Starting a company is challenging, but once a startup becomes successful, how much do its founders earn? In India, startup founders’ salaries can vary widely, from modest incomes to massive paychecks. However, in the financial year 2023-24 (FY24), founder salaries saw a significant drop due to tough economic conditions and the ongoing funding winter.
In this article, we will dive deep into startup founder salaries in India, revealing who earned the most, how salaries changed from the previous year, and what factors influence these earnings.
Stay tuned!
What is a Startup Founder’s Salary?
A startup founder’s salary is the amount of money the founders of a startup company pay themselves for their work. Unlike established businesses, startups don’t always have steady revenue, so founders must carefully decide how much they should earn. Some choose to take home big paychecks, while others keep their salaries low to ensure their business survives.
How Are Startup Founder Salaries Decided?
Several factors influence how much a startup founder earns, including-
- Funding & Investment – If a startup has raised millions in funding, the founders might take a higher salary. However, in times of low investment (often called a “funding winter”), salaries tend to drop.
- Company Growth & Revenue – If the startup is generating profit, founders may take home more money. However, if the company is struggling, they may cut their own salaries.
- Industry & Market Trends – Tech startup founders often earn more than founders in traditional industries because of the high revenue potential.
- Stage of the Startup – Early-stage founders (just starting out) usually earn less than those running mature, profitable startups.
How Much Did Indian Startup Founders Earn in FY24?
The total salary payout to startup founders in FY24 was INR 291.5 crore, spread across 54 founders from 30 companies. However, the average salary for founders dropped by 25.4%, from INR 7.3 crore in FY23 to INR 5.44 crore in FY24.
Why Did Founder Salaries Drop?
In recent years, startups have been riding high, with billions in funding flowing into the ecosystem. However, since 2022, funding has dried up due to several global and local economic challenges:
- Decline in startup funding: From $42 billion in 2021 to just $10 billion in 2023.
- The global economic slowdown and the Russia-Ukraine war.
- Investors tightening budgets, forcing startups to cut costs.
With less money coming in, startups had to reduce expenses—this meant lower salaries for founders, layoffs, and budget cuts in marketing and operations.
Now, let’s take a closer look at who earned the most and how their salaries changed in FY24.
Top 10 Highest-Paid Startup Founders in FY24
| Founder | Company | Salary (INR Crore) | Change from FY23 |
| Shubham Maheshwari | FirstCry | 103.8 crore | ↓ 50% (from INR 200.7 Cr) |
| Nikhil Kamath | Zerodha | 33.9 | ↓ 29% (from INR 48 Cr) |
| Nithin Kamath | Zerodha | 33.5 | ↓ 30% (from INR 48 Cr) |
| Aneesh Reddy | Capillary Technologies | 13.3 | ↑ 1480% (from INR 0.84 Cr) |
| Bhanu Chopra | Rate Gain | 5.8 | ↓ 5% (from INR 6.1 Cr) |
| Vijay Shekhar Sharma | Paytm | 4.4 | ↑ 10% (from INR 4 Cr) |
| Varun Alagh | Mamaearth | 3.97 | ↑ 166.4% (from INR 1.49 Cr) |
| Ghazal Alagh | Mamaearth | 1.79 | ↑ 80.8% (from INR 0.99 Cr) |
| Sahil Barua | Delhivery | 2.89 | New Addition |
| Bhavish Aggarwal | Ola Electric | 2.87 | New Addition |
Note: We have already covered the founder salaries of major Indian startups in the fiscal year 2023. For more details, visit the article “Founder Salaries of Major Indian Startups- FY23”.
Startup Founder Salaries in India: Detailed Look
In this section, we will go through the details of startup founder salaries in India-
1. Supam Maheshwari (FirstCry) – INR 103.8 Crore
The highest-paid startup founder in India, Supam Maheshwari, took home INR 103.8 crore in FY24. However, this was a massive 50% drop from the INR 200.7 crore he earned in FY23.
- His salary includes short-term benefits and share-based payments.
- FirstCry reported INR 6,480 crore in revenue but a loss of INR 321.5 crore.
2. Nikhil & Nithin Kamath (Zerodha) – INR 33.9 Cr & INR 33.5 Cr
The Kamath brothers, founders of Zerodha, were second and third on the list. Their salaries dropped by nearly 30%, from INR 48 crore each in FY23 to INR 33.9 crore (Nikhil) and INR 33.5 crore (Nithin) in FY24.
- Total compensation (including other income): INR 96 crore each.
- Zerodha’s profit in FY24: INR 5,496.3 crore.
3. Aneesh Reddy (Capillary Technologies) – INR 13.3 Crore
Aneesh Reddy saw the biggest jump in salary—his earnings increased by 1,480% from INR 0.84 crore in FY23 to INR 13.3 crore in FY24.
- His share-based payment declined from INR 23.1 crore to INR 0.5 crore.
- Capillary Technologies raised $140 million in Series D funding.
4. Bhanu Chopra (RateGain) – INR 5.8 Crore
Bhanu Chopra, founder of RateGain, earned INR 5.8 crore in FY24, a 5% drop from INR 6.1 crore in FY23.
- Revenue increased by 69% to INR 957 crore.
- Net profit doubled, rising 114% to INR 146.3 crore.
5. Vijay Shekhar Sharma (Paytm) – INR 4.4 Crore
The Paytm founder and CEO earned INR 4.4 crore in FY24, up 10% from INR 4 crore in FY23.
- Paytm cut costs and improved profitability despite market challenges.
- Sharma is also one of India’s most active angel investors.
6. Varun & Ghazal Alagh (Mamaearth) – INR 3.97 Cr & INR 1.79 Cr
Varun Alagh, CEO of Mamaearth, saw his salary rise by 166.4%, from INR 1.49 crore to INR 3.97 crore. His wife and co-founder, Ghazal Alagh, also received a raise of 80.8%, from INR 0.99 crore to INR 1.79 crore.
Mamaearth generated INR 1,919.9 crore in revenue with a profit of INR 110.5 crore.
Why Some Founders Earn More Than Others?
Not all startup founders take home massive salaries. Some prefer to keep their pay low and reinvest profits into the business. Here’s what influences founder salaries:
1. Funding & Investment
- Venture-backed startups often have higher salaries for founders.
- Bootstrapped companies (like Zerodha) focus on profitability rather than high paychecks.
2. Business Profitability
- Companies like Zerodha and Mamaearth increased profits, so their founders took home more.
- Loss-making companies like FirstCry still paid high salaries but had to cut back.
3. Market Conditions
- In the funding winter, many founders reduced salaries to cut costs.
Should Startup Founders Pay Themselves High Salaries?
This is a big debate in the startup world. Some people believe founders should take a high salary because they work hard and take risks. Others argue that founders should keep their salaries low and reinvest in the business.
Reasons for High Founder Salaries
- Attracting Talent – A high salary makes the startup more competitive.
- Financial Stability – Founders need to support their families too.
- Reflecting Company Value – If a startup is making big profits, the founders deserve a good salary.
Reasons for Low Founder Salaries-
- Reinvesting in the Business – More money can go into hiring, marketing, and growth.
- Gaining Investor Trust – Investors prefer founders who take less money and focus on business success.
- Setting an Example – If a company is struggling, a high founder salary may look bad.
How Do Startup Founder Salaries Compare Globally?
Let’s compare Indian startup founder salaries with global founders-
| Country | Average Startup Founder Salary (USD per year) |
| USA | $150,000 – $300,000 |
| UK | $100,000 – $200,000 |
| India | $100,000 – $200,000 (approx. INR 83 lakh – 1.6 crore) |
| Germany | $90,000 – $180,000 |
As you can see, Indian startup founders earn less than their US counterparts. This is because US startups receive more funding and generate higher revenues.
Lessons from Successful Startup Founders
If you’re thinking about starting your own business, here are some lessons from successful startup founders:
- Keep Your Salary Low at First – Most successful founders took a small salary in the beginning.
- Increase Salary as the Company Grows – Once your business starts making profits, you can raise your salary.
- Be Transparent with Investors – If you take a big salary, make sure investors agree with it.
- Balance Personal and Business Needs – Pay yourself enough to survive but not so much that your startup suffers.
Final Thoughts: Are Startup Founder Salaries Justified?
Some argue that founders deserve high paychecks because of the risks they take. Others believe excessive salaries can harm a startup when it’s still growing.
If you’re a startup founder, ask yourself- “Am I paying myself fairly while ensuring my company’s success?”
Finding the right balance is the key to long-term success!
