Why Ashneer Grover is a Failed Entrepreneur : From BharatPe to CrickPe

A known face and figure in the Indian startup ecosystem is Ashneer Grover, who shot to fame as the co-founder of BharatPe, a unicorn fintech firm. However, his shift from being feted and celebrated to controversy and talk of him being one of the “worst entrepreneurs” today has brought to light some sordid instances of financial impropriety, bitter litigation, and underwhelming ventures, such as CrickPe.

Ashneer Grover’s Rise and Fall in BharatPe

Ashneer Grover founded BharatPe in 2018 as a fintech platform for small merchants that accepts digital payments. BharatPe grew into a unicorn during his term and eventually crossed $2.85 billion valuation by 2021. However, things started going awry late 2021 when allegations of financial irregularities began to emerge.

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A forensic audit revealed misuse of funds, including inflated vendor payments and fictitious invoices, leading to accusations of fraud involving ₹88.6 crore (approximately $11 million). This scandal culminated in Grover’s resignation in 2022 and his wife, Madhuri Jain Grover, being dismissed from her role as Head of Controls.

Grover’s exit was heavily surrounded by legal battles. The company sought damages, and the Economic Offenses Wing arrested allies of Grover for which the case escalated further. By 2024, a settlement was reached where Grover served an all-clear letter to the company.

CrickPe: A Mistake in Fantasy Sports

Following a dramatic split from BharatPe, Grover founded Third Unicorn, an incubator for innovative projects. Its first project, CrickPe, is a fantasy cricket product that was introduced in the 2023 season of IPLs.

This application was unique with its value proposition of rewarding real-life cricketers for their performance. The app, however, couldn’t manage to do well against the strong established players like Dream11 and MPL.

Technical failures during its release and subsequent postponements due to personal challenges, like the passing of Grover’s father, contributed to the app’s struggle in attracting users.

Instead of the novelty that Grover envisioned, the app could not break into significant market share nor maintain any level of user interest.

Recurring Patterns in Leadership Style

According to critics, the troubles surrounding Grover have his roots in a combative leadership style and the failure to work with stakeholders.

His publicized tussle with BharatPe’s board revealed a history of struggle characterized by Grover’s confrontational personality. Other audio leaks with Grover insulting a bank employee have only added to the ugly perception of Grover as a divisive figure.

Financial Cost

Grover’s ventures have not delivered expected financial returns. The CrickPe, while launched alongside the popular IPL-auctioned Team, did not bring in expected cash flows.

BharatPe, on the other hand, continues to grow under new management, with fresh reports indicating an increase in its merchant base and transaction volume after he left. This is a reflection of Grover’s inability to repeat the early successes.

What Next?

Although Grover is a contentious figure, there is no indication that he is going to withdraw from entrepreneurial life. His outspoken nature and ability to attract attention may fuel further projects, but whether he will be able to gain investor trust and public trust again remains in doubt.

Ashneer Grover’s story from BharatPe to CrickPe is a cautionary example of how fast success can become unhinged because of inner conflicts, financial malpractice, and strategic mistakes.

Though his ambition was initially rewarded with loud acclaim, sustaining long-term success requires qualities of collaborative leadership, ethical practices, and market alignment in which Grover has been woefully short.

By learning from them, such aspiring entrepreneurs would better navigate the complexities of building and sustaining successful ventures. Grover’s story again emphasizes that innovation must be coupled with integrity and adaptability to thrive in the competitive startup ecosystem.