Flush with investor money, younger and smaller startups lining up to hire top global talent to drive growth
It is not just the Unicorns (startups with billion-dollar-plus valuations), but a fair sprinkling of younger and smaller ventures are also attracting top global talent back to India. A bunch of senior executives is quitting high-flying careers abroad to join smaller startups such as Edureka, OYO Rooms, Urban Ladder, Faaso’s and Housing.com in India. In June this year, Durgesh Kaushik quit as head of online marketing (Asia-Pacific) at Facebook and left Singapore to join Bangalorebased startup Edureka as chief marketing officer. In the same month, Ajit Pandey , earlier with IBM in the UK, relocated to India to join Mumbai-based Loanstreet as chief ecommerce architect.
In mid-August, Supriyo Roy, previously the lead, design and experience, at New York-based startup Spangle came on board at food-tech startup Faaso’s as head of design, user experience and interface.
And at real estate listing portal Housing.com, UPenn graduate Jason Kothari, earlier the cofounder and CEO of Valiant Entertainment, was brought in as chief business officer in August to drive overall strategy and growth. Since last November, Housing has also hired Rachel Steinberg as vice-president (product) and Paul Meinshausen as vice-president (data sciences).
Many Looking for Global Talent
At least a dozen more startups, including MyRefers.com, MobiKwik, LivSpace, LatestOne, VioletStreet and Lybrate, say they are actively looking to hire global talent. Till recently, only the Unicorns -such as Flipkart and Snapdeal -had been primarily attracting talent from the Silicon Valley. Smaller startups have now joined the party.
“The startup space is really coming into its own,“ says Kaushik. “There’s an opportunity to be part of a sector that’s really making its mark on the world stage as well as the chance to create and market products specifically targetted for Indians.“
Reasonably competitive salaries, thanks to funding from ven ture capitalists, employee stock option plans (ESOPs) and an opportunity to be part of the India startup story are proving to be adequate incentives to woo such talent to India.
On offer are salaries of $100,000250,000 plus ESOPs and challenging roles.
“Given that startups, even at an early stage are getting heavily funded, they are fine with global benchmarks of compensation,“ Anuj Roy, partner, digital practice, at executive search firm Transearch. “The shrinking cy cle time between various rounds of funding also gives entrepreneurs an option to invest heavily in the team at an early stage.“
America Most Popular
Equity, Roy says, is a function of funding. “The more mature the company, the less is the equity. Total ESOPs can be around 1-3% of total equity for pre-series A and Series A companies. At Series C and D, the value of ESOPs is mostly a multiple of compensa tion like 0.5X-2.5X of compensa tion,“ he added.
The US by far is the most popular hunting ground though talent is also being scouted for in markets such as the UK, South-East Asia Italy and the Philippines.
Technology, product management, design, data scientist and digital marketing are areas where global talent is most sought after. In several such ar eas, there is a limited talent pool within India and, thus, the need to look at international markets.
“Startups are looking to work on a multinational scale, hence hiring people with a global outlook is essential for them,“ says Ankit Agarwala, director of recruitment consultancy Michael Page India. He has seen mandates for such roles double in the past one year.
ET VIEW Resettlers of a Disruption Gold Rush
Startups are brought into existence and function with one thing in mind: to disrupt, and set up an innovation from that disruption.For this, startups need out-of-the-box artists. This talent can be found among blue-skyers ‘untainted’ by traditional modes of business thinking and practice. Or, from blue-chip professionals and entrepreneurs raring to become startup architects for landscapes outside their current ecosystems. ‘Lateral shifts’ to established startups make little sense. With startups no longer mandatory garage operations, these resettlers are seeking -and finding -virgin territories. This mix of old school-new school players will be the future of starting up.
Source: Economic Times
Date: 21st August 2015
Source: Economic Times
Date: 21st August 2015