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The 91springboard Story – 3 Friends, Beer, And A Failed Fund

The 91springboard Story – 3 Friends, Beer, And A Failed Fund

“I idea I invented the time period ‘coworking,’ says Pranay Gupta, one of the six co-founders of 91springboard.Com with a wry smile as we settle within the cafeteria of the Okhla Industrial Estate hub. The space is buzzing with folks that are grabbing lunch or gambling foosball, yells and shrieks punctuating the air.

“Of direction, it became best as we were given into the concept of building a community of startups in India that we realised how popular the time period became abroad: in the US and Europe. You’d think, from then on, it turned into smooth to persuade humans to come onboard,” he provides.

Turns out, there's a little greater to the story than that.

The project changed into formally launched in January 2013 out of a small area in Mohan Estate, New Delhi. Almost four years have long gone with the aid of and 91springboard these days operates out of 5 most important cities – Delhi NCR, Gurugram, Bengaluru, Hyderabad, and Mumbai. It also has ten coworking hubs with the cutting-edge, their biggest to date, recently opened in Mumbai – a 50,000 sq.Feet. Space able to housing 1,000 plus individuals in a thriving network of freelance experts, concept-preneurs, and marketers.

By the fag give up of Q3 2016, there had been about 650 startups working out of all their areas, housing over 3000+ contributors. The numbers speak for themselves and the scale of growth has been awesome, however it’s the journey of this organisation that has been intrepid and complete of thrilling bumps, and this makes the story really worth telling.

Varun Chawla: Man With The Startup Bug

“It all started with Varun,” shares Pranay. “He become the only who brought us collectively… He has this manner of roping you into work before you recognize you’re hooked, and then you definitely don’t want to depart.”

This begs the query –

What precisely did Varun say that convinced a former IIT graduate, joint CEO at CIIE Ahmedabad and spearheading iAccelerator – one of the oldest accelerators in India – to come back be part of a startup?

The query receives answered while Varun Chawla bounds in a little later to a convention room titled ‘Hangman’ and we get a sense of his vast energy. ‘Hangman’ on this example, of direction, refers to the sport this is performed to fill in the blanks and provide you with the answer, earlier than all the letters of the word are eliminated – a finite time-sure brainstorming space.

“I come from an entrepreneurial circle of relatives,” he starts. “And after going to university and running at my first and handiest job at Goldman Sachs, I wanted to do something of my own. I shared my plans with my father who looked at me very critically and stated, ‘You have your savings and you have no responsibilities right now and I am permitting you to stay at home rent-free, now’s the time to go do enterprise.’ So I did.”

The first of many ventures, Springboard Investments, which in Varun’s own words was a “one-man military, coping with investments” changed into launched in 2007. After the only-man navy couldn’t launch a complete frontal assault, Varun moved onto his subsequent task, Ordemus Capital, in 2008. An algorithmic hedge fund with a product “too advanced” for its time, especially considering the financial meltdown going on global for the duration of that time, this undertaking too didn’t flavor lots success.

“It did teach me a issue or  about constructing a group,” says Varun when asked about the shortage of achievement of Ordemus. He then went directly to launch Tyra Media Tech with Sunil Mathur in 2009, which became basically seeking to be a CDN (content facts community) earlier than the idea became crackable.

“My co-founders had been interesting people,” he shares. “In fact, for one of the investor meetings for Tyra Media in South Africa, the partners were so inebriated that the flight crew and I needed to nearly beg them to disembark.”

Varun considers all the failures to be “stories”. Of course, deciding on the proper humans to go into business with, turned into an crucial takeaway for Varun from Tyra this time around. 

Leaving the Tyra debacle behind, Varun laboured on and came up with Your Personal Concierge in 2010, the idea for which he were given when he became in New York and realised the extremely good quantity of office work and legalese involved for an NRI residing overseas. His startup enabled customers by way of connecting them with specialists who might help report taxes, figure out assets subjects and other economic concerns in India.

Interestingly, now the Chairman of the Board of 91springboard, Deepak Sharma used Your Personal Concierge for his transactions in India from Singapore again then. “Deepak Sharma become a trusted own family pal,” says Varun. “And a person whose advice I counted on immensely at some point of my entrepreneurial journey.”

From there, it was a quick hop onto constructing MyGuestHouse.Com (aggregator of boutique lodges) in 2011, the mission co-founded with Jeetendra Arora became ultimately received by means of MakeMyTrip and pivoted to grow to be a returned-give up information machine that furnished real-time inventory to MakeMyTrip.

“By the time MyGuestHouse wound down I realised it turned into time to do something more, something specific. Time to make investments in the sturdy atmosphere of India,” Varun shares. And this changed into the genesis of 91springboard.

How The 91springboard Troika Was Formed

“Apurv Agrawal become the very first worker having joined 91springboard lower back in July 2012,” stocks Varun. “When MyGuestHouse got obtained, I began operating out of my dad’s workplace – starting off 91springboard, I asked Vinay Mohan, who worked at MyGuestHouse to position me in contact with a few willing people who would love to be part of a new mission. I met Apurv for the primary time at Hauz Khas for some drinks and we linked, and there has been an instantaneous stage of agree with and self belief because of the celebration introducing us.”

Apurv talked a couple extra times and with developing consolation, he decided to come back on board. After Varun, he was the primary man or woman to officially join as a founding member at 91springboard.

“In truth, Apurv became working with Varun earlier than I even entered the image,” continues Pranay. “He turned into given ESOPs and we respect him as a founding member due to the fact he gave us his sweat and blood for the time he worked with us.”

Later, Varun turned into joined by way of Pranay Gupta and Anand Vemuri as co-founders at 91springboard.

Pranay Gupta and Anand VemuriPranay Gupta and Anand Vemuri

“I am a chance-averse character,” confesses Pranay, as he digs into his popular lunch at the office – bread and egg bhurji. “I weigh the dangers cautiously before taking the plunge into whatever. It worked for me when I became heading iAccelerator.” Startups together with Frilp, Framebench, Innoz, Almaconnect have been backed with the aid of iAccelerator, throughout Gupta’s four-yr tenure.

“By the time my 4 years had been up at IIM Ahmedabad (he joined CIIE in 2009) assisting other marketers realize their dream, getting them funded and know-how the nitty-gritty of the way to run a startup, I too were given the startup itch. I desired to get into the product aspect of factors,” he maintains. “As fate would have it, I bumped into Varun round this time and we got to speakme approximately the concept he had of beginning a fund.”

As it’s a operating lunch, Anand joins the communication even as grabbing a quick lunch himself. Anand is quieter, dressed lots similar to Varun. But looking at him, you'll’t right away see what could set off him to depart behind a moneymaking lifestyles in the US behind for the bump and grind of starting off.

Anand says, “I’d already worked at a startup and knew the risks worried in going for walks one. But this become back in the US”. Anand is a graduate of Stanford University and worked at Caldera Medical for four years earlier than taking the path back to India. “I got here returned home and became seeking to reconnect with antique pals. Varun and I stuck up for a lager and we realised that I lived pretty near where his office become. So I commenced getting worried, multiple times every week.”

A couple of instances every week quickly became a complete-time gig and Anand got here on-board as a co-founder in July 2012. The initial idea became to launch a fund that would spend money on possible startups in conjunction with a small incubator area for them, as well as for different businesses.

“Initially, Varun desired me to endorse on some things regarding the fund, take benefit of my knowledge within the subject,” says Pranay. “This meeting occurred at Panchsheel Club round November 2012,” chimes in Varun. “That place changed into pivotal in founding 91springboard,” he reminisces fondly.

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Pranay takes up the tale once more. “I started out advising and eventually were given excited sufficient to take a 3-month sabbatical and pass my family again to Delhi. But, on day 3 itself, my 3-month sabbatical became a complete-time process. And the primary thing we realised became that fundraising was now not as clean because it searched for a small, unbiased startup.”

Anand expands on the troubles they encountered – the tribal expertise that was available in Silicon Valley did no longer exist in India at that point, neither did cliques like Startup Mafia. Simply placed, there has been no guide device for starting a fund from scratch. Thus, there has been the sensation that the incubator idea became no longer doing as well as that they had hoped.

According to Anand, startups face lots of issues in India, proper from renting office space to right infrastructure that needed on the spot answers. “And we had all these startups in our first vicinity as fund-cum-incubator space, who were very glad with the infrastructure we’d supplied. So we decided to move ahead with it.”

Overnight, the startup was left with no funding and an unexpected product that regarded to be working.

Varun jumps in at this factor with mention of a few European traders who’d supplied an preliminary $1 Mn that went into refurbishing and outfitting the Mohan Estate hub however, while crunch time got here, they realised that an incubator-fund in an emerging economy was inadvisable and they pulled out their investment. Overnight, the startup was left and not using a investment and an sudden product that regarded to be working.

91springboard.Com – From A Failed PE Incubator-Fund To A Blossoming Coworking Space 

“It’s all approximately assisting startups springboard,” says Varun whilst asked about the ordinary nomenclature of the startup. “My first undertaking became called Springboard Investments and anyone appreciated the idea of the use of the brand new project as a release factor for organizations to develop.”

But what about ninety one, then?

The common sense in the back of this changed into -fold. For one, the domain call www.Springboard.Com was unavailable from the get-pass, and the group was quite set on retaining Springboard in the call. Then they hit upon the bright idea of the usage of India’s international calling code ninety one as a part of their calling card.

And accordingly, 91springboard.Com became born.

The hub commenced off as a 10,000 sq. Toes. Incubator area in Mohan Estate in Delhi, NCR in January 2013. Once the pivot befell in April 2013, the purpose of the crew become re-envisioned to building coworking areas, they went after it with a vengeance.

As with any product, the launch was approximately attaining out to as many customers as they could and in addition they had the hard mission of finding the right form of people to enroll in as individuals. But it became a difficult ask – getting the overall populace to apprehend the idea of coworking returned then.

For example, a startup would come see the centers presented, the pricing and soar onboard to be a part of the 91springboard network. But getting the startup inquisitive about the first vicinity whilst the term ‘coworking’ turned into just commenced being used in India become a chore in and of itself.

As Pranay adds with a wry smile,

How do you positioned “Yahaan pe sense aati hai” (this region works) into words?

But there have been a few believers – inclusive of Paperkite.In whose founder Kshitish Purohit become a person who called espresso shops his workplace before becoming a member of up. “One satisfactory day I randomly received an e mail from Pranay – a mass mail – that he had ventured directly to 91springboard and changed into looking to build a ‘aid device’ for startups within the shape of service providers, felony, mentors and so on. That’s once I determined to test the location out, met Varun, and become bought at the concept of ‘having my own workspace’,” says Kshitish.

From Installing Coolers To Figuring Out Network Connectivity – Problem Solving In The First Few Months 

Every startup faces teething challenges whilst it starts, and 91springboard was no special. “Figuring out our day to day operations may be the toughest venture we're facing even nowadays, because it became lower back then,” Anand says.

Figuring out our each day operations may be the hardest venture we are going through even these days, as it turned into again then.

To this Varun adds, “Basic matters such as if the toilets had been not cleaned well required minute attention from us. So, one weekend all of us simply showed up with cleaning substances and made positive the bathrooms sparkled.”

What units coworking areas apart from normal offices is the colours and the general vibe of ways it looks as if. So the design was an important problem for the group at 91springboard, that they may be nonetheless looking to workout.

With Mohan Estate they had a huge, open basement, the concept became to inject energy and light into space and maintain matters as open as viable so it didn’t appear as darkish and dingy. The plan became to have a fluid aesthetic whilst looking to be steady. To this end, they attempted a number of combos by hiring an architect for the first area and the use of their personal creativity for the second one which didn’t turn out so thoroughly. So by the point, they reached the Okhla area, the focus became very clean: hiring an in-house time and venture managers to run the equal.

Says Varun of the revel in, “We had been experimenting with various things to see what works properly and what doesn’t. The overriding concept is to not get ate up with the look or vanity of the gap but as an alternative prioritise capability. The functionality is honestly to assist individuals have interaction with every other and elevate their organizations to a better degree.”

Getting a proper strength supply with backup and preserving Internet connectivity had been  greater on-the-process schooling that Anand (who manages operations) himself had within the first six months. As he recalls, “There had been days when I’d be down with the engineers, figuring out which cord is going in which, in the servers, if you want to get the connections lower back up.”

Kshitish is of the same opinion with this evaluation. “It is a social (socio-expert, if I might also upload) placing in any case and could face the luggage that comes along with it. There will always be noise, distractions, disturbances – and there will constantly be Internet troubles.”

Renuka, an impartial representative, and another initial member adds to the list of woes the crew had to paintings with – installing coolers for combatting Delhi’s killer summer season warmth, switching off lighting fixtures whilst no longer wished and the fluctuating electricity supply of route.

These are small problems, but ones which can bring a business to a standstill. 91springboard realised the importance of correcting them early and nowadays, they provide uninterrupted energy supply and WiFi connectivity. There also are cafeterias in each of its hubs, which inside the case of the Okhla hub, additionally has a foosball table and a kitschy schedule keeper which provides food at nominal costs at the side of self-serving liquids.

No Money, No Problem – How Word Of Mouth Helped Build 91springboard.Com’s Community 

“We had approximately 50-60 startups operating out of the primary space inside the first seven months,” says Pranay. He attributes nearly all of these signups to phrase-of-mouth, events, and referrals. “We had not an awful lot cash so we couldn’t spend too much on advertising and marketing. Our ad spend was minimal.”

Overnight, the startup changed into left and not using a funding and an surprising product that seemed to be operating.

“We didn’t pay ourselves any salaries for the first few months,” provides Pranay. “It changed into hard going but believing within the product helped lots. We didn’t need to be only a collection of desks and chairs. Having that imaginative and prescient helped too. In a way, having no money worked in our favour.”

However, they started tasting success once they had an inflow of recent startups coming to them. Devinder Maheshwari, co-founder of Beebom and one of the earliest participants of the Okhla area came to 91springboard after an unsatisfactory day trip at some other coworking space. Maheshwari and a six-member crew have been looking for an “office-cum-domestic which came inside price range constraints,” and catered to non-localities. It flawlessly geared up the invoice.

“At 91springboard, we got to apply the services of fellow startups. Community matters right here and we favored that,” he says whilst asked about his enjoy of running out of the coworking area.

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Kshitish too nails the motive for why the business enterprise became capable of attract such a lot of customers in the first few months itself. “I met my contemporary founding team of three co-founders at 91springboard wherein we have been all engaged in our respective startups/corporations,” he says. “The real value upload didn’t come from the the infrastructure or the fee, or access to a plethora of services and no lock-in periods but the manner interacting with different companies became Paperkite into DartboardIQ.”

It is hard to pinpoint the precise second whilst 91springboard started out displaying real PMF (product-market suit) as, inside the phrases of Varun and Pranay, “Our timelines had been little messed up as we went to and fro among Mohan Estate and Okhla.”

But in October 2013, it spread out space in Gurugram as the next bet for the organization to set up the presence. Shortly thereafter, but any other area became released in Okhla Industrial Estate – a 25,000 sq. Ft. Hub within the coronary heart of South Delhi that homes greater than 40 startups now.

Scaling Up Requires Replication Of Process

In an Entrepreneur submit, Pranay chronicles the cause for PMF going on the manner it did – pouring all of the money returned into the undertaking and the right crew additions shortened the gestation duration in advance for every hub that opened within the first year.

According to Pranay,

It’s hard to say whilst we actually broke in spite of our Delhi and Gurugram hubs as breakeven is a moving bar. For the Gurugram hub, the primary wreck-even was in six months after which in 365 days. We count on the common breakeven for us happens anywhere from 6-one year.

From Delhi To Gurugram, To Hyderabad And More…

Hyderabad became the chosen place and, like earlier than, they desired to start small, check out product viability before moving to a bigger vicinity.

“It’s all approximately process replication,” says Anand. “How can we get the exact identical offerings and infrastructure supplied at one hub to all our hubs without a breakdown in the technique, this was a major ask for us.”

According to Varun, the preliminary homework carried out to get the distance up and running labored and it filled up in 3 months. This caused developing the new space at Kavuri Hills in March 2014.

The year 2014 also brought in every other milestone in the 91springboard story – ex-Chairman of Private Banking at Citigroup, Deepak Sharma came on board as an investor. While the amount that Sharma invested remains undisclosed, the troika unanimously concurs that the know-how he brings to the table is more than valuable.

Sharma had also cease his day process wherein he were instrumental in building non-public banking for Citigroup and came onboard the startup. “We call him Super Sharma,” proclaims Varun. “It doesn’t remember what time of day it's miles, when we want queries answered (from finance to every day operations), Sharma is usually spark off with a call or a reply.” Sharma’s spouse Susan Lim, is likewise Special Advisor to the 91springboard crew.

The 12 months also noticed the eventual departure of founding member, Apurv Agrawal.

“He turned into a celebrity whilst he labored with us however he constantly had the idea of SquadRun in his head and while he came up to us and stated ‘Yeh karna hai’ (I want to do that), we concept, why not? In fact, we cherished the concept so much that SquadRun is now in our portfolio,” reminisces Pranay.

When brought on to increase on what precisely ‘in our portfolio way’ Pranay may be very clean that they helped the startup in a purely advisory ability.

“In reality, Apurv met one of his destiny co-founders Kanika Jain, even as he turned into working with us,” Varun provides.

The remaining investor Anuj Pulstya got here onboard in March 2015, thru Pranay’s community. He too had been assisting out with the jogging of the space and changed into enthused sufficient to want to invest each money and time in it. “It commenced as an e-mail interplay after I turned into at CIIE,” stocks Pranay. “Anuj became knowledgeable and passionate, actually a person we desired on board.”

From two founding individuals, they have now grown to a a hundred member crew such as employee bees and evangelists, spread across each of the nine hubs who cope with the everyday going for walks and operations of the areas while the co-founders oversee and troubleshoot macro troubles.

Bridging The Infrastructure Gap, Building For The Future 

In the centres in US and Brazil, coworking spaces are characterized by massive open innovation regions. In such locations, about 6,000 sq. Feet. Is the carpet vicinity committed to startups while about four,000 sq. Toes. Is the open innovation vicinity.

According to Varun, “A traditional 91springboard hub boasts of an average space of about 25,000 sq. Feet.” This space consists of meeting rooms of assorted sizes for meetings and for teams to apply as an office. The ratio of meeting rooms versus person spaces became a key issue that become addressed inside the initial few months. Due to those elements, area become gaining a popularity for creating a feasible community of startups.

Besides, organizations like Sendgrid, AWS, Rackspace, Freshdesk, Recruiterbox, Vakilsearch, Google had been some of the first value partners who joined arms with 91springboard within the first yr of operations to provide their precious services to the inmates of the space. And space began organising events like Big Bad Startup Bash, Reverse Pitch among others that had been an extra value-add to the developing community of engaged specialists.

When induced to ask approximately unit expenses for the areas, Varun replies, “We’ve continually promoted entrepreneurship and feature endured to accomplish that with our cafes and providers. Almost everything – from the fixtures and IT – has been developed in residence so the seller for us is 91springboard. This is a manner of making sure the product is tailored to our desires and also continues expenses low.”

With the Hyderabad space turning worthwhile in three months, as claimed by way of the founders, 91springboard seemed west to Navi Mumbai and then to Bengaluru to continue growth. The Bengaluru hub has already sprouted two branches (one in Koramangala in August 2015 and the recently opened one at National Games Village a yr later).

The first area in Mumbai is a exceptional tale altogether. It is a fintech accelerator run by means of Barclays and is referred to as RISE. Situated in Lower Parel, a downtown enterprise location in Mumbai, RISE Mumbai offers the coworking centers of 91springboard along with the information and expertise delivered in by a venerated monetary institution along with Barclays.

In Varun’s personal words, “It’s a completely unique and interesting partnership with Barclays in which we are able to provide Indian fintech startups get admission to to a extraordinary companion in Barclays and also a global network of fintech startups in New York, London, Cape Town, Tel Aviv, Manchester, Vilnius and, of path, Mumbai. We think it’s a game changer and a sign of factors to return in which 91springboard is going to open an increasing number of doorways for corporations with a startup mindset to develop their passions.”

More these days, the accelerator housed in the space introduced its first batch of cohorts that could graduate in January 2017.

91springboard also opened its largest area in India at Akruti Trade Centre in Andheri East, Mumbai on October 1, 2016. As claimed via Pranay, the 1,000 capability hub already has over a a hundred signups from fascinated individuals.

Another essential improvement was the departure of Anuj Pulstya, one of the co-founders from the organization in September 2016 around the time of the brand new space launch, in line with Pranay. “He has determined to go returned and assist scale up the family enterprise. What can I say?” He smiles. “91springboard brings out the entrepreneur in us all, sooner or later.”

A Market Of three Mn Freelancers To Address

Competition is rife within the area. Coworking spaces like Bangalore Alpha Lab, Awfis, Innov8, Investopad, Jaaga, BHive, Nasscom’s 10,000 Startups’ Startup Warehouse and others, are jostling to satisfy the desires of the modern-day-day professional – be they a freelancer fashion designer, a content material creator, or a fledgling startup that is looking to save up on unit economics even as taking benefit of an present community of useful experts.

So how does it plan on coping with their competition?

“There are kind of approximately 3 Mn freelancers in India in the intervening time,” says Pranay. “It’s a very addressable marketplace. And we're trying to collaborate with our competitors as opposed to competing with them, because the market is big enough for every person to exist.”

It has also raised an undisclosed amount of funding from Khattar Holdings, ThirtyThree Investments in August 2016. Deepak Sharma, angel investor Soumitra Sharma, and Global Head of Corporate Finance at Standard Chartered Bank Sumit Dayal additionally participated inside the round. Pranay states in an legitimate declaration that the money can be used to beautify tech skills, boom operational efficiency and network constructing.

With this in thoughts, 91springboard has released its subsequent vertical – 91university, a selected brainchild of Pranay. “While doing occasions at our hubs, we realised that humans are craving for knowledge that is extra practice-oriented and which comes immediately from individuals who are working in actual industries. This advanced into 91university in which the whole recognition is the equal.”


According to the website, 91university’s aim is to “to help and create a brand new breed of marketers who can set up their basis on the idea of arms-on schooling on sensible components, exposure to enterprise stints and the understanding of ways to conquer entrepreneurial challenges by means of developing an interactive surroundings.” To this end, they have got created a Foundation Course for Entrepreneurs that targets to take at the assignment of teaching contributors the basics of turning entrepreneur.

From Expanding To SEA To Raising More Funding And Even A 91springboard Mafia…

Of route, speak necessarily turns towards the future and plans for the enterprise.

While Pranay is a piece cagey concerning real plans, he does mention that growth is the call of the game for the subsequent 12-24 months. “We can be readying the hub at MG Road in Bengaluru as well as Noida Sector 1 through January 2017,” he stocks.

Varun, when brought on, supplies the missing portions. “Centres in our four core cities are worthwhile at the moment. And with demand being better than supply, we want to cognizance on creating smaller gadgets inside the middle cities. We would also want to goal Pune, Chennai, Ahmedabad, and Kolkata methodically over the next twelve months.”

Financing is likewise some other difficulty the group looks to address along with SEA expansion, which is also inside the cards for the distinctly young startup.

“It’s all approximately partnerships that definitely paintings,” says Varun. “At the cease of the day, we need 91springboard to face for retail offerings for aspirational international companies enabled via tech,” he concludes.

Pranay, on the other hand, has a one-of-a-kind take on the destiny he envisions for 91springboard. “Apurv left and commenced his personal issue. As has Anuj. We have tales and testimonies of human beings becoming a member of with us after which going and doing their very own factor. And they, in flip, inspiring others to do the identical, will with a bit of luck result in something like the PayPal Mafia in Silicon Valley in four-five years. A type of 91springboard Mafia,” he says with unabashed enthusiasm.

Author Biography.

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