Equentis Wealth Advisory Services has officially unveiled its first Category I Alternative Investment Fund (AIF), the Equentis Angel Fund, with a corpus target of Rs 500 crore (USD 60 million). The fund is designed to provide essential early-stage capital to high-growth Indian startups, focusing on pre-series A and bridge-to-series A funding rounds. This strategic initiative underscores India’s position as the world’s third-largest startup ecosystem and aims to empower emerging businesses across diverse sectors, catalyzing their expansion into market leaders.

Key Objectives of the Equentis Angel Fund

Target corpus and investment size.
The Equentis Angel Fund has set an ambitious target of Rs 500 crore, with individual investments ranging from Rs 4 crore to Rs 10 crore (USD 500K to USD 1.2 million). These funds will serve as a lifeline for startups navigating the critical early stages of growth.

Sector-specific focus.
The fund will prioritize startups in high-potential sectors, including defence, consumer tech, deep tech, logistics technology, fintech, and artificial intelligence. This targeted approach aligns with India's evolving technological landscape and global competitiveness.

Eligibility criteria for startups.
To qualify for investment, startups must demonstrate a total addressable market (TAM) of at least Rs 8,000 crore (USD 1 billion) and showcase a proven growth trajectory, ensuring that resources are allocated to scalable and market-ready ventures.

Planned Investments and Timelines

40-50 startups to benefit from funding.
Over the next 18-24 months, the Equentis Angel Fund aims to invest in 40-50 startups, providing critical growth capital to scale their operations and expand market reach.

Accelerating India’s startup momentum.
India’s startup ecosystem, boasting over 128,000 registered ventures, has seen a sharp rise in investor interest. The fund's launch coincides with this momentum, creating opportunities for entrepreneurs to secure financing in an increasingly competitive environment.

Focus on bridging funding gaps.
The fund targets the challenging gap between pre-series A and series A funding rounds, ensuring startups have the resources needed to transition smoothly to larger-scale operations.

India’s Startup Ecosystem: A Thriving Opportunity

Global recognition of India’s startup potential.
India has firmly established itself as the world’s third-largest startup ecosystem, attracting billions in investment. This achievement underscores the nation’s entrepreneurial spirit and growing influence in global innovation.

Impressive funding trends in 2024.
Indian startups have already raised over USD 10 billion in 2024, with projections suggesting a year-end total exceeding USD 15 billion. Angel funds and venture capital funds have played a critical role, contributing approximately USD 1 billion in commitments.

Government support and private sector collaboration.
The growth of startups in India is bolstered by favorable policies, investor enthusiasm, and a robust talent pool, creating a synergistic environment for innovation.

Equentis’ First Investment: A Bold Beginning

Yatnavat, operating under Oorjaa, as the inaugural beneficiary.
Equentis has made its first investment in Yatnavat, operating under the Oorjaa brand. This move symbolizes the fund’s commitment to empowering transformative businesses with capital and mentorship.

Driving innovation through early-stage support.
The investment marks the start of what promises to be a dynamic phase for India’s startup ecosystem, with Equentis poised to identify and nurture companies capable of disrupting markets and creating value.

Alignment with long-term growth strategies.
By focusing on businesses with significant market potential, Equentis is not only supporting individual ventures but also contributing to the overall strength and sustainability of India’s entrepreneurial landscape.

The Growing Impact of Angel Funds

Role in the startup ecosystem.
Angel funds, including Category I AIFs, have emerged as key players in India’s startup story, providing early-stage capital that fuels innovation and growth. These funds bridge critical financing gaps, enabling startups to transition from ideation to execution.

Significant contributions to funding pools.
In 2024, angel funds have contributed around USD 1 billion in commitments, underscoring their importance in driving the startup economy. Their investments not only empower entrepreneurs but also create ripple effects across industries.

Fostering a culture of innovation.
By prioritizing scalable and innovative solutions, angel funds are nurturing a culture that values creativity and problem-solving, ensuring India remains a hub for entrepreneurial excellence.

Bottomline: Equentis Angel Fund as a Catalyst for Growth

The launch of the Equentis Angel Fund represents a significant milestone for both the company and India’s startup ecosystem. By providing targeted investments and focusing on high-growth sectors, the fund is set to empower a new generation of entrepreneurs, driving innovation and economic progress. As India continues to attract global attention for its startup potential, initiatives like the Equentis Angel Fund will play a pivotal role in shaping the future of business and technology. With its first investment in Oorjaa, Equentis has set the stage for transformative growth, reinforcing the importance of early-stage funding in building sustainable, market-leading enterprises.