BANGALORE: Raising funds for a startup cannot be deemed a cake walk. While one may have prepared the best pitch for their business, it may not suffice to impress the future investors, who would invest in the company. Market experts believe that 2016 would be a year of consolidation instead of investments. Last year especially in the last quarter of 2015, everybody saw ventures investing in startups. But this year, investors will be more cautious with their funding. They added that 2016 would be more of third and above funding rather than seed funding. Apart from minimal early seed funding, this category will also see many shut downs. According to experts, there have been several such sectors that saw many 'me-too' startup firms cropping up, but what does it take to establish a new business, reports Business Insider.

The core team

The first thing investors look at before deciding to part with the monies is the core team of the company, and what is their past experience, so that they will be able to guide the boat. How good is the team and how well do they know the business they are venturing into is critical parameter for investing in a startup.

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