Tirunelveli emerges as a thriving startup hub


Tirunelveli, which has often been in the spotlight for caste issues, is now garnering attention for its burgeoning entrepreneurial ecosystem.

Over the past few years, more women from this region are breaking barriers and venturing into the start-up ecosystem. Data shared by the Tamil Nadu Startup and Innovation Mission (StartupTN) show that as on September 27, 2024, there were 405 start-ups in the Tirunelveli regional hub. Districts, including Tirunelveli, Tenkasi, Thoothukudi, Kanniyakumari and Ramanathapuram, constitute this hub.

A set of data collated by Thillai Rajan, professor of Management Studies at IIT-Madras through his YNOS Venture Engine, an information and analytics platform, showed that there were 207 start-ups in Tirunelveli. “ There are 88 start-ups with women as co-founders. About 43% of the start-ups have been founded or co-founded by women,” he noted.

Entrepreneurs in Tirunelveli say four key factors had contributed to the thriving start-up ecosystem. The first was the impact of the Zoho Corporation, which ushered in a wave of tech-driven ventures. Many start-ups in Tirunelveli are founded by individuals who had worked with Zoho. The second factor was the inherent entrepreneurial spirit of the people from this region. “Some of the popular retail brands in T. Nagar, Chennai, today were started by people from this region. Many people in the Silicon Valley are also from this region,” entrepreneurs here said.

Thirdly, the rising number of big companies in and around this belt, such as Tata Power and Bosch, contributed to the trend. This has boosted the confidence of entrepreneurs to set up operations in the region. And the fourth factor was the support from StartupTN, which has provided crucial resources, mentorship, and networking opportunities to local start-ups.

Sivarajah Ramanathan, CEO of StartupTN, said efforts had been made by the government to identify early stage start-ups and guide them. “We now have an exclusive office for this region, and a project lead has been stationed here,” Mr. Ramanathan said.

Start-ups from this region have also managed to get substantial funding. According to StartupTN, “Nine start-ups have been facilitated with funding in the region. Five are TANSEED beneficiaries, and two are Tamil Nadu SC/ST Startup Fund beneficiaries. One start-up received angel funding, whereas one got seed funding…”

Entrepreneurs here, however, said that despite the rising number of start-ups, securing investments was a challenge. One entrepreneur said early-stage founders in tier 3 cities struggle to secure micro-investments from venture capitalists.

They suggested that the government invest in research and development in colleges in the region.



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