is on execution. Investors are actively helping founders get talent and initial deals. Ironically, those startups who have the ability to generate revenue and sustain business, are the ones who will be able to secure the funding. Investment will be for scaling, not for basic product development or initial sales.