Operator-founders are reshaping India’s startup landscape – and we have the data to prove it.
In new data from Tracxn, commissioned by RTP Global, we reveal a clear trend: operator-founders in India are getting seed funding faster, raising more capital and outperforming startups founded across the Rest of India’s tech scene.
Read and download the full report here: The State of Operator-Led StartUps India 2025
The rising trend of operator-turned-founders
Between 2022 and 2024, nearly 250 operators in India – i.e. seasoned professionals who have played a significant role in building and scaling a startup – made the leap to founder. It’s one of the most active periods for operator-turned-founders in the country’s history.
A blend of factors are fueling this momentum: years of experience at breakout startups give these operators the playbooks and networks to go independent. Liquidity events – such as $170M+ in ESOP buybacks in 2024 – provide the financial runway. Many are also leaving mature, structured organizations in search of fresh challenges, while a wave of returning tech talent from the US sees this as the perfect moment to build for India.
Mass layoffs in 2022 and 2023 also had an influence. Generous severance packages provided the financial cushion, while the experience they gained as operators gave them the confidence to build.
And this shift to entrepreneurship is not escaping the interest of investors.
This new data shows that, in 2024 alone, operator-led startups raised $101 million. This is up 243% from 2023. What’s more, they made up over 11.5% of all venture funding in India during 2024, more than double the year prior (6%).
The Speed to Seed
Operator-led startups are not just forming – they’re reaching seed funding milestones faster, raising larger rounds and commanding stronger valuations than the rest of India.
Of all operator-led startups founded in 2022, 11.2% raised a seed round, compared to just 4.4% of the rest of India’s tech startup ecosystem. That gap widened for startups founded in 2023 – 12.6% versus 2.7% – and held steady even during 2024’s tougher fundraising climate – 8.1% for former operators versus 1.5% for the rest of India tech*.
And it’s not just that they were more likely to raise a seed round – they raised more capital too. The average seed round for an operator-founded startup between 2022 and 2024 was $1.56 million, compared to $1.34 million for the broader market.
What’s more, the number of $1M+ rounds for operator-led startups jumped to 20, up from just 6 in 2023.
From Seed to Series A: Progressing Faster and Further
Whether you look at companies just starting out or those already two years into their journey, the pattern is clear: founders with deep operator experience are more likely to raise capital, and more likely to advance through funding stages.
The Tracxn data reveals that an operator-led startup founded in 2022 was 23x more likely to reach Series A than a typical startup in the broader Indian tech ecosystem (7.1% versus 0.3%).
Among companies founded in 2024 – barely a year old – 5.4% raised a Series A, compared to just 0.1% across the rest of the market.
This level of consistency across cohorts signals more than just a head start. It reflects deeper execution, investor readiness, and strong early traction.
Securing Higher Valuations
Another signal for former operators’ powerhouse status was their ability to secure higher valuations.
While the average Series A round size for operator-founders was slightly smaller than the rest of India tech – $8.2M versus $9.6M for non-operator founders – they pulled in significantly higher valuations. Average valuations for operator-founders at Series A were $38.5M versus $21.8M.
What does that mean? Less dilution, more control and greater leverage going forward at Series A.
The Top Sectors for Operators to Build In
So, where are these operator-founders focusing their energy? Three sectors dominated funding in 2022-2024:
- Fintech & Insurtech: $89 million
- Energy & Sustainability: $40.3 million
- Supply Chain & Logistics Tech: $30 million
In terms of volume, five sectors stand out where operator-founders are building most: Fintech, E-Commerce, EdTech, Enterprise SaaS and Healthcare. It’s no coincidence that these are industries where nuance, compliance and operational scale are non-negotiable.
And this is where operator-founders shine.
They’ve experienced these problems firsthand – whether it’s navigating regulatory red tape in fintech, optimizing razor-thin margins in e-commerce, selling into complex enterprise procurement cycles or building trust in healthcare and education. They’ve built the systems, led the teams, worked through the edge cases.
This experience gives them an edge, not just in building products that stick but in earning investor confidence early.
Future Founders in the Making
The wave of operators turning entrepreneurs in India is picking up serious momentum. With over 136,000 registered startups and 99 unicorns as of late 2024, every successful company is creating a new pool of experienced managers. The future founders in the making.
Just as alumni from Flipkart, Freshworks, Paytm, Zomato and Inmobi helped spark India’s earlier startup boom, today’s senior talent could be launching the next wave of ventures over the next 5–10 years. As the ecosystem matures, we’re likely to see more founder “mafias” emerge, driving innovation across industries.
And it’s not just ex-startup leaders making the leap. Seasoned executives from traditional industries are also stepping in. With India on track to become the world’s third-largest economy by 2027, we could see ex-bankers launching fintechs, IT services veterans building SaaS startups, and manufacturing leaders driving industrial tech innovation.
Global investors are taking notice. Capital is flowing into India, but it’s flowing more selectively. After a few high-profile stumbles by first-time founders, VCs are tightening their filters, placing greater weight on operational experience.
Why We Care (and Why You Might Too)
At RTP Global, we’ve always backed exceptional entrepreneurs. But we’re especially drawn to operator-founders for a simple reason: they bring a grounded, pragmatic mindset shaped by firsthand experience. They know how to build teams, ship products, sell into the enterprise and navigate the chaos with discipline.
As RTP Partner, and former Flipkart VP, Nishit Garg put it: “We’re constantly looking to deepen our understanding of the diverse paths founders take – not to box ourselves in, but to broaden our lens.”
For founders, this research is a confidence boost. For investors, a signal. The operator-founder wave isn’t just a trend. It’s a shift in who gets funded, why, and what early momentum looks like in India’s startup ecosystem.
And it’s only just beginning.
Read and download the full report:
Methodology
This data was compiled by Tracxn, a market intelligence platform, on 20 March 2025 at the request of RTP Global. It covers operator-led startups founded in India from 2022 to 2024.
These startups were defined as being led by CXOs with substantial prior experience in operating, scaling, or managing businesses or functions. Tracxn has provided data for ‘Operators-Turned Entrepreneurs Startups’ as well as for the ‘Rest of India Tech
This analysis, while focused on a specific cohort, is intended to offer insight into why operator-founders are resonating with investors in today’s climate. With capital being deployed more selectively, experienced operators-turned-founders demonstrate the ability to attract early funding with speed and confidence.
* Data as of 20 March 2025
