You can't miss eChai Ventures social when it's all about cricket, chai, exciting stories from individuals and lots of knowledge sharing.

Special thanks to Abhishek Desai and Kuntal Shah for having us at CricHeroes HQ and sharing interesting insights about the Game of God in India and worldwide with their Growing network and love of cricket.

Thank you Jatin Chaudhary for the wonderful social.

Had a pleasure to meet founder & team of @CricHeroes as part of 

@eChaiVentures Social over Chai with echai community. 

It is fascinating to know #Ahmedabad based company has now foot prints in over 80+ countries.

The mobile 1st platform empowers millions of grassroots cricketers to showcase their talent, get recognition and become better with data.

@abhishekdesai #CricketTwitter #VocalforLocal

Last Saturday, I had the privilege of attending a panel discussion alongside my collegue Sai Trivikram Chintakunta, hosted by eChai Ventures at Draper Startup House. The event, titled "Founders who have made it to Shark Tank India: Hyderabad edition", featured founders of direct-to-consumer (D2C) brands and offered profound insights into the nuances of running a startup.

Here are the key takeaways from the discussion, which revolved around the 4Ps of marketing, though not explicitly mentioned.

Product: To ensure long term success and sustainability of D2C brands, innovation is key. With Gen Alpha emerging as a significant customer base, staying ahead with novel products is crucial.

Price: Pricing strategy plays a pivotal role in profitability. It is advisable to aim at least a 5x markup on the cost of production. If your products are priced at a 3x or 2x markup, it may be time to revisit your pricing strategy to ensure sustainability.

Place: For D2C startups, an offline presence is very advantageous. It significantly reduce customer acquisition costs and facilitates quick feedback integration for new product pilots.

Promotion: Budgeting for marketing is crucial as the promotional cost varies between 25% to 60% of the revenue depending on the product. While getting viral on social media is rare, identifying the most effective promotional channels is key to driving customer acquisition.

Special thanks to Ravi Kabra, Harshvardhan Khemani, and Suraj Pusarla for sharing invaluable insights during the discussion.

Thanks to eChai Ventures, I had the privilege to witness the creativity & dedication of budding entrepreneurs along with the opportunity to engage with influential minds during the inspiring panel at IIMA Ventures.

The conversation between Vishvajit Sonagara & Parin Sanghvi on how they started their own ventures even after coming from strong business families was fascinating. Listening to their stories & experiences from Milapsinh Jadeja on setbacks, necessary pivots and achievements in their respective fields was a great motivation.

Really fortunate to have been a part of this productive session & looking forward to others in the future.

A week that was :)

It started by watching the movie #article370 and learning how the events progressed.

Movies such as Border, Uri, Gadar, Bhagat singh etc always lift that “Patriot” within us. A political thriller that Article 370 is, once again lifted that spirit in me. I was so proud to have such leaders who make things happen. Most of us “”speak” and dont “act”. We like to be on those postions and posts to “show off”. The key is contribution. Giving our 100%.

Gujarat Blockchain summit GIFT City Mehsana startup mahotsav with and eChai Ventures meet at IIMA Ventures, IIM Ahmedabad.

Had a super time with fellow members from the startup ecosystem. From Block chain to a Tier 2/3 city. Startups everywhere ! So Glad to see this evolution in Gujarat and super proud to be a part of this.

🌟 What a weekend! Had the privilege of engaging with amazing audiences on two different stages, discussing startups, brand building, and product marketing.

On Saturday, I shared the stage with esteemed founders Ankita De
and Rapti Gupta at an eChai Ventures event, moderated by the fantastic Penchala Tharun 🚀. We delved into topics ranging from marketing and communities to startups and product marketing, with a special focus on the fintech space. A big thank you to eChai and Jatin Chaudhary for this opportunity! 🙏

Simultaneously, I had the pleasure of interacting with numerous entrepreneurs who are passionately building their own ventures. The insights gathered from diverse industries, from healthcare to the evolving Indian solar market, were truly enlightening. 🙌

On Sunday, the learning journey continued at a MyCaptain event, where I connected with over 80 individuals exploring the intricacies of Product Marketing.

We delved into the different strategies of product marketing, and I had the opportunity to walk them through a real-life campaign from Cashfree Payments, viewed through the lens of product marketing. Witnessing the participants' demos and the depth of insights they brought to the table was inspiring. 🎊

A huge shoutout to everyone who attended and engaged in these discussions. Your enthusiasm and curiosity made these events truly memorable. Special thanks to Tejaswi Vuppula and the entire MyCaptain team for this opportunity. 🙏

Looking forward to more such enriching events and interactions in the future!

It was great fun moderating the panel discussion on 'Blockchain for Banking & Fintech' meetup in Mumbai for eChai Ventures (Jatin Chaudhary) in association with DevX.

Rohan Sharan (Timechain Labs) & Mahesh Jadhav (One UPI) have
👉 Elucidated nuances around Web3.
👉 Use cases that would gain traction in the BFSI space.
👉 Ways inwhich regulated entities can foster adoption of blockchain tech.
👉 Stance of govt on the regulations around blockchain & crypto.
👉 How CBDC can bring the impetus required to Web3 in India.
👉 Hardware and Software requirements for Web3 applications to function at scale.
👉 What theoretical concepts in Web3 as on date can transcend into reality over the next few years.

Neucron Big Blockers Community

An enriching weekend at IIMA Ventures at Indian Institute of Management Ahmedabad 🌱

Organised by eChai Ventures Delighted to be part of an insightful meetup featuring candid panel discussions with visionary founders and leaders. Reelo Quicko Iroller Capital Pvt Ltd Vishvajit Sonagara Milapsinh Jadeja Parin Sanghvi ☕️

The meetup showcased the passion and innovation of early-stage founders through inspiring open pitches. The networking session was equally rewarding, connecting with like-minded individuals, sharing experiences, and building valuable connections. 🙋🏻‍♀️

Grateful for the opportunity to be immersed in this dynamic entrepreneurial community!

Exclusive Product Growth Meetup at Draper Startup House in Bengaluru hosted by eChai Ventures🌟.

Thrilled to share that I had the incredible opportunity to participate as a panelist at the meetup delving into the dynamic world of Product Management!

It was a pleasure to join fellow industry experts Sanjeet Kathuria, Harneet Kaur Chhabra and Sanket Bhatt in a riveting discussion on key practices and strategies shaping the field. The turnout was nothing short of amazing with 50+ product and growth folks and even founders showing up for an engaging evening!

Key Highlights from the discussion:

🎯 Being an advocate for customer empathy is fundamental for translating business needs into actionable insights to drive product growth.
🎯 GTM and product development should go hand in hand with a key focus on adopting early design partners and finding distribution channels that work for your startup.
🎯 Experimentation with product features, pricing and positioning can help unfold unforeseen avenues leading to higher customer engagement and business expansion

📖 Book recommendation: Hooked by Nir Eyal

🙌 Huge shoutout to the organizers and host Jatin Chaudhary and Darshan Suthar for extending the invitation and for orchestrating such a successful event for the community.

Some glimpses from the eChai conversations on early stage fundraising held at HSR.

While I shared my learnings and what we look at Warmup Ventures, it was great to learn from

Shubham Jhuria

  about Aeravati Ventures and from

Raeeza Tameez

on Leo Capital.

Spent a dynamic Saturday morning with a group of dedicated entrepreneurs with eChai Ventures, exchanging invaluable insights and strategies for startup success. 🙌

We delved into key takeaways crucial for entrepreneurial success: 📈

1. Importance of Product Marketing: Emphasized the pivotal role of product marketing in effectively communicating the value proposition and benefits of your offering to the target audience.

2. Understanding CAC and LTV: Discussed the significance of Customer Acquisition Cost (CAC) and Lifetime Value (LTV) metrics in guiding sustainable growth and profitability strategies.

3. PLG and SLG Strategies: Explored the power of Product-Led Growth (PLG) and Sales-Led Growth (SLG) approaches, highlighting their respective advantages and suitability based on business models.

4. Finding Ideal Customer Profile (ICP): Stressed the necessity of identifying the Ideal Customer Profile (ICP) to optimize marketing efforts and enhance customer acquisition and retention rates.

5. Achieving Product-Market Fit (PMF): Recognized the importance of attaining Product-Market Fit (PMF) to ensure that your product resonates with the needs and preferences of your target market.

6. Importance of User Research: Underlined the critical role of user research in gaining deep insights into customer behavior, preferences, and pain points to inform product development and marketing strategies.

7. Significance of Customer Interaction and Insights: Highlighted the value of ongoing customer interaction and feedback loops in refining products, enhancing user experience, and fostering long-term customer relationships.

Here's to the power of collaboration and hustle! 💼🚀

Notes from eChai's DeepTech Startups Meetup at Ahmedabad University

How drivebuddyAi started and what drivebuddyAI does?

DBAI is an Automotive AI startup working in the domain of Automotive Aftermarket in the category of ADAS.

What is AI in drivebuddyAI and what are the challenges about Human AI Interactions?
The drivers are usually in touch with our driver trainer team who talks to drivers and comforts them for their better safety and behavioral issues identified by the technology.

How do drivers react to AI alerts and how the resistance is being handled?

The drivers take 10-12 months of efforts to get confidence and comfort with the AI alerts i.e. a typical human psychological phase of accepting a tech in daily work life.

⁠What are the challenges of getting a customer, investors?

DBAI is funded and was raised before Covid in 2020 and since then have progressed towards becoming one of the major players in Indian market.

What are the challenges about hiring talent, building AI models and how it was handled in the case of drivebuddyAI?

Ahmedabad specifically lacks in talent pool required for AI, dbAI has talent pool available in Delhi, Vizag, Pune, Jaipur and all these are mid experience to entry level engineers working under the managent of domain expert AI engineers to solve daily AI challenges.

Typical challenges of building AI involves data collection, data curation, annotations, training, GPUs, model optimization etc. 

The DBAI journey started at a very early stage by using the pre-trained models for perception module to collecting and annotating data for Indian ecosystem when there was no Indian dataset available for building AI on it. The process of annotations, having GPUs for training purpose and managing a complete cycle of the data generation to updating a model with continuious learning is the journey in building AI.

To build AI/deep tech product startups, first one needs to start with whatever is readily available in the market which can give functional accuracy and then building on top of it by the feedback from the users, customers can help building the product focused on a specific domain.

It was such great fun sharing the panel with Ankita De and Varun Trivedi today talking about my favorite things - marketing, community, and founders.

We talked about user research, validating ideas, product marketing, saas market and more. The crowd was brimming with new ideas and entrepreneurial energy.

Thank you Penchala Tharun 🚀 for asking such great engaging questions. I had fun!

Thanks Jatin and eChai Ventures for having me.

For everyone that asked to join HSR Founders Club please dm me. And for anyone that wants to use Bugasura - go right ahead and give it a try.

Grateful for the opportunity to participate in the three-day event hosted by the Royal Academy of Engineering London, for the LIF fellows at Taj West End at Bangalore.

The program, featuring training, networking, and pitching sessions, was truly enriching and insightful. It was a pleasure connecting with fellow entrepreneurs and exchanging ideas.

Looking forward to applying the knowledge gained to drive innovation and growth.
 
Aditya Shukla ♻️🌏 Himmat Singh

Royal Academy of Engineering Fellowship Progam: Link

We are looking for senior writers who are passionate about teaching kids essential life skills through storytelling and comic books. You would be working on our TruBuddy comic books (www.trubuddy.me).

Apply if you can craft brilliant scripts and stories to effectively communicate teaching points to your readers.

Location : Ahmedabad

Experience: 2-4 years for experience

Salary: ₹6 Lakhs - ₹7.2 Lakhs a year (based on experience and expertise)

All details about the job position is here: https://lnkd.in/drYcCWB9

We'll be hosting 'Marketing Strategies for Startups' meetup in Bengaluru today morning at Urban Vault HSR Layout 1515 from 11 am to 1 pm.

🎙️Rapti Gupta, Co-Founder & CMO, Bugasura
🎙️Ankita De, Founder & CMO, Utsav™
🎙️Varun Trivedi, Product Marketing, Cashfree Payments and Ex Co-Founder, IconScout

It will be moderated by Penchala Tharun 🚀, Founder, Wanderfly.in.

Free registration at eChai.Ventures

We are collaborating with Timechain Labs & DevX to host 'Blockchain for Banking and Fintech Meetup' in Mumbai today morning (2nd March, Sat) at DevX Andheri East from 11 am to 1 pm.

🎙️Rohan Sharan, Founder, Timechain Labs
🎙️Mahesh Jadhav, Founder, One UPI

It will be moderated by Bharadwaj Kanamarlapudi.

Free registration at eChai.Ventures

Dhandha ya Startup?

My recent family visit to Jaipur would have been incomplete without a quick check-in into the start-up ecosystem. A few conversations with Headstarters and a last-minute meet-up with eChai Ventures helped me understand-

1. Jaipur and Rajasthan as a whole believe in business = profit > massive growth
2. Fundraising doesn't take as much precedence as building a sustainable business
3. Some of the most renowned start-ups and businesses like CarDekho Group, Razorpay, DealShare, and even Dexter Ventures have started and been built in Jaipur
4. The community is nascent, close-knit and growing
5. A lot of talent, very good talent is available thanks to the number of colleges and coaching institutes in the region

A shoutout to everyone who made time on short notice to help me get a sneak peek into Jaipur and the Rajasthan ecosystem - Paresh Gupta, Tushar, Prateek Mathur, Vinay Kamal, Chetan Saini, Rahul Singh.
Jatin Chaudhary and Gautham Sivaramakrishnan Headstart Network Foundation always help me find the best people to connect with across the country and the world.

If you have been to or built-in #Rajasthan, I would love to hear your thoughts. Do tag anyone you would like me to meet the next time I'm in Rajasthan.

Hey Manoj, what do you do?
.
.
.
I had never thought, that this simple question can be so difficult to answer. Here is how my answer to this question has changed in last 3 years.

• Until Feb 2021, before I left my Corporate job - I am a Technology Risk Manager at Barclays, Singapore 👜

• From Mar 2021 to July 2022 - I am Founder of Bizsomia ⚽

• After we stopped working on Bizsomia - I found myself grappling with an Identity crisis as I struggled to define my professional narrative 🌶

• Between Aug 2022 to Dec 2023 - Though I was doing various things such as Consulting, Running Course and Hosting podcast, still I had no definite answer 🤐

• Jan 2024 onwards - I am Director at WebOsmotic and Co-Founder at narad.io 🚀

Transitioning from a Corporate job to the Startup world isn't just about starting something new; it's about persevering through the challenges and maintaining your sense of identity along the way.

P.S : Today marks my 3 year anniversary in Startup Ecosystem and I am proud of my journey 😎

I'll be hosting the fireside chat with

Nisarg Pandya

, Founder & CEO, drivebuddyAI at DeepTech Startups Meetup in Ahmedabad today evening (1st March, Friday) at Ahmedabad University (w/ VentureStudio) from 6 pm to 8 pm.

Free registration at https://echai.ventures/events/deeptech-startups-meetup-in-ahmedabad-mar-01-2024

This is what we live for @cricheroes #Cricket

Back at eChai Ventures tomorrow chatting about marketing at early stage startups. 🚀

Bang in the middle of COVID - I remember Jatin reaching out for a session on content and I got to join a really rich panel of experts with Sujata and Taniya from Suta, Riddhi from Avenue Ecom and Smita from Delloite, ex Duroflex.

I learned so much from their diverse opinions and experiences.

I’m joining another panel tomorrow with Ankita De and Varun Trivedi to chat about marketing at early stage companies in HSR Layout, 11 AM onwards.

Join us if you’d like to catch up. Im looking forward to learning from this panel as well.

Details ⬇️

Join us for our upcoming event in collaboration with Azure Society of Excellence & Microsoft Azure, and explore how AI accelerates idea generation, refines concepts, and optimizes strategies, reshaping the path to startup success!

Mark your calendar - March 1, 2024, 6:00 pm onwards.

Register now at  https://ahmedabad.iimaventures.com/event-details/microsoft-day-at-iima-ventures/form

eChai's Singapore Startup Meetup is happening today (29th Feb, Thursday) at Draper Startup House Singapore from 7 pm to 9 pm.

🎙️

Monika Mehta

, Co-Founder, TrillionSale
🎙️

Tushar Tejuja

, Founder, Scout - AI Powered Talent Hunter

It will be moderated by

Smitha Saravanan

, Business Development Manager, IKIGAISG.

Free registration.   

Congratulations to BonV Aero!

Exciting news from Meet the Drapers Season 6 Finale - BonV Aero emerged as the champion, securing a whopping $1.6 million in funding! 🏆

I had the opportunity to be part of the selection panel along with Devesh Ramchandani, Dr. Barada Prasad Panigrahy and Sarika Batra, we witnessed more than 300+ Startups from across India, Srilanka and the MENA region, and least mention the Sri Sri University, Bhubaneswar, certainly was tough call to pick one startup to be represented from each region.

I would like to thank all our judges who were at MEET THE DRAPERS-season 6 India, Madan Padaki Nikhil Kamath Nupur Hemant along with Tim Draper.

BonV Aero’s groundbreaking mission to transform critical logistics with innovative electric aerial vehicles, tailored for demanding terrains, has garnered them well-deserved acclaim from our distinguished panel of judges.

Many congratulations to the team BonV Aero Satyabrata Satapathy Gaurav Achha the winners and 1st Indian startup to be funded at Meet the Drapers seasons.

This season witnessed a total investment of $2.8 million, underscoring the extraordinary promise and commitment of our contestants to propel innovation and change.

If you're convinced your startup can make a significant impact, seize the opportunity to apply for Season-7 of Meet the Drapers. Embark on this journey to leave your imprint on the global entrepreneurial landscape. https://lnkd.in/gWuVsvJF

Thank you GUSEC for this felicitation and recognition. I cherish my association with your esteemed incubation centre since the time of its inception.

These years have helped me groom myself as a mentor and I am pretty sure I could contribute a little in the growth and success of those early stage #startups that approached me for mentorship and guidance. 

Looking forward to further this relationship and nurture more entrepreneurs in the times to come!

It was a super event hosted by Malav Warke at DevX Andheri in Mumbai.

Honoured to be part of the speaker Panel. It was Great to meet Udit Goenka - and I realised that there is a lot to learn from him.

Keep Up the good work eChai Ventures.

Going forward apna will be the official partner of AICTE to help all Engineering and Management graduates find a job and help them in career discovery. Honoured to exchange an MoU with AICTE, led by esteemed Prof. Sitharam T.G, Chairman of AICTE.

“There is no dearth of jobs, we just need to connect students with opportunities. We are thrilled to announce that Apna and AICTE will make this happen for all India’s Engineering and Management College students.”

The ceremony was graced by the august presence of Union Minister of Education, Skill Development and Entrepreneurship, Shri Dharmendra Pradhan-ji, Secretary Higher Education Shri K Sanjay Murthy, UGC Chairperson MAMIDALA JAGADESH KUMAR, NCVET Chairperson Dr. Nirmaljeet Singh Kalsi IAS (retd), and other dignitaries whose guidance and blessings make this journey even more meaningful.

Inspired by Hon’ble PM Shri Narendra Modi-ji's words, “The energy of the youth and their passion for development are what drive a nation forward.” It is a privilege to work alongside such visionary leaders and dedicated institutions in our shared mission to nurture and equip India's youth for the opportunities of tomorrow.

The collaboration envisions to unlock job and career discovery, provide AI-powered support for building resumes & interview preparation and set up a community platform for all-round professional development of students, ensuring they step into the professional world with confidence and the right opportunities at their doorstep. All Engineering and Management students graduating from AICTE-affiliated colleges will be benefitted by this initiative.

A heartfelt thank you to everyone involved in making this a reality. Karna Chokshi Shuvajyoti Ghosh Kathak Mehta, PhD and the entire team at apna, and Hiranmay Mahanta. 
Together, we will be nurturing a skilled, competent and confident generation ready to lead India's growth.

Photo courtesy: AICTE

People ask about weekends,

Your weekends can be worthy too if you are surrounded by the right folks, and for me, they are eChai Ventures and this is what echai friends do.

The day started with chit-chat about the business and was followed by an amazing lunch at Karnawati Club.

Attended an amazing echai demo day, where one friend pitched his new venture on the stage and another shared his success story.

58 Miles Rocks and AllEvents.in has been always inspiring.

Crazy fun weekend with craziness and productivity. Hope to have these keep coming in.

Jatin Chaudhary Pankaj Bhimani Amit Panchal Umesh Uttamchandani Himani Kankaria Kumar Manish Koumal Kalantry Shrijay Sheth Leena Parikh Syed Nadeem Jafri Gaurav Barot

“Prateek, let’s travel across India to know more about the stories of India SaaS”

4 months ago, my co-founder Sri reached out to me with this crazy text and bag full of even crazier ideas. Without a second thought, I knew I was in.

And that's how from Day 0, both of us went all in.

And here we are today—I’m extremely excited to introduce to you, The Bharat SaaS Yatra!

Our vision? To celebrate the Rise of India SaaS, and cover hundreds of stories of SaaS Founders—The wins, the losses, the challenges and everything in between ❤️

Stories not just from the Tier 1 cities, but also the gritty tales from Tier 2 & Tier 3 cities.

Hitting the road for the next 4 months to travel across 20 cities and capture the Fan-SaaStic stories out there.

Wondering, where we’ll meet? In one of the finest immersive SaaS exhibitions that we’re setting up across all the 20 cities. I bet, you’re going to love it!

Hop in with us in the Yatra 🙂

Link to register for the exhibitions

 

How did I find my Co-Founder?

In 2020, I decided to relaunch an IT company with a focus on a specialized field as opposed to continuing our 2014-founded freelance business. Even though since 2014 we have completed over 300 fixed-cost jobs and about 100,000 hours of freelancing, I was not happy. It's so simple to be a so-called "CEO" in the IT business these days—all you need is a laptop and various accounts on freelance platforms, which you may even open under family names 😂.

But, I've always wanted to start an IT company rather than a freelancing agency. To get knowledge and explore more from other like-minded entrepreneurs across various sectors, I joined BNI Global Surat Region.

There I met Dhaval Vansadia at a chapter meeting a few weeks later. He had a technical background, came from the textile industry, and had expertise in D2C brand consulting.

He is very enthusiastic about networking and enjoys building new connections. We met at our office and after an hour-long discussion, he hired us for a project, and we created an ERP system for his business. that's how he became our first client out of a freelancing portal.

After a year of collaboration, he made the difficult decision to leave his company, which he had invested both money and heart in for eight years. Despite this, we remained close friends and nurtured our relationship.

He spoke to me over the phone one day, "Jatin, what are you doing? This Friday, if you have time, let's get together at your workplace. I miss having coffee from you."

Well, then, why not?

We had coffee together on Friday and during a conversation, he asked "Jatin, Why do most IT companies in Surat fail to become multimillion-dollar companies?"

After an hour-long conversation, I asked him, "If you think you are ready again, let's build Sarvadhi a multimillion-dollar company that would run for years and years, with or without us!"

And he responded, "YES!"

That's how I met my co-founder Dhaval, who serves as Director of Sales and has been in charge of sales since January 2024.

It proved that huge dreams, trust, and a cooperative mindset of mutual growth can all lead to the creation of a great company.

Dhaval Vansadia, welcome to the team. I'm looking forward to working with you after working for you.

If someone asks me if BNI has been helpful, my response is: Indeed, it's worth exploring if you're willing to be flexible and know how to make the most of your network—both for business and for making new friends in different fields.

Had an enriching experience at the eChai Startup Demo Day in Pune last Saturday!

Attended a captivating showcase of startups, and two in particular stood out for their innovative offerings:

#ElektrikExpress : Their focus on the EV space, specifically building electric scooters for gig workers, is truly commendable. What caught my attention was their ability to identify a niche market and offer affordable solutions despite stiff competition. It was inspiring to learn that the founders are still in college, showcasing incredible entrepreneurship at such a young age.

#Phynart : Revolutionizing our homes with smart technology, Phynart impressed with their seamless integration of various smart products through a single app. Their strong revenue generation reflects the effectiveness of their solutions.

Kudos to #eChai Ventures for curating yet another impactful demo day! Looking forward to witnessing more innovation and entrepreneurship in the future.

Startup Learning Series: Understanding ROFR vs. ROFO

ROFR (Right of First Refusal)

➡️ What is ROFR?
The holder has the privilege to match any offer the seller receives before finalizing a deal with a third party. Essentially, they have the right to refuse an initial offer and step in with the same terms.

➡️ Example:
Startup A grants an investor a ROFR. If the startup receives a funding/ acquisition offer from Company X, the investor has the first shot at matching that offer before the startup can proceed with Company X.


ROFO (Right of First Offer)

➡️ What is ROFO?
Unlike ROFR, this gives the holder the first chance to make an offer before the seller approaches others. The seller is obligated to consider this initial offer before entertaining offers from third parties.

➡️ Example:
Startup B gives an investor a ROFO. If the startup decides to sell a portion of its shares, the investor gets the opportunity to present an offer first before the startup explores other options.


Which is more beneficial for Startups?

➡️ ROFO: This can be advantageous for startups aiming to maintain control and nurture strategic partnerships. It provides a structured process for selling shares and ensures that existing stakeholders are considered first.

➡️ ROFR: Startups looking for flexibility might prefer ROFR. It allows them to explore various offers and potentially secure a better deal.


Which is more beneficial for Investors?

➡️ ROFR: Investors seeking security and the ability to protect their investment may lean towards ROFR.

➡️ ROFO: Investors looking for proactive involvement and a first-mover advantage may find ROFO more appealing. It allows them to set the initial terms and potentially secure a deal before others come into play.


Considerations for both Parties

➡️ Negotiation Power: ROFO gives negotiating power to the holder by allowing them to set the initial terms.

➡️ Flexibility: ROFR provides flexibility for sellers to explore various offers before committing.

➡️ Relationship Dynamics: Both agreements impact the dynamics between startups and investors, requiring a careful understanding of the long-term vision and goals.


Conclusion

➡️ The choice between ROFR and ROFO depends on the specific needs and goals of the startup and the investor involved.

➡️ It's not a one-size-fits-all scenario, and understanding the nuances is crucial for creating mutually beneficial agreements.


Other posts in the Startup Learning Series:

🔗 Pre-emptive Rights: https://lnkd.in/dQKcThft

🔗 Liquidation Preference: https://lnkd.in/dRb2Eetc

🔗 Anti-dilution Clause: https://lnkd.in/dFSWs2xH

🔗 Understanding ROFR: https://lnkd.in/dxuVBxge

At STIR Advisors, we help startups and investors with our expertise to navigate through such intricacies.

Gained invaluable Insights and Inspiration from the latest eChai Startup Demo Day at IIMA Ventures in Ahmedabad.

On this Saturday I had attend Echai meet up for Start up enthusiasts, and it was awesome experience with innovation ,collaboration and potentials, from dynamic pitches to engaging discussion ,the event was full of entrepreneurial spirit.

There are many founders who represent their product and ideas. one founder introduced FMCG product app for fastest delivery service and highlights the emergence needs of online delivery services. on the other side the founder focusing on the travel bag product.

In Addition the founders of Smytten also shared invaluable insights into strategic approach and their journey to success. Overall, the eChai meetup served as a phenomenal platform where investors, start-up founders, and industry professionals meet to discuss emerging business opportunities and exchange knowledge.

This event helped me in fuelling my passion for innovation and Entrepreneurship.

I'm thrilled to share the incredible experience I had at recent Demo Day eChai Ventures IIMA Ventures at Ahmedabad curtesy of Jatin Chaudhary.

What made the day truly special was connecting with so many passionate entrepreneurs who share the drive for innovation. From insightful conversations to valuable feedback, meeting amazing people like you reminded us of the power of community in propelling us forward.

Jatin Chaudhary team keep up the good work really appreciate it on behalf the community and 1 Loyalty.