Taxation of startup exits needs a revisit: 3one4 Capital's Pranav Pai

The taxation policy disincentivises Indian capital from investing in local startups in two ways

Founded by Pranav Pai and Siddarth Pai, 3one4 Capital has been able to attract top-tier global and Indian investors with capital under management at over Rs 1,550 crore. A creative twist on Pai and the formula p, 3one4 has backed some of the fastest-growing startups and portfolio companies have raised over Rs 2,400 crore in follow-on funding. PRANAV PAI spoke to Raghu Mohan on the fintech ecosystem. Edited excerpts:

Fintechs have caused major disruptions to legacy players, but are not yet profitable. What explains this dichotomy?

Common to startups anywhere in the world is that they will primarily spend capital in three