Startups in India have a reason to rejoice and the reason for this happiness is PricewaterhouseCoopers (PwC). To break it down for our readers, PwC is planning to handpick ten Indian startups and mentor them by providing assistance in the matters of taxation and fundraising.
PwC is planning to mentor the startups as against investing in them because as per the Indian laws, auditors aren't allowed to invest or pick up stake in any Indian company.
Reportedly, a ten member expert team has already been set up within PwC. The team will supervise the selected ten on important matters like taxation, regulation, investment and risk advisory etc. Thus, they will act as advisors to these startups and won't charge any fee in return.
Considering PwC isn't planning to charge a single rupee in exchange of its mentorship to the startups, what does PwC get in the deal, is a question that is in the minds of many. Responding to this, a PwC executive, on the condition of anonymity, said "Well, the only hope is that at least two of the ten startups would become tomorrow's Flipkart or Snapdeal. And when they do, they would prefer PwC for their activities like IPOs or other services."
According to PwC, a startup faces a lot of small, small problems like fundraising, public relations, taxation, hiring, auditing and overseas expansion etc., which can turn into big problems if not tackled properly. These problems are however solved on a daily basis at a much larger scale in bigger companies in consultancies, and the consultants will be able to bring their this experience to the table while mentoring the startups.
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