How Entrepreneurs Can Turn Lead Into Gold
PROLOGUE:
Their views on what is and should be the ultimate dream of every start-up with the focus on creating wealth for every participant involved? Akshit got up early in the morning and looked up towards the clear sky during monsoon. He quickly packed up and went for a morning walk on Marine Drive situated near his rented apartment. He raised $20million from series B round for his startup last week.
He is planning to shift into a new home soon. Akshit met his friend Laksh on Marine Drive after 5years and both were excited to share stories of raising funds with each other. This successful event conducted with BSE tells us all about it. He was shocked to hear that Laksh raised $30million funds without going through any funding rounds with investors.
Laksh didn't design pitch deck, 3-year business plan projections he never worried about exits for investors to attract next series of investors for every new round of fundraising. Sarcastically Laksh said, 'I never ran in a race like you, where my speed was set up in a term sheet i.e. written by me and my investors'.
On the other side Laksh expressed joy for Akshit's achievements. Laksh felt Akshit is a true genius who was able to succeed in every round of raising funds meeting investor expectations. But that didn't bring a smile on Akshit's face. He was impatient to hear from Laksh about whether he could raise $30million without running around investors. Laksh smiled and said, 'Do you know that you can list your startup on Bombay Stock Exchange?'Akshit was taken aback and said “I am not looking at an IPO exit at an early stage”.
Laksh replied, 'So you still want to run another race of raising funds?' That's why I said, 'You're a true genius, whereas I am not!' Laksh opened a new world of fundraising to Akshit. It's called 'BSE Startups', any startup founder can get his business listed once and raise funds forever just like other fortune 500 companies. Akshit was excited and wanted to learn more. That's when Laksh introduced him to the event organized by CoKaCo & 10000StartupsIndia in association with NMM Securities & The Bombay Stock Exchange.
CoKaCo (found by Manisha Mittal, Nikunj Mittal & CA Utsav Agarwal) in association with 10000StartupsIndia (found by Leenesh Singh,) conducted a successful & insightful webinar on “How to get your Startup listed?”. One of the esteemed panelist being Mr Ajay Thakur from BSEStartups (Head – BSE SME & Startups) explained.
All the panel members i.e. Mr Pradeep Malu (Mentor of change at NITI Aayog & Startup Mentor), Mr Nikunj Mittal (Director – NNM Securities pvt ltd) & Jay Jain (Group Founder & Director – Astute Group, Indore) shared their insights on the pros & cons of listing of start-ups with BSE.
Life cycle of any startup ends by going public and getting listed. It is the key to unlocking the potential. Going public- involves selling your vision and results. It is going out of the shell.
The goal to create and maximize wealth for every participant involved will come to effect only after listing the startup. Considering the examples of startups-turned-huge market players: Facebook, Uber, Make My Trip, and the latest craze Zoom etc. it all started with them getting listed on the stock exchange. Each of these companies have created wealth in excess of billions dollars and this is what the listing on the exchange platform can do for you. It can help to maximize the valuation and wealth for all including the employees, the accelerators and other stakeholders involved in their journey.
The Eligibility Criteria
Start-up listing on BSE is a very niche subject and not many are aware about it and also about the various benefits which can be availed through listing the start-up, such as:
While it is beneficial for a start-up if it is listed on BSE, here are some simple steps that a start-up can adapt to get listed:
Proceedings for Listing:
Some myths about the listing of Start-up?
No company or promoter loses control over their business by getting a startup. Equity is the safest instrument in the hands of the promoters and the riskiest in the hands of the investors. Unlike PE and VCs, this type of investment is scattered, a lot of people have invested in your business. Hence, no control is lost, maximum shares are with the companies’ promoters. How BSE as a listing platform, will help the startups to list on your exchange? Please throw some lights on the eligibility criteria and process thereof.
It is not about the right time but about the long term growth and profitability. All the time is a great time. Do not wait for the right time. Take the right step and progress along with the time. If your business is doing well, one will have attracted investment. This will be the key to success for any investor/entrepreneurs. Time is key and irreversible. It is important that you create a value proposition to attract investment to your business idea.
Epilogue
We can conclude that your platform looks like a boon not only for the start-up but for stakeholder and participants who would like to be a part of the wealth creation journey of the start-ups. This step will help the start-ups in wealth creation and stability.
Is your start-up eligible for listing? Let us help you find out . We cater to entire gamut of financial services. Our virtual platform “CoKaCo” provides 360-degree Business & Financial solutions at one click.
If you have a business idea or have a start-up looking out for growth. You must reach out (a 10000StartupsIndia initiative) the biggest aggregator connecting start-ups to 1200+ incubators, 900+ mentors, 3000+ investors to raise funds from over 90 countries.
Register for our next event here: https://diice.org/update/women-millionaire-summit-2020/463568.
STAY LISTED, STAY PROLIFERATED...!