Groww, an Indian investment app, has grow to be one of the first startups in the country to maneuver its headquarters back to India from the US, signaling a broader trend among the local startup community.
The Bengaluru-based startup, which allows consumers to purchase stocks and mutual funds, made the switch in March, with its co-founder and CEO Lalit Keshre he wrote in the post on X
An increasing number of Indian startups, especially in the fintech sector, are preparing to relocate their overseas holdings to India to adapt to changing local regulations and proceed listing their shares in the domestic market.
Many Indian startups, especially those backed by Y Combinator, were initially incorporated in the US to realize higher access to investors and capital in North America.
The eight-year-old Groww, which incorporates YC, Peak XV Partners and Tiger Global, has been profitable for several years. According to official data, its eponymous application is the hottest brokerage offer in the country.
Razorpay, Pine Labs, Zepto, Meesho and Udaan are among other Indian startups in various stages of considering shifting base to India.
Bengaluru-based PhonePe has moved its headquarters to India in 2022 from Singapore. The Walmart-backed company’s move resulted in a tax impact of nearly $1 billion for the startup’s investors, with Walmart paying most of the tax.
Groww is still calculating the tax implications, in line with a person familiar with the matter.