Home Business & Management Top 5 Emerging Indian Startup Business - 2020

Top 5 Emerging Indian Startup Business – 2020

Do you want to know what is a startup business? The most emerging startups in the country? This is the perfect place to learn new startup stuff.


According to Investopedia. A startup is a new company established by one or more entrepreneurs to bring a unique product or service into the market.

There are many start-ups in the country as of 2020, many have proven to be famous successes however many more have proven to have failed maybe because of a wrong product or wrong time or wrong strategy, etc.

The startup community is emerging heavily, there are more than 50000 startup business in India currently.

startup business written with a thumbs up

Everyone uses Facebook, Uber, also Google. What you need to know is these big and famous companies, earning lots of money, when they were in the early stages or the initial years of their service they were also a startup business.

Many young students have the thinking to start their startup, have you also thought about it? we will tell you what you need to know and will tell you why do startup businesses fail.

To learn more check out our detailed blog on what is a business, different ways to start a business, and business management.

Things to learn-:

  1.   What is a start-up?
  2.   Top start-up business of India.
  3.   Reasons why startups fail.
  4.   Conclusion.
  5.   FAQ’S.

1. What is a startup?

As explained above a startup is a young company in its early stages established by one or more entrepreneurs to bring a new and unique product into the market

These companies usually start with high expenses and less revenue that is the reason they approach for a capital raise known as funding from various sources. Moreover, at the start they don’t have a proper business model.

Start-ups eventually raise funding, validate a good business model and grow gradually.

But a start-up is very risky and uncertain. Many start-ups eventually fail. But many start-ups end up being successful, some start-ups also become unicorns that means their valuation turns more than a billion dollars.

2. Top 5 startup business in India.

top 5 Indian startup infographics

This data has been ranked on the basis of personal opinion and the values in this data are dated as of the financial year 2019-20. SOURCE- inc42.com

1st Flipkart – e-commerce startup business

a shopping cart depicting flipkart

Firstly, Flipkart is an online shopping app where customers can buy and sell goods, Flipkart is India’s most valuable startup business.

Flipkart was started by Sachin Bansal and Binny Bansal in the year 2007. It has now established itself on a mobile app and also has grown to a large scale.

Flipkart was started with a capital of only 6000 dollars (4 lakh rupees)

After 13 years Flipkart has an amazing valuation of 20$ billion

However, with the most recent acquisition of Flipkart by the American retail giant WALMART for a whopping 16 $ billion, the most expensive e-commerce acquisition to date.

headquartered in Bengaluru

Total funding by venture capitalist and angel investor of 7.3$ billion.

  2nd byju’s – ed-tech startup business

Byjus Raveendran giving a speech

Secondly, Byju’s is the worlds largest Edtech startup business.

Byjus is an education platform where kids in school can learn different concepts online with the help of good computer graphics and visuals.

Though Byjus not only provides online coaching to school going kids but also now prepares for various entrance tests of different universities like CAT, SAT, JEE, NEET etc also study material from class 4 to 10 for CBSE AND ICSE board.

Byjus was started as only an e-learning platform in the initial days when it was a startup.

Founded by professor Ravindra Byju.

Founded in the year 2008.

Total funding received 969.8$ million.

Valuation is 5.8$ billion.

 3rd PAYTM –Fintech startup business

paytm startup business logo

Thirdly, Paytm is India ‘ s largest digital wallet and a technology platform of money transactions. The 2016 demonetization in India gave this startup business an exponential boost.

Paytm is an online digital wallet and Indias largest startup that gives access to online payment of various goods and services known as Paytm money.

However, nowadays it has grown into many services like the Paytm financial service, Paytm mall, Paytm insurance etc.

Founded by Vijay Shekhar Sharma in 2010.

Earlier Paytm was only an online digital platform, but after 2016 it changed a part of its business model involving an e-commerce marketplace.

Headquartered in Delhi-NCR.

Total funding received 2.5$ billion.

Total market valuation is 15$ billion.

4th Ola cabs – mobility startup business

taxi signs one behind each other

Fourth, Ola cabs is India ‘ s first taxi service startup business.

Founded by Bhavesh Aggarwal in 2010.

Ola cabs provides taxi and auto-rickshaw services in 50 different countries at affordable prices. It has also extended in the UK, Australia and Newzealand.

Ola also acquired food panda as a food delivery service in the cab. Ola cabs is now focusing on bringing electric cars known as Ola electric.

Total funding of Ola cabs is 3.2$ billion.

It is headquartered in Delhi-NCR.

Total market valuation is 6.2$ billion.

5th Oyo rooms – hotel rooms startup business

oyo rooms logo

Lastly, Oyo rooms is world’s 2nd largest hotel chain after Airbnb.

Ritesh Aggarwal is the founder of Oyo rooms. He founded the company when he was just 18 in the year 2013.

He saw a problem in the hotel industry and small businesses related to hotels of finding good hotel rooms with good facilities like proper food electricity and water facilities and many more

It is a hotel chain where it owns more than 35k hotels and 125k vacation homes and with more than 1.2 million hotel rooms it expands in more than 80 countries and over 800 cities.

Oyo turns all its hotels into stylish looking good quality hotels under its Oyo townhall, Oyo rooms, and Oyo flagship.

Total funding by venture capital firm is 1.7$ billion.

Valuation 16 $ billion.

Now that you have seen the top startups of India

You must know 8 out of 10 start-ups are a failure. There are big reasons why start-ups fail so that while starting your start-up you can keep these things in your mind

3. Reasons why startups fail.

1.   Wrong market industry.

Firstly, wrong market industry. Many times when people start their business they never look out for competitors. What if the market you are in is wrongly selected? What if there is already competition in the market and you are already late when your product comes out.

Sometimes the industry is well moved forward than starting your venture turns to be a big failure.

For Example- my friend started an e-commerce company in my city which failed in its first year. Do you know why it failed?

Because his company was ignorant towards its competition which was as big as AMAZON and FLIPKART.

These companies played the big game they ordered in bulk so that their cost was drastically reduced. Being a small player in the market my friend’s company ran out of funds eventually and in the end, the company failed.

2.   Faulty business model-:

Secondly, The faulty business model is the most common reason why most start-ups fail in the first year. Companies have an idea, a problem to solve, and a solution to that problem. Still the start-up fails because they don’t have a correct business model or a perfect supply chain which means they do not know how they will earn, how much the company should spend, cost calculations, what the target audience is, etc

3.   Marketing myopia-:

Thirdly, many times it is seen that the product you are building might be perfect from your side, you assume that your product is the best, it has the best features.

But when the product gets launched you get to see that no one wants your product, it is either outdated or is not in need, this is a reason for poor market research and analysis of the market.

Building something nobody wants is the worst thing you could do in your startup.

For example- building a pager phone in today’s era.

According to you, your product is the best. It is different from anything. But when you launch it you get to see no one is interested in your pager rather people want today’s touchscreen phone of today’s generation, hence do your market research properly.

4.   Weak feedback system-

In the initial days of any startup, every business faces instability.

Another great reason for failure is a weak feedback system.

Failing to understand what the customer needs is a very important thing or else any start can fall on its back.

Taking feedback through calls, emails, forms or any other feedback system helps the company to know what improvements are needed in the product or service and sometimes how can they improve their service, etc.

5.   Lack of passion-

Lastly, If a person does not have a passion to do business, how much ever great product one builds, lack of passion will make him take wrong decisions in the business and eventually the startup can fail if the wrong team and wrong decisions by that team take place.

Check out this video by intellectual indies on 10 reasons why startups fail.

Financial uncertaintyFinancial stability
Testing hypothesisSophisticated process
Scarcity of resourcesAbundant resources
Unknown brand name in some casesKnown brand name
Limited mentorship, guidanceBest mentors and role models
comparisons between startups and corporate’s

4. Conclusion-:

In conclusion a startup is an organization started by entrepreneurs to bring a product or service into the market in its early stages when it is growing, having fewer employees, not a huge amount of funding, not a perfect business model in real-time.

There are many start-ups with great business ideas in India now…however, there are great successes in the business but many have also turned out to be a big failure due to many reasons as stated above…

5. Frequently asked questions-:

What are the total number of startup’s in India?

There are around 50000 startups in India as of 2019

What are the different food related startup in India?

There are many famous food start-ups in India
Freshmenu etc

Is India a good country to have your own startup?

Yes! India is growing exponentially in terms of the number of start-ups every year. Right now there are around 50000 plus start-ups in India with more than 9300 tech start-ups..and the number is expected to grow soon.
There are great opportunities for young entrepreneurs to start their startup


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