12,079 insolvency announcements collected from the Insolvency and Bankruptcy Board of India, including 7,041 corporate insolvency resolution processes. Failure is the part of the record nobody publishes.
Funding is reported obsessively and failure is reported almost not at all. The Insolvency and Bankruptcy Board of India publishes every public announcement of a corporate insolvency, and we have been collecting them. There are 12,079 in our records, of which 7,041 are corporate insolvency resolution processes.
Commencements by year
This counts every corporate debtor IBBI announces, not startups. India's insolvency framework covers companies of every age and size, so the great majority of these are not venture backed businesses. It is a picture of corporate distress in India, which is a different and larger thing.
Why it belongs beside the funding numbers
Every funding tracker measures money going in. None of them measures the companies that stop. Entrackr, which does count this, reported startup shutdowns at a three year high of 28 companies in 2025, against 17 in 2024 and 15 in 2023. It also reported layoffs falling to about 3,800 employees across 24 companies in 2025, from 4,700 in 2024 and 24,000 in 2023.
Those two facts point in opposite directions, and both are probably true: fewer people are being laid off while more companies are closing outright. Companies that have already shrunk have fewer people left to lose.
The liquidity that did not arrive
Employee share buybacks, the main route by which staff at private companies turn equity into money, fell from about $190 Mn in 2024 to about $65 Mn in 2025 on Entrackr's count, roughly a two thirds drop in a record IPO year.
Our 12,079 announcements come from IBBI's own public filings. We do not link them to our company records, so we cannot tell you how many involve startups in this database. We are not going to estimate it.
Sources
Insolvency and Bankruptcy Board of India. Public announcements. collected continuously. https://ibbi.gov.in/en/claims/public-announcement
Entrackr. Indian startup funding drops 10% to $13 Bn in 2025. 30 December 2025. https://entrackr.com/report/annual-funding-report/indian-startup-funding-drops-10-to-13-bn-in-2025-but-ipo-count-hits-record-18-10958045
Entrackr. Indian startups bounce back with $14.4 Bn funding and 13 IPOs in 2024. 2 January 2025. https://entrackr.com/report/annual-funding-report/indian-startups-bounce-back-with-144-bn-funding-and-13-ipos-in-2024-8585272
StartupOriginals Research (2026). The Insolvency Record: What the IBBI Filings Show. Generated 30 July 2026.
The StartupOriginals research desk.
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