Is Mumbai a Good Place to Launch a Startup?

Where you start your company still matters – but sticking too closely to one location might limit what you’re able to build. In today’s startup landscape, geography shapes your path – but it doesn’t have to define your potential.

Mumbai has emerged as a strong hub for entrepreneurship, offering access to funding, talent, and infrastructure. But with growing competition, rigid local programmes, and support often reserved for the most polished startups, relying solely on what’s nearby can slow you down – or hold you back.

In this article, we’ll explore what Mumbai gets right – and where founders often run into friction. We’ll also show how EWOR offers an alternative: a global, remote-first platform that gives you access to funding, mentorship, and community – no matter where you’re based.

1. Access to Funding in Mumbai

Funding is one of the most critical ingredients in building a successful startup – and Mumbai offers a growing ecosystem of support. From venture capital firms to government grants and angel investors, founders in this region have several pathways to raise capital and gain early traction.

Mumbai's early-stage startup funding scene is dynamic, attracting significant attention and capital. Notable VC firms active in the early stages include Blume Ventures, Matrix Partners India, India Quotient, and Kae Capital. Angel networks like Mumbai Angels Network and Inflection Point Ventures also play a crucial role in supporting local founders. The Maharashtra government offers support through initiatives and collaborations with incubators like SINE at IIT Bombay, which also has its own seed fund. Despite Mumbai overtaking Bengaluru in total startup funding in 2024, largely due to significant late-stage deals, early-stage funding saw a decline in deal count, highlighting a potential gap for nascent startups. Challenges include intense competition and high operational costs in the city. The gap between seed and Series A funding rounds has also reportedly widened across India, requiring startups to demonstrate revenue potential earlier.

A More Flexible Path Forward

In the wake of these challenges, founders don’t have to rely solely on local funding options. EWOR offers a more flexible path – providing up to €500,000 in early-stage capital But EWOR is more than a cheque. Our capital comes bundled with personalised support, investor-ready storytelling, and access to a network of over 400 active European investors – many of whom regularly participate in our Grand Pitch events. On average, EWOR fellows who complete the programme and pitch go on to raise €2 million in follow-on funding – over 10x more than founders from comparable European initiatives.

2. Innovation and Startup Culture  

Mumbai has become a centre of innovation, with numerous tech hubs, coworking spaces, and accelerators that foster creativity and new ideas. The local startup culture is vibrant, with a growing community of entrepreneurs working together to push the boundaries of what’s possible.

Mumbai has a thriving startup and innovation culture, marked by significant entrepreneurial activity. It recently became India's most-funded startup hub in 2024, surpassing Bengaluru. The city hosts a large number of coworking spaces, with rentals seeing substantial growth. Numerous tech events, networking sessions, and workshops are regularly held, fostering community and collaboration. The ecosystem includes various incubators and accelerators, such as SINE at IIT Bombay and Venture Catalysts, offering support. While many programs provide structured support, including mentorship and resources, there are also initiatives and consultants offering tailored assistance to early-stage founders, alongside programs for more mature startups.

For many entrepreneurs, the energy and resources available in Mumbai can provide the ideal environment to test new ideas and gain early traction. The collaborative atmosphere allows founders to connect with fellow innovators and build networks that can help their startups grow.

While the local startup culture is vibrant, the support founders actually receive can be hit or miss. VCs might offer funding but little time. Angel investors often give advice, but it’s scattered and inconsistent. What’s more, many accelerators rely on a one-size-fits-all model that doesn’t reflect the needs of exceptional founders. In fast-moving, competitive ecosystems like Mumbai, standing out is hard enough – getting the right kind of support shouldn’t be.

The Alternative to Cookie-Cutter Programmes

Finding a programme that truly adapts to your journey, not the other way around, is rare. However, EWOR offers the kind of depth and flexibility that many local programmes simply can’t match. Instead of following a fixed curriculum, our fellowships are modular and tailored – giving you the right support at the right time, based on where you are in your journey.

But the real strength of EWOR goes beyond structure. Fellows often describe the community as the most unexpected – and valuable – part of the experience. As some have put it: “The real magic lies in the community: the kind of conversations, insights, and connections that lead not only to breakthroughs – but to lasting friendships with some of the most fascinating people they’ve ever met”.

3. Talent and Workforce Availability

One of the greatest assets of launching a startup in Mumbai is access to a skilled and diverse talent pool. With universities producing top-tier graduates in technology, business, and other fields, startups can tap into a wealth of expertise to help grow their teams.

Mumbai has a significant talent pool for startups, fueled by prestigious educational institutions like IIT Bombay, NMIMS, and SP Jain, which produce skilled graduates. The city attracts diverse talent across various sectors, including technology, finance, marketing, and operations. Industry-specific skills are strong in areas like fintech, e-commerce, AI, software development, data science, and cybersecurity, reflecting Mumbai's status as a financial and growing tech hub. Local talent supports entrepreneurial growth through a strong work ethic and a culture of entrepreneurship. The presence of skilled professionals across diverse industries provides startups with the necessary expertise to scale and innovate. Collaboration and networking within the ecosystem further bolster this support.

Like funding, competition for talent can be fierce, especially for highly specialised roles in fields like software development or AI. For startups looking to scale quickly, hiring the right people at the right time can be a challenge, leading some founders to look outside the region for remote talent solutions.

Get Global While Local

While hiring locally in Mumbai can be competitive and slow, EWOR gives you instant access to a global network of exceptional talent. Built by founders for founders, the EWOR team has launched and exited companies worth over €12 billion – and they bring that experience directly into your venture. It's not just about funding or surface-level advice; it's akin to having a co-founder from day one. 

The team collaborates closely with you to refine your idea, challenge your thinking, and support you through real-world decisions – just like a hands-on partner would. Moreover, with EWOR’s exclusive co-founder pool, you can find the right person to build with, regardless of their location.

4. Infrastructure and Support Systems

Mumbai boasts a strong infrastructure that supports the growth of new businesses. From modern office spaces to high-speed internet, entrepreneurs have access to everything they need to run their startups smoothly. Government policies may also provide tax breaks, legal support, and other incentives that make starting a business more attractive in this region.

Mumbai offers a robust ecosystem for startups, featuring extensive infrastructure like numerous coworking spaces, incubators, and accelerators such as Zone Startups India and SINE IIT Bombay. These provide not only physical space but also crucial mentorship, networking opportunities, and access to funding. Support systems include a strong network of venture capitalists, angel investors, and regular startup events connecting entrepreneurs with investors and peers. Government initiatives, particularly the Maharashtra State Innovative Startup Policy 2018, play a significant role. This policy aims to foster entrepreneurship through establishing incubators, providing financial assistance like seed funding and subsidies, and simplifying regulations. Schemes like Startup India also offer tax benefits and easier compliance, collectively helping startups thrive by providing necessary resources, guidance, and a conducive environment for growth.

But what looks good on paper often proves more complicated in practice. Bureaucracy can be time-consuming and opaque, especially for first-time founders unfamiliar with local laws. Incorporation takes longer than expected. Accessing public funding often means navigating slow processes, strict requirements, or hard-to-reach advisors. And operational costs – from accounting to regulatory compliance – can quickly eat into early budgets. 

A System That Moves With You

With access to expert guidance, practical legal resources, and a network of experienced entrepreneurs who’ve built across a range of regulatory systems, EWOR is well positioned to help founders navigate the bureaucratic and legal complexities that often come with building in Mumbai. Instead of wasting time figuring things out alone, you’ll have the tools and support to stay focused on what matters most – growing your venture.

And while we’re remote-first, our support is anything but distant. Through in-person gatherings like the EWOR House, city-based meetups, and our twice-yearly Grand Pitch event, you’ll still build meaningful relationships with investors, peers, and mentors. It’s a system that helps you focus on building – not just dealing with paperwork.

Can Mumbai Be Considered the Best Place to Launch a Startup?

There’s no doubt that Mumbai provides a vibrant environment for startups, with access to funding, innovation, talent, and infrastructure that can help entrepreneurs build successful businesses. For many, it’s a strong contender for the best place to launch a startup, thanks to its growing entrepreneurial ecosystem and support systems.

Entrepreneurs launching startups in Mumbai face significant challenges. Intense competition is a major hurdle in the city's crowded startup ecosystem. The high cost of living and expensive real estate market make finding affordable office space difficult and impact the ability to attract and retain talent due to high salary expectations. Additionally, navigating the complex and dynamic regulatory environment, including obtaining necessary licenses and complying with various laws, can be time-consuming and costly.

However, it’s important to remember that the location of a startup is no longer the be-all and end-all. In today’s digital age, location-independent options like EWOR allow entrepreneurs to access world-class mentorship, funding, and resources from anywhere in the world. Whether you’re based in Mumbai or elsewhere, EWOR’s remote programmes are designed to support founders no matter where they are located.

So, while Mumbai offers significant advantages, it’s worth considering options like EWOR that enable you to launch and scale your startup with global support – whether you’re in the heart of a bustling startup hub or working from a quiet corner of the world.

Image credits: by Andreas Brücker on Unsplash