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    2020 was difficult for all: OYO founder, Avana CEO learnt perseverance, resilience and trusting people

    Synopsis

    Start-up founders in their 20s reveal how they raised money during the pandemic.

    Ritesh Agarwal and Maithili Appalwar also shared the lessons they plan to use in 2021.Agencies
    Ritesh Agarwal and Maithili Appalwar also shared the lessons they plan to use in 2021.
    The pandemic was hard on all of us, especially young entrepreneurs who had just started building their businesses. ETPanache speaks to six start-up bosses about how they raised capital in 2020, and what valuable lessons they learnt along the way:

    AKSHAY SINGHAL, 27
    founder, Log 9 Materials

    Akshay Singhal_Founder of Log 9 Materials 4cAgencies
    Every crisis as an opportunity in disguise., says Akshay Singhal.

    “We didn’t raise money during the pandemic. However, we did receive grants from Marico and ACT for a product.

    “We learnt to believe and invest in our team. It’s important to look at every crisis as an opportunity in disguise. Start-ups need a solid short-term strategy, and to be able to plan and focus on a larger, long-term, sustainable vision.”

    KRISHNA GUPTA, 28
    founder, Lloyds Luxuries

    Krishna Gupta, Founder & MD Lloyds Luxuries 4cAgencies
    Krishna Gupta said it was important to focus on what is important to the company.

    “At Truefitt & Hill, we did not raise money during the pandemic. We diverted funds and had to shut loss-making stores, and focused on strong negotiations to keep costs down and improve efficiencies in order to survive.

    “The pandemic was extremely challenging for all businesses. We learnt to focus on what is important to us. To always have contingencies and ensure cost efficiencies are in place in order to survive unforeseeable events in the future. We will also have a more cost-effective growth schedule to ensure profitable and sustainable growth going forward.”

    MAITHILI APPALWAR, 24
    CEO, Avana

    Maithili Appalwar, CEO, Avana, Emmbi Industries LtdAgencies
    Maithili Appalwar feels maintaining transparency goes a long way.

    “We did not raise money during the pandemic. We learnt that risk mitigation is imperative to ensure continuity, growth and profit. It’s essential to have a diverse product range. The pandemic has completely redefined operations and communications flow within an organisation. We’ve been able to connect our entire team through various digital channels, which keeps them motivated and maintains productivity. And most important was cost management. We practised complete transparency with our customers on additional manufacturing costs due to social distancing measures. This helped us sustain trust and let us increase prices without losing business.”

    TRISHNEET ARORA, 27
    founder, TAC Security

    Trishneet Arora, Founder & Chief Executive Officer, TAC Security 3cAgencies
    Trishneet Arora feels 2020 was a year of immense learning.

    “The lockdown caused a cash crunch across businesses, and we learnt how to economise resource allocation, bring efficiency into our operations and diligently plan our investments and expenses. We were not under any pressure to raise new funds, and were actually able to go ahead with our expansion plans using internal accruals.

    “2020 was a year of immense learning. We evolved operationally, and were among the earliest to adapt to the changing conditions. Owing to our expertise in working with global companies, we were also able to transition to offsite remote — regarding clients’ enterprise network assessment and management.”

    MIHIR GUPTA, 28
    co-founder, Teachmint

    Mihir Gupta, Co-Founder & CEO, Teachmint-- 2cAgencies
    Mihir Gupta raised capital for his start-up over a Zoom call.

    “At an early stage, investors bring in a lot more to the table than just capital. Our execution got a lot of boost and direction when Lightspeed India came in and led the seed round two months later.

    “We are a start-up that launched and grew to mass-scale during the pandemic. As a category creating team, we learnt that the best way to raise capital is to find believers in your mission. We were fortunate to interact with investors who instantly related to what we were trying to create. It all happened over a Zoom call with the founders and investors joining from the four corners of the country.”

    RITESH AGARWAL, 27
    founder, OYO Hotels & Homes


    ​Ritesh Agarwal believes that every crisis accelerates the learning curve​.Agencies
    Ritesh Agarwal believes that every crisis accelerates the learning curve.

    “We recently welcomed new shareholders and investors. We will utilise the additional capital for supporting tech and a product-focused approach.

    “The year was transformational for us. The hospitality industry was hugely affected by the pandemic, but it gave us a lens into the future. It helped us reassess and retool with the power of technology, data and innovation, while also creating measures to adapt to the new normal. I strongly believe that every crisis accelerates your learning curve. These last few months have taught us the importance of perseverance, hard work and resilience.”

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