International Funding Sources for Indian Startups in 2025

Starting a business is a dream many young Indians are turning into reality. However, for a startup to grow and compete on a global level, securing the right kind of funding is essential. In 2025, Indian startups will have several opportunities to access international funding—whether through venture capital, angel investors, crowdfunding platforms, or global grant programmes.

In this guide, we’ll explain the main international funding sources available to Indian entrepreneurs in a simple and informative way.

Venture Capital: Backing Big Ideas

Venture capital (VC) has long been one of the most significant ways startups raise funds. In 2025, global VCs are paying more attention to Indian startups, especially those in AI, fintech, health tech, and green technology.

One major update is from Bat VC, a New York-based venture capital firm. They recently launched a $100 million fund specifically to support early-stage AI and fintech startups in India and the US. This shows how global investors are seeing real potential in Indian innovation.

Similarly, Bessemer Venture Partners announced a new $350 million fund focused on Indian startups. They are especially interested in AI-led companies, direct-to-consumer brands, and digital platforms.

For Indian entrepreneurs, this is a strong sign that international capital is within reach—if your idea is scalable and built on real market needs. To understand how Indian founders are building for global success, follow regular updates on Your Story.

Angel Investors: Mentorship Plus Capital

Angel investors are individuals who invest their own money in promising early-stage startups. They often come with valuable experience, mentorship, and business connections.

In India, networks like the Indian Angel Network (IAN) have helped hundreds of startups raise funds and scale operations. Many angel investors based abroad are also investing in Indian startups, especially in sectors like edtech, agritech, and SaaS.

What makes angel investors valuable is that they are usually more flexible in their approach. They look at the founder’s passion and potential more than just balance sheets. If you’re a new entrepreneur and want to learn how angel funding works, resources on Your Story can help guide your journey.

Crowdfunding: Community-Driven Capital

Crowdfunding is another global funding option where startups raise small amounts of money from a large number of people, usually through online platforms.

Platforms like Kickstarter, Indiegogo, and OurCrowd have helped many Indian creators and entrepreneurs bring their ideas to life. Crowdfunding is especially useful for product-based startups that want to validate their ideas before going big.

To run a successful crowdfunding campaign, you need:

• A clear story and purpose
• A working prototype or early version of the product
• Constant communication with backers

While this route doesn’t always raise large sums of money, it is effective for gaining loyal customers and media attention. For real-life Indian crowdfunding success stories, check out articles on Your Story.

Government & International Grants

Many international agencies and governments offer financial grants to startups, especially those working on tech innovation or social impact.

Indian Government Schemes:

• Startup India Seed Fund Scheme (SISFS) offers early-stage startups funding for research, proof-of-concept, and trials.
• MSME Innovative Scheme supports small businesses with grants for product development and pilot projects.

Global Grants:

• EIC Accelerator in Europe gives grants up to €2.5 million and equity up to €15 million to cutting-edge tech startups.
• Horizon Europe funds research and innovation projects in collaboration with European partners.

Unlike equity funding, grants are non-dilutive—meaning you don’t have to give away ownership in your startup. That makes them a smart option for founders looking to keep control.

Want to explore upcoming grant deadlines and application tips? Visit Your Story to stay updated.

International Collaboration: Expanding Beyond Borders

Another effective route for startups is partnering with global institutions. Such collaborations help in two ways—access to foreign markets and entry into international funding channels.

For example, IIT-Kanpur’s SIIC partnered with the NMexus Centre in the United States. This collaboration helps selected Indian startups expand operations in the American market and connect with U.S. investors.

These types of partnerships are becoming more common, with many Indian incubators and accelerators building international links. Founders should keep an eye out for cross-border innovation programmes and pitch events abroad.

Final Thoughts

In today’s world, location is no longer a limitation. Indian startups have every chance to attract international funding—whether from VCs, angel investors, or global grant bodies. What matters is having a well-prepared pitch, a real solution to a pressing problem, and the right guidance.

The journey is not always easy, but with the right funding and mentorship, your idea can go global. To explore more real stories, funding opportunities, and expert advice, make sure to follow Your Story—India’s trusted platform for startup news and insights.