Leaders for India Organization unites startup entrepreneurs, investors to drive mutual growth

Leaders for India Organization (LIO) is a multi-sectoral business facilitator, startup accelerator and an angel investment platform with a special focus on lands, investments and wealth management. It adds members from varied backgrounds like business, corporate, arts, politics, movies or sports with a common passion for growth through networking. Currently, it has around 100 members.

The Hyderabad-based organisation believes in setting up a strong community and leveraging synergies to quickly infuse cash into business opportunities or companies to scale new heights. In an exclusive interview with Bizz Buzz, LIO Founder & CEO Mohnish Yerra reveals that they have completed deals to the tune of over Rs 20 crore over the last 18-month period.

His personal investment vehicle - MYCap Investments holds a portfolio of 18 companies. This experience shaped his vision and determination to make a meaningful impact on the startup and investment landscape that drives LIO. He was recognised as one among the top 10 most dynamic entrepreneurs of this year by The Indian Alert

How LIO was started and what is the main objective of this platform?

Soon after my engineering graduation, I have worked in California, US for five years. During that time, I realised there was a lot of openness among the people. It was both interesting and unique. I wanted to start a similar culture in Hyderabad. Coming back to India, I have founded Hyderabad Cricket Club in 2017 to bring passionate like-minded people together.

This helped me in networking with high-net-worth individuals (HNIs). With a vision to change the business ecosystem and a passion to cultivate leadership, I have set up Leaders for India Organization (LIO) in June, 2022 to form a business-first community having industry leaders across all sectors including education, healthcare, technology, sustainability, real estate and construction.

I have established LIO as a platform that empowers dynamic entrepreneurs with the resources and support they need to drive positive change through their innovative ideas. This is a member-only community that unites business tycoons, startup entrepreneurs and angel investors by harnessing their collective resources to drive mutual growth.

LIO acts as a business accelerator and a startup incubation platform offering personalised one-on-one support based on unique professional needs and aspirations through effective networking and mentorship. Its motto is – invest, innovate and impact, with a steadfast commitment to nurturing the ambitions of emerging entrepreneurs.

How many members LIO has so far? What is the target ahead?

LIO has become a key player in the entrepreneurial landscape. It has firmly positioned itself as a trusted partner for wealth creation, and extending financial support. In the past 18 months, it has secured a membership of 101 business leaders with an investment portfolio exceeding Rs 20 crore in 16 diverse business opportunities. The combined net worth of the overall members will be about Rs 25,000 crore.

The net worth of each member varies from Rs 100 crore to Rs 5,000 crore, but it is not the criteria in choosing a member. We accept only the decision maker of the company having disposable income of Rs 25 lakh per annum and above. We add new members every three months. We have set up a very diligent process to bring a new member into the community.

We make sure that there is a strategic alignment between the community and the joining member so that both parties are able to add value to each other. With this membership, the business entrepreneurs get access to meet the HNIs and raise funds within 30 days, while the investors (we call them LIO ambassadors) instantly able to generate value and get the stake in new business opportunities at slightly discounted prices.

Our platform not only injects capital but also nurtures budding concepts into thriving enterprises. To diversify the portfolio, it has forayed into the lucrative real estate sector by allocating Rs 8 crore towards real estate investments. LIO has also excelled in wealth management, overseeing Rs 9.05 crore in assets to ensure the financial well-being of members.

Currently, LIO operates in Hyderabad and has recently started accepting memberships and organising events in Bengaluru. Over the next three years, our goal is to reach at least 1,000 members across major cities of India including Indore, Delhi NCR and Mumbai. Additionally, we want to expand our presence to London, UK. Already, we have some members from the US who are NRIs from Hyderabad.

What is the revenue model? Is there a membership fee or such?

We generate revenue in three major ways – membership cost, sponsorships & branding and investment banking (success) fees. The membership fee is Rs 3 lakh plus GST for 10 years. We support our members as an extended team in all their business activities right from hiring a director to evaluating their brand. We charge a fee of 2-5 per cent on the deal value. Generally, the deal size varies from Rs 50 lakh to Rs 4 crore.

We help the startups in fund raising during pre-series and bridge rounds. Also, there are multiple other benefits of the membership such as access to several restaurants and resorts all over India. We are also working on LIO App - a digital platform that will empower our members by providing access to investment opportunities, event scheduling, and portfolio management - all at their fingertips.

How is LIO helping startups particularly? Do you think startup entrepreneurs can afford the membership fee?

The membership fee is the same for everyone, including me. The startups have no concessions in this. Of course, they enjoy various deliverables after coming into the community. LIO plays several roles within the startup ecosystem. As a business accelerator, it guides the entrepreneurs through the intricate paths of business development. It provides strategic insights to navigate the complex world of finance.

As a startup incubator, LIO offers essential support and resources to nurture budding businesses. As a technology consultant, it assists the startups in leveraging cutting-edge solutions to maintain their competitive edge. To foster mutual growth, LIO organises monthly events to provide startups with valuable platforms for presenting ideas, securing investments, and exploring markets.

LIO hosts three events monthly – LIO Business Shower, LIO Recreational Events and LIO Day. The recreational events increase touchpoints and networking opportunities for the members. LIO Day is dedicated to one-on-one sessions with each member, aiming to understand their current investment plans and facilitate synergies.

Notably, five startups in which we initially invested, particularly within the defensetech and edtech sectors, have made significant progress by achieving impressive valuations in subsequent funding rounds, with some doubling their initial valuations. This highlights the substantial growth and potential of the startups we've supported.