20 Best Startup Ideas VCs want to Invest in

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The US is the topmost start-up location of the world. The country has more than 30,000 successful start-ups. Some of them are top global brands. In comparison, India has just 4,000 successful startups.

Indonesia has nearly 2,000 new companies. Annually, over a million start-ups launch worldwide. Among these, some 90 percent close down in two to three years.

Not surprisingly, the main reason is money shortage or no business. Another reason is venture capitalists do not want to put more money.

Normally, VCs look for fresher, new business ideas. Hence, they prefer to put their cash in guaranteed business. They avoid business that has heavy competition and inexperienced leaders.

startup ideas

New innovative startup ideas

Almost half a million start-ups opening every year in the US alone. Hence, VCs are flooded with requests for money. True, there are hundreds of start-up incubators and other forums.

Here, startups ideas will undergo tests before they qualify to get money. Yet, VCs look at profitable ventures only.

Five major points you should bear in mind before embarking on a start-up venture:

  1. VCs fund projects where Return of Investment (ROI) is guaranteed.
  2. Funding is usually offered as initial seed money only.
  3. It is not binding upon a VC to keep pouring money into a start-up that appears to be heading for losses.
  4. The project provides benefits to one or more communities, is cheap to launch and easy to sustain.
  5. It meets every known industrial, human and environmental safety standard and is legitimate.

Ideas that can tempt VCs to invest

Keeping the above points in view, you will need to come up with new, innovative and extremely useful concepts. Getting on the beaten track is easy provided you are willing to risk intense competition and possibly, less funding.

A great start-up idea that nobody dreamt of, on the other hand, will immediately draw attention of VCs and attract funding opportunities.

20 Best Startup Ideas in India for 2017

Here are 20 best and new startup business ideas in India every VC want to invest in.

1. Freshwater systems for deserts and dry areas

The idea originated from Chile in South America but has been scarcely copied worldwide. Fresh drinking water is becoming scarce worldwide, even as you read this article.

Global warming, El Nino phenomenon and other factors are increasing desertification across the world. People tend to waste more water than they use. A project in Chile shows how large volumes of water can be collected from air.

The simple contraption condenses humidity in the air to make fresh, healthy and rather tasty drinking water. You can launch a start-up using such technology for areas facing water scarcity for any reason.

The simple, portable machine can be used in disaster zones too, where potable water is scarce.

2. Preventing food wastage with rare wines

A project that aims at preventing food wastage, provides employment and generates healthy revenues is something all VCs dream of. Making exotic wines from fruits and vegetables that would otherwise end up in trash cans or incinerators, is an excellent idea for start-up.

Over 150 billion tons of perfectly edible fruits and vegetables are wasted in India every year. Absence of logistical cold chains- meaning a network of cold storages and refrigerated trucks- is blamed for this colossal waste.

Converting these fruits and vegetables into exotic wines will attract VCs. Waste from these wineries also opens the opportunities for creating fiber and fertilizer factories, which are again in great demand.

3. Food processing and canning

While on the subject of food, let us explore the possibilities of start-up ventures in food processing industries. Several opportunities that immediately attract VCs are available in the developed and developing world.

Globally, a shameful US$ 990 billion worth food, especially grains and fresh produce are wasted every year. This is also due to lack of sufficient storage and processing facilities.

Dehydrating fruits and vegetables, canning fish, meat and poultry products and manufacture of condensed and evaporated milk are some industries where lots of investors will readily invest.

Licensing for such units is also easily available as the world gears up to combat hunger and malnutrition.

4. Robotics for physically challenged

This is also an exclusive startup idea from Chile, launched by a former engineer in that nation’s armed forces. Physically challenged people of all ages require wheelchairs and artificial limbs called prosthetics.

This engineer is designing a wheel-chair whose movements are controlled by brain impulses and gestures. The wheel chair gently moves in the direction towards which the rider is looking.

A slight nod of the head is sufficient to move this wheel chair in the desired direction. The team developing this wheel chair is also looking to tap brain impulses to propel its future versions of wheel chairs.

Robotic arms are in great demand and very useful to those who have lost their upper limb. A start-up offering these aids to physically challenged persons will attract VCs, serve the community and net you reasonable profits.

5. Refurbishing computers for education and business

Ideally, everyone should have access to a computer connected to the Internet. Sadly, this is not the case worldwide. A group of innovative Indian hardware engineers came up with this novel idea of buying or collecting discarded computers and peripherals.

The team repairs these PCs, laptops, printers, scanners and similar stuff. Once they have been restored to excellent working condition, these computers and peripherals are offered at very cheap rates to educational institutions and businesses with low budgets.

Discarding computers is phenomenon worldwide. Collecting, refurbishing and selling used computers to those who cannot pay for new ones not only help education and community development, it also protects the environment.

6. Searching for alien life in outer space

This start-up idea sounds crazy or straight from plot of Hollywood movie ‘Contact’. Believe it or not, but lots of small, private investors are willing to put their money into what was once ‘Search for Extra Terrestrial Intelligence (SETI).

More so after space exploration majors cut off or curbed spending. Whether life on other planets will be found or not remains highly debatable but the interest in Unidentified Flying Objects, conspiracy theories and alien life remains high.

Investors hope to make money by selling rights of signals or any pictures of UFOs and aliens they may come across or sell their findings to governments.

7. Pet rescue and ownership services

Owners abandon thousands of perfectly healthy pets across the world every year. Some dogs and cats are lost for genuine reasons such as straying away from home. Locating and restoring them to rightful owners is a great service if you can offer.

The work involves gathering information about the pet and its last known sighting, contacting pet care homes and dog pounds. Once you find the pet in question, you can have it restored to the owner.

Also, you can find new homes for abandoned pets languishing in shelters and pounds. The service will get good response in countries where culling animals is illegal by law.

8. Menial services for all people

Everyone needs help of some type or the other. It can be a plumber or a mason, carpenter or gardener. Starting an online service that provides such workers with proven skills at short notice will definitely attract investors.

All you require is a good website, a database with contact details of motley craftsmen and tradesmen. This service will work very well in countries like India where tradesmen work on daily and unguaranteed wage basis.

9. Old idols, pictures collection and recycling

People across the world collect idols, statues, pictures, wall hangings and paintings. These fade and wear out over a period of time. Or simply, the owner wants to change the décor and cannot find suitable places to dump the old stuff.

Collecting such unwanted stuff from owners and refurbishing them with paints and other material or recycling them altogether is one business you can consider.

The raw material you will process from recycling is sellable to micro and small industries for making their products. Or, you can make it into grains and flakes used for packaging and storing.

10. Euthanasia, assisted suicide and last rites

Before condemning this startup idea as weird or disgusting, think again. Euthanasia- the process of taking one’s own life and assistance in suicide is legal in 10 countries.

Canada, Colombia, Albania, Japan, Germany, Belgium, Luxembourg, Switzerland, the Netherlands  and USA allow this. Of course, there are strict laws for a person to end life or providing assistance to someone to do so.

Most euthanasia seekers are terminally ill and in severe pain, with no hope of recovery. In some cases, they have no friends and relatives.

You can assist such people complete their legal formalities, comfort them in their last days, supervise the legally permitted termination of life and perform last rites.

But remember, you need to comply with every single law strictly before venturing into this service.

11. Old school and college books for rent and sale

Millions of children around the world cannot pursue higher studies because of poverty. While basic education is free, higher education is invariably expensive.

You can collect old text books from students who no longer need them. Such text books of schools and junior colleges are useful.

You can restore and sell at very cheap rates to schools and community organizations that foster education.  You can also rent these books for a very minimal fee to deserving students.

12. Disposing expired from pharmacies and stores

Nowadays, medical firms to pick up their products nearing expiry dates from pharmacies and stores. Later, they destroy these medicines by fire and other ways. The process often costs millions of dollars since a single brand of medicine is available across any country.

You can approach medical firms as your clients, collect expired drugs and dispose them off using processes set by the local food and drug authorities. Medical firms will gladly pay for the service since it saves them vital resources.

13. Preserving and archives of old, rare music

New trends and non-availability of tape recorders, playback equipment of yesteryears is causing loss of rare gems of old music. This holds true especially for tribal music and that from colonial eras when new styles of song and playing developed.

Preserving and archiving them for posterity is sure startup idea to attract VCs. Sell this music to recording companies for digitization or directly to aficionados.

14. Renting expensive equipment

This is a tried startup idea but has yet to spread around the world. People are often in need of expensive equipment but cannot afford to buy them.

This includes everything from precision cameras to drones. Renting such equipment is gaining popularity but in a few parts of the world only. Entrants and competition is scarce.

15. Rarest handicrafts from specific countries

Handicrafts are products of  indigenous people of any country or region. They help economic progress and alleviate poverty.

You can procure these from one or more countries or region. It is possible to selling them online or at a store. You not only help people to lead a decent life but also popularize their traditions and crafts.

16. Tribal area holidays

People nowadays shun typical holidays in exotic lands. Further, they look for something more original. In addition, they look for local flavor or something more exotic.

Arrange with tribal groups in remote areas to host discerning tourists for a couple of nights. Again, you will help their progress while giving an unforgettable holiday experience.

17. Sleep and comfort testing services

Everyone wants a good rest and sleep at night. Consequently, companies around the world make thousands of mattresses, pillows, bedcovers, cushion, counterpane and other products.

Each one promises dream sleep to people who need good rest. Testing of such products is impossible. The best way is pay volunteers to test a mattress or pillow. They sleep overnight and submit comfort reports for companies that make them.

18. Order a chef

You can turn a typical party into a gourmet’s delight by offering the ‘order a chef’ service. It simply means you enlist a few renowned chefs and highlight their best dishes. Companies, high-net worth individuals and other entities often host a party. They can request the services of this chef from your company.

19. Unique salts of the world

Mines of Mauritania, hills of India, seas of Europe and forests of the Far East, produce different types of salts. These edible salts come in different forms. Each one has distinct taste and sometimes, peculiar flavor. They also have different nutritional values and health benefits.

Buying and selling these unique salts of the world to health conscious people and gourmets is very lucrative.  The uniqueness of this concept will help attract VCs.

20. Creating alternatives for meat

The world is indeed turning vegetarian. Increasing number of people stop consuming meat, fish, poultry products daily. They fear that such products can cause immense health problems. Yet, the success is little because other types of food are not easily available.

Developing 100 percent vegetarian products that smell, taste and provide nourishment like meat is something you can consider. The market is really huge and growing exponentially.

I am sure you will find these ideas very unique and all of them have excellent scope in future. Any venture capitalist will look to invest in such startup ideas in India

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