The covid-19 pandemic has impacted the flow of capital into startups that heavily depend on investments for growth. As per the findings of FICCI Survey conducted over 250 startups, only 8% startups that had made their investment pitch prior to the lockdown have received funds and 33% of the startups said that their investors have put decisions on hold, 17% have signed agreements with investors but are yet to receive the funds, 10% said their investors cancelled the deals.
Ajay Chowdhry, Chairman, FICCI startup committee founder said that startups have a huge potential to innovate. However due to the current situation, startups are reeling under pressure owing to lack of working capital and action should be taken to save a huge number of innovations created in the last few years.
