Why SL Group of Companies?
The need for a group of companies came from the objective to fight crony capitalism and enable the startups to be on par with big companies to take work orders from Corporate and Government. It is extremely difficult for a startup to bag a big-ticket size order as the eligibility is through revenue, executed projects, and assets. To get an order of Rs. 100 crores, a startup may need to have at least a revenue of Rs. 10 crores, and few already executed large projects in the past. This never happens when you are applying for the first time as you don’t have any large executed projects, moreover, revenue could be a big challenge for the startup.
StartupLanes solved this problem by creating different companies under the SL group. Now, the startups can bid through an SL company and they can collaborate with other similar startups and execute the projects together. The example below will make it clear:
For instance, there is a requirement of an AI Analytics Software worth Rs. 10 crores, by TCS that they wish to outsource. Now, TCS will look for a vendor who can execute this project. They may fix the eligibility as “any technology company that has a headcount of 500 and revenue of Rs. 10 crores in the last financial year.”
Here, the technology company under SL called “SL Technologies” (registered entity: SL Cider Technologies Pvt. Ltd.) can combine the employees of 10 different startups and utilize its own revenue to be eligible. This work shall be distributed to the startups in our eco-system (provided that they are gold members) who can do it appropriately on time and as per the allocated budget. Therefore, this way startups get the business through big companies without being directly elected. Unity has big power, SL Technologies utilized it to benefit the startups in the SL eco-system, in the above example.
Similarly, in another example, if there is a requirement of 10,00,000 (ten lakh) pieces of brake pads to be manufactured for Hyundai in a period of one month, then most of the startups may not be eligible. In the same way, the work can be taken by an SL company that has the edibility, good profile, and credibility. Then this work shall be distributed to all the startups in the eco-system who can fulfill the order on time. StartupLanes used its brand and capabilities to generate business for several manufacturing startups in its eco-system.