Can Everyday Indians Back the Next Zepto? The Quiet Revolution in Venture Capital Access

Imagine hearing about Zepto or Groww, not from business headlines after they’ve made it big, but from your own investment dashboard, because you believed before the crowd did. Until recently, that kind of access was only for institutional giants and ultra-wealthy families. But India’s investing landscape is changing fast, and a new conversation is emerging: Should anyone with the curiosity and appetite be able to take a real shot at backing the next big thing?

In the US and Europe, fintechs like Moonfare, iCapital, and Republic have already paved the way, making private investment accessible to “regular” individuals. Minimums have dropped, and crowdfunding or secondary trading is bringing once-exotic opportunities to far more people. It’s a compelling model, one where sophisticated tech and new rules combine to make private markets feel more approachable and transparent.

Back home, India’s own VC and startup scene is booming. PE/VC flows reached $43 billion in 2024, unicorns like Zepto and Krutrim became household names, and retail investors poured into public markets at an unprecedented rate. From just under four crore demat accounts in 2019 to nearly 19.4 crore in 2025, "normal" Indians are now deeply financially literate and willing to experiment with new asset classes.

Yet the “front row seats” to Indian innovation, early-stage, high-reward deals remain fenced off. Venture capital funds are built for patience and long horizons, letting in only those who bring a crore or more. It feels exclusive by design, and for good reason: young companies need time, trust, and stable backers; not hot money.

Recent regulatory moves and the arrival of digital-first investment platforms are tugging at these boundaries. With minimums dropping to ₹1,000 on some crowd platforms, the opportunity for retail to play a role is growing louder. The thrill? Early, outsized upside and being part of a founder’s journey from the garage to the global stage.

And here the story reveals its most subtle plot twist. Early-stage startups are marathons, not sprints. They need years, sometimes a decade or more of patient capital to reach their potential. Yet, retail investors, conditioned by the liquidity of public stocks or mutual funds, often have a much shorter investment horizon.

What happens if this new wave of investors—drawn by FOMO or the hope of quick returns—demands an early exit? Is it even possible to pull out? The answer: in classic venture, it’s rarely an option. Unlike equities, where you can sell your shares with a few clicks, VC investments are usually locked in for 8–10 years. Some platforms are beginning to promise or explore “liquidity windows” every 18 months to 2 years—limited periods when you might sell your stake to another investor, but these are the exception, not the rule, and their existence can be uncertain.

If retail investors insist on early exits—by either pressuring platforms, creating secondary trading frenzies, or turning patient capital into short-term trades—the implications are serious:

- For Startups: Their growth plans could be jeopardized by unstable funding, distracting leadership from building businesses to managing churn.

- For VC Funds: Short-term redemption pressures can impair fund strategy, dilute discipline, and reduce returns for all investors.

- For the Market: If the promise of quick exits is overhyped, it may encourage bubbles or sudden withdrawals that harm both brave founders and hopeful investors.

This is why expert voices and regulators are sounding notes of caution. Education is key: retail investors need to understand that startup investing is a slow burn, with significant risk and uncertain liquidity. Platforms and funds must design entry points, disclosures, and optional liquidity so expectations are set from day one. "AIF Lite" funds and regulated secondary exchanges may help, but the industry will need strong governance and communication to align incentives and avoid accidental harm.

India’s great leap of democratizing venture capital is only sustainable if retail capital can be both bold and patient. The most resilient systems will strike a balance: allowing retail investors in, but with eyes wide open about the timelines, the illiquidity, and the importance of letting ambitious founders run the full race, not just the first lap.

In the end, true democratization isn’t just about wider access; it’s about collective discipline, thoughtful policy, and a shared willingness to play the long game.