At their previous jobs at venture capital firms, Sequoia Capital and Accel Partners, respectively, Neha Singh and Abhishek Goyal often had to helpÂ identifyÂ prospective startups and make investment decisions.
ButÂ it wasnât always easy.
Startups usually donât disclose information about themselves, since they are privately held firms and are under no compulsion to share data publicly. So, Singh and GoyalÂ had to constantly struggle to collate information from multiple sources.
Eventually, fed up with the lack of a single source for data, the Indian Institute of Technology graduates quit their jobs in 2013 to start an analytics firm, Tracxn!. Their ambition: To become the Gartnerâthe go-to firm for information technology researchâof the startup ecosystem.
âItâs almost surprising,â Singh told Quartz in an email interview, âthat despite billions of dollars invested in each of the sectors (be in foodtechÂ or mobile commerce, or payments, etc), thousands of people employed in this ecosystem and many more aspiring to start something here, there is not a single source which tracks and provides insights into these private markets.â
Tracxn! started operations in MayÂ 2013, working from Lightspeed Venture Partnersâ office in Menlo Park, California, with angel funding from founders of e-commerce companies like Flipkart and Delhivery. In 2014, the startup began its emerging markets operation with focus onÂ India and China.
âAfter our first launch in April last year, we scaled the revenues quickly and turned profitable last September, (and) grewÂ to a team of 40,â Singh said. Most of its analysts are based in Bengaluru.
Tracxn! follows a SaaS (software as a service) business model, charging subscribers between $20,000 and $90,000 per year. With a database ofover 7,000 Indian and 21,000 US startups, Singh and Goyal now count over 50 venture capital funds among their clients, which also include mergers and acquisitions specialists, product managers, founders and aspiring entrepreneurs.
While firms like Mattermark, Datafox and CB Insights provide similar services,Â Tracxn! allowsÂ investorsÂ to get an overview of a sector within the ecosystem before drilling down to individual companies.
âFor many funds, we have become a primary source of their deal discovery,â said Singh. âWe want to become the default research platform for anyone looking for information and trends on these private markets and companies.â
In April this year, Tracxn! received $3.5 million in funding from private equity firm, SAIF Partners,Â which it plans to use toÂ ramp up its analyst strength to 150 by the end of the year.
âWe keep getting inquiries from investors across various countries (like from Europe, parts of Southeast Asia, etc),â explained Singh. âBut we cannot launch them because we donât have analyst teams for it.â
But with money on its way, Tracxn! now wants toÂ expand coverageÂ into Malaysia, Indonesia, Singapore, Philippines, Vietnam and Europe to build its global database.
Originally posted at: http://qz.com/401931/meet-the-startup-that-is-obsessed-with-tracking-every-other-startup-in-the-world/