Few professionals leave at their pinnacle of their career to start their own ventures. Ashu Suyash is one such professional who has decided to take the less travelled path. With over 35 years’ experience in the financial sector, ashu Suyash has worked in various organisations during her career. recognised as amongst the top 50 women to watch by several organisations, Suyash, a ca, started her career in citibank. after working there for 15 years, she moved on to make a mark as the country head of Fidelity mutual Fund in India. She continued her work at L&T Investment management before she took over as the cEO of crisil. During the 6 years of her tenure there, she led the global expansion team and made a series of acquisitions which enabled it to become a global analytics company and the undisputable number one rating agency in India. Post 2021, Suyash decided that enough was enough and did not opt for another term at crisil. Suyash is on the advisory boards of various institutions including SEBI, National Institute of Securities & market, and the Insolvency and Bankruptcy Board. She is also on the board of Kotak mahindra Bank and hindustan Unilever.
Working over the last couple of years, Suyash teamed up with another professional in the private equity space, Vandana rajadhyaksha. an mBa with a BTech from IIT, Mumbai, Vandana was the Director (Investments), Aditya Birla Private Equity Funds for 7 years till 2020. Prior to that, from 2000, Vandana was with ICICC Ventures. In both organisations Vandana is credited for raising funds to the tune of $1.4 billion in the two organisations. She had also previously worked as an independent consultant, offering strategic advice and assisting in raising funds.
These two professionals founded Colossa Ventures LLP, which aims to empower women and facilitate the growth of women-led start-ups. “The women’s space provides a significant opportunity and is largely underpenetrated,” points out Suyash. Women’s contribution to Indian GDP is 18 per cent which is less than half of the contribution of women in USa, which is 37 per cent. Women-owned businesses account for just 20 per cent as against 40 per cent globally and 42 per cent in the USA. Women contribute just 0.67 per cent to the $3.7 trillion Indian economy.
Suyash explains the rationale for starting a women-only fund, stating: “There is a potential to grow this by 3x by 2030, as the 22,000-strong startups backed by venture capital receive negligible funding. Even in mixed-gender teams where a woman is a cofounder, the current funding stands at a mere 10 per cent.”
One of the reasons for starting the fund at this point is the favourable socio-cultural landscape, where women have relatively better opportunities for pursuing education. Notably, 43 per cent of women pursue STEm education (Science, Technology, Engineering, and mathematics), a figure among the highest globally. This has contributed to the growth of women-led unicorns over the years. Out of the 110 unicorns until 2023, the percentage of women co-founded unicorns has risen from 8 per cent in 2017 to 16 per cent in 2023. Furthermore, women-led start-ups span various sectors, including clean energy, healthcare, Agritech, consumer brands, fintech, and Edtech.
Started as an AIF, the fund got permission and approval in 2022. The first round of Rs.100 crore was closed on 7 march. Some marquee investors include SIDBI, 360 One (IIFL Group) manipal Group, Shriram Group, Anand Deshpande, Amit Chandra amongst others. The fund expects to raise R500 crore.
Deployment will be in women-led enterprises with an average transaction size of Rs.15 crore. Funds will be largely invested in equities or equity linked instruments. The investment style will be sector agnostic.
most start-ups, particularly women led start-ups, face challenges in raising Series a funding. Colossa plans to invest 60 per cent of funds in Series a and 10 per cent in seed funds with the balance 30 per cent in follow-on issues. Upto 75 per cent of the total funds will be deployed in companies promoted by woman entrepreneurs. The balance will be in companies which have a woman as co-founder and a significant stake and influence in the company’s management. Besides, companies where the workforce comprises at least 50 per cent women will also be eligible to receive funds, as will companies founded with the objective of solving the material issues of women or businesses focussing on unmet products for women. Like other venture funds, colossa will also be offering mentorship to build up the capacity of women-led enterprises.
Suyash has successfully grown the businesses she has served. This time, she and her team have to build a business that serves the people they choose to serve.
Dakesh ParIkh
daksesh.parikh@businessindiagroup.com