IIM-B incubator NSRCEL tops $7 bn startup value, bets on AI-led expansion

NSRCEL plans specialised sector centres and AI-enabled learning tools to expand its entrepreneur network from around 238,000 to more than one million

More than 3,000 startups incubated at the Nadathur Sarangapani Raghavan Centre for Entrepreneurial Learning (NSRCEL), the entrepreneurship arm of the Indian Institute of Management Bangalore (IIM-B), have created over $7 billion in enterprise value since the centre's founding in 2000. Those startups have also generated more than 35,000 jobs, according to the institute.

 

As NSRCEL enters its next phase, the incubator plans to focus on artificial intelligence, deep technology and global partnerships as it looks to expand its reach. It aims to introduce AI-enabled learning pathways offering round-the-clock, personalised support for entrepreneurs, with the goal of increasing engagement from about 238,000 entrepreneurs to more than one million.

 

NSRCEL has evolved from a traditional academic incubator into a multifaceted ecosystem bridging management theory and venture scaling, with its impact extending well beyond the IIM-B campus. In fiscal 2025 alone, the incubator supported more than 720 ventures across 24 states through a hybrid digital-physical model, while expanding partnerships with government agencies and corporate backers including Hindustan Unilever, Goldman Sachs, and Capgemini.

 

“Our vision is to create a future-ready incubator that adapts to the evolving needs of entrepreneurs,” said Rasika Prashant, chief executive officer, NSRCEL.

 

That adaptability is built on what NSRCEL describes as an 'open architecture' model. The incubator draws on a network of more than 100 mentors and a so-called 'Startup Kit' of over 116 product and service providers to support founders. It has also expanded partnerships to strengthen the broader startup ecosystem, including the Sbif Leap (i-Cube) initiative to build incubation capacity in underserved regions such as Northeast India, collaborations with T-Hub and IIT-Delhi's Foundation for Innovation and Technology Transfer (Fitt) to share resources and mentor networks. It also has a partnership with Deloitte India to develop modules on governance, taxation, and mergers and acquisitions.

 

During 2024-25, NSRCEL shifted its strategy toward building hyper-specialised Centres of Excellence (CoEs), reflecting the view that startups in different sectors require tailored support rather than a one-size-fits-all incubation model. That shift is most visible in NSRCEL's new sector-specific centers.

 

One flagship initiative is a FinTech Centre of Excellence, approved by the Karnataka government with a five-year commitment of ₹13.24 crore. Of this, over ₹8 crore has been earmarked for incubation and acceleration, while ₹5 crore will support skilling and training through IIMBx.

 

Alongside fintech, sustainability has become a second pillar. NSRCEL has positioned itself as a hub for sustainability and circular economy startups, aligning with IIM Bangalore's net-zero commitments. Its portfolio includes Angirus IND, which makes bricks from 100 per cent recycled plastic; WeVOIS, an Internet-of-Things-driven waste-management startup that has raised ₹36 crore in Series A funding; and Hala Mobility, an electric-mobility platform that has secured ₹51 crore in a pre-Series A round.

 

The commercial potential of NSRCEL-backed startups has also been reflected in investor interest and national exposure. Several NSRCEL-backed startups have appeared on Shark Tank India, including Chokhat Home and Tickle Your Art, which secured equity investments, and Klimate, known for its wearable personal cooling technology.

 

Several portfolio companies also attracted fresh capital in 2024-25. The Energy Company raised $2 million to expand its battery intelligence and electric vehicle solutions, while FluxGen secured ₹28 crore in a funding round led by investors including Rainmatter by Zerodha. Circular economy startup Ukhi raised $1.2 million, and medtech venture Anatomech received an Indian patent for its KUE compression sleeve.

 

NSRCEL has also expanded its efforts to support women entrepreneurs through dedicated incubation and training programs. During 2024-25, its Women Startup Programme supported 341 founders from the ideation stage to proof of concept, while the Goldman Sachs 10,000 Women initiative worked with 391 entrepreneurs to help them scale their businesses. In partnership with the National Commission for Women, the incubator has also supported a cumulative 1,470 women entrepreneurs across the country.

 

NSRCEL has expanded its focus on social impact and sustainability startups as well, supporting ventures such as Mitti Café, which creates employment opportunities for people with disabilities. "We are thankful to IIM Bangalore and our donor Arcesium for helping us open the café," said Alina Alam, CEO and founder, Mitti Café. There are currently more than 35 Mitti Cafés in operation in institutions and public spaces, including Rashtrapati Bhavan and the Supreme Court of India.

 

Its Swavalambane programme, launched in 2022 with Karnataka's State Rural Livelihood Promotion Society, has helped rural women entrepreneurs by providing funding access, mentorship and business development support. The inaugural cohort drew more than 40,000 applications from 26 districts, with 150 ventures selected for incubation.

 

NSRCEL's social entrepreneurship platform, Impact Orbit, has supported 131 technology-enabled social ventures since its launch in 2017 with Capgemini, focusing on education, employability and the environment. The programme has expanded to Tier-3 and Tier-4 cities across more than 20 states, with women leading 42 per cent of the ventures. Collectively, the startups have created more than 14,000 jobs and reached over 2.3 million people, according to an independent impact assessment released in November 2024.

 

As it moves into its next phase, NSRCEL is betting that artificial intelligence and specialised sector support, rather than scale alone, will define its next 25 years.