$1 Million to $100 Billion: ABCs of Startup Valuations

Every entrepreneur hopes to build a startup that transforms the world and also achieve the valuation of 1 Billion$. Startups have grown to be an essential element of the business world.

Let’s define a Startup?

A startup is a business that is just getting started. In most cases, one or more entrepreneurs create startups with the intention of creating a special product or service to satisfy a need in the market. Angel or venture capitalists who see the potential for a startup to become profitable often provide funding for it.

Startup Valuations

Minicorn Startups

Minicorn startups are startups that have a valuation more than $1 Million and are relatively new to the startup industry. They are not yet at the level of unicorns but they have already shown how valuable they are and achieved popularity in their particular sectors.

Anand Sanwal, the founder and CEO of the market research company CB Insights, coined the word “minicorn” for the first time.

Soonicorn Startups

Soonicorn startups are startups that have a valuation between $1 million to $1 Billion and are expected to reach the $1 Billion. Given that they are currently enjoying a sizeable market share and are predicted to grow rapidly, they are frequently seen as the newest and greatest thing in the startup industry.

eg Third Wave Coffee Roasters, Escrowpay, Battery Smart, Atomberg, Uni Cards, Jar and many more Indian startups which are Soonicorn in the race of Unicorn

Unicorn Startups

Private businesses are considered as unicorns whose valuations are of at least $1 billion but not more than $10 billion. After Aileen Lee first coined this term in 2013, the quantity of unicorns has increased dramatically, and they are now recognised as a symbol of creativity and success in the startup industry.

Because of their great growth potential and possibility to generate sizable profits, unicorns are viewed as appealing investments by venture capitalists and other investors. Bhartiya Startup ecosystem has 114 unicorn startups

eg:- Incred, Zepto, Cred, Groww, Mamaearth, One Card

Decacorn Startups

A decacorn startup is a startup that has a valuation of over $10 billion. The first decacorn in the world was Facebook (now Meta), which achieved this status in 2017

In recent years, India’s startup ecosystem has witnessed the emergence of several decacorn companies, reflecting the country’s growing prowess in the tech and entrepreneurial space. Bhartiya Startup ecosystem has 5 decacorn startups

eg:- Swiggy, Flipkart, Phonepe, Nykaa

Hectacorn Startups

A hectacorn startup is a startup that has a valuation of $100 billion or more. This startup term is relatively new. There are very few of these companies in the world, which makes them even rarer than decacorns. “Super Unicorn” is another name for these startups. Currently, the only three privately held startups valued at $100 billion or more are Shein, Bytedance, and SpaceX.

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