Nasscom wants to expand start-up warehouses

The buzz around start-ups is getting louder. And, Nasscom’s two year-old 10,000 Start-ups programme is one such initiative.

With the programme entering its third year, National Association of Software & Service Companies (Nasscom) is now looking to expand the reach of its start-up warehouses to other States, according to Rajat Tandon, Vice-President, 10,000 Start-ups, Nasscom.

Start-up warehouse refers to a facility that can be leased by start-ups, for say six months at a nominal cost. It has plug-and-play facilities with high-speed internet connection.

It has two such warehouse — one each in Bengaluru and Kolkata. And some more are now on the cards.

“We will be adding new warehouses very soon. Talks are already on,” he told BusinessLine .

Two more warehouses – one each in Mumbai and Pune – are expected soon with the memorandum of understanding already been inked with the Maharashtra government.

This apart, the IT-lobby group is also exploring options in Hyderabad (Telangana) and Chennai (Tamil Nadu).

Nasscom will also expand its start-up warehouse in Bengaluru to 50,000 sq feet (from the existing 10,000 sq feet).

Nasscom expects to house 175–200-odd start-ups by this fiscal-end, up from 60–70 in FY 16.

“Hopefully, we will take up the headcount in warehouses to 600 (approximately three to four persons in a start-up), especially with the new ones coming up,” he added.

As of now applications (for the 10,000 Start-ups programme) are mostly dominated by Bengaluru and southern India accounting for around 50 per cent. Delhi and western parts of the country account for 20-22 per cent each with East India accounting for the remaining eight-odd per cent.

“Focus will also be on strengthening start-ups in States that have low entrepreneurship,” Tandon added.

Besides providing the space, Nasscom (under the programme) also facilitates funding and incubation by connecting the start-ups with “accelerators”, or companies that will fund or partner the start-ups or even acquire them. According to Tandon, the 10,000 Start-ups programme has been some 11,000-odd applicants in these two years. Of these, 1,800-odd have been selected.

Of the selected lot nearly 50 per cent of them have been “impacted”, 46 have been funded or received funds directly through the project and 50-odd accelerated or accelerators selected them for grooming.

Another 200-odd mentored and a similar number connected with industry. Some more are under a ‘nurture programme’ of Nasscom.