Thinking of setting up your own startup this year, but getting confused about which city will be best for it? The cities with strong startup ecosystems attract venture capital, skilled developers, and government support. The city must have factors like affordability, infrastructure, and co-working spaces to start a business.
Read the blog to know about the global startup hubs, the cities that are tech-friendly for entrepreneurs, and other important aspects.
It is one of the cities commonly referred to as the Silicon Valley of India. It is the headquarters to more than 1000 startups, such as Flipkart and Byju’s, and has talent ground in IISc and the leading IITs. Some areas like Koramangala and Whitefield are the major hubs for the co-working ecosystem. In 2024, the city received an influx of $4.4 billion, which concentrated unicorns in fintech and AI.
In the NCR area, Gurugram and Noida are particularly the main hubs among those cities that are friendly to startups. Paytm and PolicyBazaar have headquarters in these areas, where 2,500+ startups are located. Economic policies such as Startup India offer startup ventures easy funding and tax exemptions. The region also attracted a record of $3 billion in investments last year, which was dominated by SaaS and edtech.
It is an international startup ecosystem of fintech and consumer tech. Companies like Dream11 and Nykaa have their headquarters in the same city. In spite of the high costs, 1,000+ startups flourish on Bollywood-tech and funding by Mumbai Angels, with $2.1 billion in 2024. The proximity to the stock exchange facilitates the IPO dreams. WeWork offices and events promote networking of high-net-worth mentors. In Mumbai, the opportunities are limitless because of the diverse talent that is available in India.
This is among the most entrepreneurial cities in India, equipped with a technology hub that is the largest incubator. Genome Valley is one of the best biotech places in Hyderabad. Recently, more than 800 startups attracted over 1.2 billion dollars in investments, which is made possible by the incentives of the TSIC and the talent of IIIT-Hyderabad. Its clean infrastructure and investments make it one of the top global startup hubs to start your new business.
This city has an IT park area with over 500 startups in EVs and fintech, with funding of around $500 million. Symbiosis is one of the institutes that offers talented engineers a chance to grow at affordable fees. Pune provides a good work-life balance and pleasant weather among the tech cities. It suits best if you want to achieve sustainable growth in a robust startup ecosystem.
The best city in auto tech and health tech, supported by areas like Tidel Park and IIT-Madras Research Park. It has more than 600 startups that have attracted over 300 million dollars in investments. Chennai has a reasonable cost of living, making it one of the best cities to start your business. Being a tech-friendly city, it mainly focuses on EVs. Its reliable power and proper infrastructure ensure seamless operation for the entrepreneurs.
Ahmedabad is good for entrepreneurs who are interested in fintech and deeptech. IIM Ahmedabad alumni drive 400+ startups, which have low operational costs. The recent funding of 200 million shows that it is one of the top cities to establish your business. The pro-business spirit and salt desert innovation atmosphere of Gujarat make it a good startup ecosystem. Ahmedabad is affordable and has manufacturing connections.
It is a good city with over 200 business ventures supported by its state policy. The status of the cleanest city improves the work-life balance, which is optimal with good startup ecosystems. The hustle-free atmosphere of Indore makes it among the most startup-friendly cities in the country.
Jaipur is the best for a strong startup ecosystem as it is one of the top tourist places with a demand for handicrafts and regional craftsmanship. It also gives learners a chance to increase their capabilities with the top institutes. Its cultural edge makes it more unique among D2C brands.
Chandigarh is a place with a calm atmosphere and a well-developed startup ecosystem. Mohali IT Park fosters 250+ companies in UI/UX and agritech with the support of Punjab Startup Yatra. These measures enhance productivity with around $100 million investments in sustainability tech, contributing to the state’s image.
These are some of the factors that you must consider to achieve success:
These are some of the challenges that you may face in your business:
India’s tech-friendly cities for entrepreneurs stand as a powerful ecosystem. The global startup hubs are lending world-class talent, funding ecosystems, and supportive policies. These cities allow you to achieve your goals and make your dreams come true.
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