Credens Fiduciary Solutions Pitch Deck Teardown: A Macro

Introduction and Context

The presentation titled "Are You Ready for Funding as an Early Stage Entrepreneur" was delivered by Ms. Shuba Girish, Director at Credens Fiduciary Solutions Pvt Ltd, on January 27, 2017. Unlike a traditional startup pitch deck seeking investment, this is an informational and advisory deck intended for an audience of students and aspiring entrepreneurs. It provides a retrospective look at the 2016 Indian venture capital landscape and offers strategic guidance for those preparing to enter the market in 2017.

Slide 1: Title Slide

The opening slide establishes the presenter's credentials and the date of the presentation. Credens Fiduciary Solutions is based in Bengaluru, a detail that contextualizes the heavy focus on the Indian startup ecosystem throughout the deck.

Slide 2: 2016 Highlights

This slide provides the macro-economic foundation for the presentation. It notes that total funding in India for 2016 ranged between US$ 3.5 to US$ 4 Billion . A key data point is the volume of deals: approximately 924 enterprises were funded across all stages. The slide highlights a geographic concentration, with 28.5% of deals occurring in Bengaluru . Crucially, it points out a decline in early-stage (Seed/Angel) funding value, which fell from US$ 578 Million in 2015 to US$ 223 Million in 2016 , despite the deal count only dropping by four (575 to 571).

Slide 3: Top Beneficiaries

To illustrate the success stories of the era, the deck lists major transactions. The most prominent is Ibibo , which was acquired by Make My Trip for $720 M in 2016 (after receiving $200M). Other listed companies include Snapdeal ($200M at a $6.5 Billion valuation), Hike Messenger ($175M), BigBasket ($150M), Car Trade ($145M), Shop Clues ($100M), Book my Show ($81M), Byju’s ($75M), and Rivigo ($75M).

Slide 4: Eye Openers for 2016

This slide lists the shifting priorities of investors. The seven economic drivers identified are: Growth, Scaleup, Capital Efficiency, ROI, Unit Economics, Potential for market growth, and Other attributes . The inclusion of "Unit Economics" and "Capital Efficiency" signals a market correction where investors began demanding profitability paths over pure user acquisition.

Slide 5: Status in the PE, VC areas

This slide focuses on exits and Private Equity (PE) trends. It states that Information Technology continued to dominate investment attraction. PE investors unlocked $6.8 billion in value through 239 exit deals. Total M&A activity reached an all-time high of $61.4 billion . Notably, Angel and Seed investors contributed to 57% of PE investment activity in 2016, and 26 "big ticket" deals accounted for $6.6 Billion .

Slide 6: Private Equity Funds Performance

The deck lists specific asset managers and their deal counts/values. International Finance Corp. led with 6 deals totaling $161M. IDFC Alternatives Ltd. followed with 5 deals at $239M. TPG Capital Inc. had 4 deals at $218M, while PremjiInvest had 4 deals at $26M and Fairfax India Holdings Corporation had 4 deals at $56M.

Slide 7: Outlook for 2017

The presenter predicts that M&A transactions will increase and that exits will become IP driven rather than based purely on market share. Sectors expected to benefit include Artificial Intelligence, Machine Learning, IoT, Edtech, Fintech, and Logistics . The slide notes that while early-stage funding might increase, later-stage funding will be highly scrutinized ("done on an evaluated basis").

Slide 8: Entrepreneur’s DNA

This slide shifts from market data to soft skills. It lists 18 attributes required for an entrepreneur, including Discipline, Strong Ethics, Risk lover, and Intuitive . It emphasizes that entrepreneurs must be "Self Starters" and "Forward looking."

Slide 9: Investor’s Criteria

This is a critical slide for founders. It lists the tangible requirements investors seek: Promoters and a great team, Pedigree and background, 2 to 3 co-founders, Track record, Scalability, Large market size, Growth potential, Monetization and business model, and Salability . The specific mention of "2 to 3 co-founders" suggests a bias against solo founders.

Slide 10: Funding Options

The deck lists various funding sources. For early stages, it mentions Blume Ventures, Unitus Seed fund, India Quotient, and Kae Capital . For later stages, it lists Venture Capital, PE Funds, Bank loans, Convertible Debt (Debentures), and Government Institutions like SIDBI and NABARD . It also mentions the Indian Angel Network and crowdfunding for social enterprises.

Slide 11: How do you prepare yourself (Part 1)

Practical advice is offered here: Evaluate ideas on a prudent basis, gather facts correctly, and prepare an honest pitch . It warns against exaggeration, stating "no investor is going to fall for your hype." It also sets a time expectation: 15 to 20 minutes for a presentation.

Slide 12: How do you prepare yourself (Part 2)

The advice continues with a stern warning: "Stories do not sell." Instead, founders are told to build a prototype and show some performance . It encourages founders to have backup plans and not to "follow the herd."

Slide 13: Other Info

This slide covers the regulatory and support environment in India. It mentions tax incentives for 3 years , the startupindia.in portal, and Nasscom’s 10k startup plan . It also references a 10,000 crore government fund for startups and support for SME/MSME regarding interest rates and winding-up procedures.

Slide 14: Conclusion

The final slide is a standard thank you addressed to "Dear Students," confirming the educational nature of the presentation. It includes a copyright notice prohibiting reproduction without permission.

What Works for Founders

Market Benchmarking: The deck provides clear dollar amounts for what constituted a "big" deal or a typical seed round in the Indian market at that time, helping founders set realistic expectations. · Investor Psychology: By listing "Unit Economics" and "Capital Efficiency" as "Eye Openers," the deck correctly identifies the shift from growth-at-all-costs to sustainable business models. · Team Composition: The explicit advice to have 2-3 co-founders is a practical takeaway for solo founders who may be struggling to gain traction with VCs. · Sector Guidance: Identifying AI, ML, and Fintech as growth areas for 2017 provided a roadmap for where the capital was likely to flow.

What is Missing

Unit Economic Templates: While the deck mentions unit economics as a priority, it does not provide examples of what a "good" LTV/CAC ratio looked like for the Indian market in 2017. · Pitch Deck Structure: The deck tells founders to prepare a pitch but does not provide a slide-by-slide breakdown of what that pitch should contain (e.g., Problem, Solution, Market Size). · Valuation Methodology: Slide 12 warns founders not to "over value" their ideas, but it offers no framework for how an early-stage entrepreneur should actually calculate a fair valuation. · Diversity of Funding: The deck is heavily skewed toward tech and IT; it offers little guidance for non-tech startups or hardware-based enterprises.

What a Founder Should Copy

Data-Driven Narratives: The way Slide 2 and Slide 5 use macro data to set the stage is a technique founders should use in their own "Market Opportunity" slides. · Checklist Approach: The "Investor’s criteria" on Slide 9 serves as an excellent internal audit checklist for a founding team before they begin outreach. · Clarity on Exits: Slide 3 shows the importance of knowing the "comparables" in your industry. Founders should always have a list of recent acquisitions and valuations in their sector to justify their own potential. · Honesty and Realism: The advice on Slide 11 to "be realistic in your projections" is a foundational principle for building trust with sophisticated investors.