Venture capital firms (VCs) are those that invest, fund and mentor private startups in exchange for a stake in the startup. VC activity has exploded in India, with 41 Indian startups being declared unicorns (i.e valued over $1 billion) in 2021, relative to 9 unicorns emerging in 2019.
While the number of VC-backed Indian unicorns keeps exponentially growing, several start-ups have come under scrutiny this year for mass-layoffs and scandals. E.g: Meesho, Zilingo etc.