The problem is not with IIT Entrepreneurs per se.

For every IIT Entrepreneur that you see getting featured and being glorified there are 9 others who are totally unknown, toiling and struggling. Will get on to that in a while.

The ratio is bad when it comes to IIM. Most IIM guys, by nature of their education, take calculated risks. So very often most IIM guys quit jobs only if they are sure of monetary backing. You can do a detailed research and verify the claims.

Being from IIT background, I can give you more insider account of IIT circle. Well there is a huge divide even amongst the IITs. For instance, chance of funding is more, infact manifolds, if you are from certain IIT. Again, you can verify my claims.

Even within the same IIT, the chance of getting funded is more if you happen to be from Consultancy or I-Banking background. Money attracts money after all. :) Most of these Consultants and I-bankers before quitting jobs are earning above 20Lakhs per annum. They raise money and continue to draw exorbitant salaries. When it come to hiring people, they tend to get people from their network which is same Consultants and i-bankers who come at high costs.

Your ability to raise funding is dependent more on your selling skills. Consultants and Bankers typically excel at those. VCs like them more. Coming from high net-worth group, these guys have easier access to funds. Mostly they get angel support from their own industry. Again, money attracts money.

If you look deeply, the VCs are one of the biggest proponents and followers of herd mentality. 1 VC invests in 1 industry, rest all VCs rush to the same. The IIM guys, Consultants, Bankers are more likely to start ‘me too’ businesses because they look at market first. They invest their time and effort only in big market, already established. That’s how they get trained. So an IIM graduate or a Consultant from IIT or Both is more likely to fit the VC requirements. And thus they get funded.

If you look at the data, even the companies you mentioned, you can verify my claims: Hot industry, VC rush, Started by IIM or IIT guys typically from Consultant background. All co-founders were having beers where they were either deeply pained by the problem or they were deeply pained by their comfortable jobs paying them lakhs per month or Both. Also, check their media mentions. Media follows the same money trail.

Pick any 3 companies in 1 sector, for eg Furniture retail or the latest wave of rental startups. Check Co-founders background. All same. Then check the VCs and then check their investments. Again same type of investments.

Problem is not with IIT or IIM guys. Problem is the whole ecosystem works like that.

Do 1 more thing. Go deeper into this research. Find out the IIT guys who are not in these ‘hot industries’ marked by VCs. These guys would more likely be doing something worthwhile, fighting a bigger battle. Their startup would not be a copy cat, rather more Indian. Now check how many of these guys have raised funding. It will hardly be 1%.

Now, if you can, then do talk to these guys. You will get to know about the lone fight. How these guys cringe cry at the thought of VCs investing money in bike taxi startups or rental startups, when already 10 players are present? How everyday they try to justify to their parents and to themselves of the fact that they could be earning lakhs working somewhere else or joining one of those funded startups. Instead, they are just barely surviving, sometimes in debt, all because they have passion for the work they are doing. Some left by their gfs, some not getting married, at times, crying all alone in the night.

Then you will know why they say Entrepreneurship is tough!!

The final point being — Most IITians and people from any other college are sailing the same boat, facing the same tough fight. Just that media has projected and glorified only few outliers.