Investor interest in offline sports startups is showing signs of revival as participation in organised sports rises and business models in the sector mature. After attracting a modest $8 million in funding in 2024, startups operating in the offline sports space raised $14.7 million in 2025, according to data from Tracxn. The sector had peaked earlier in 2023, when funding stood at $73.9 million.
Industry executives told Fe that the renewed interest reflects a broader shift in how sports is being perceived in the country, from a discretionary pursuit to a structured consumer and education-led business. “More people now view sports not just as a hobby but as a lifestyle or income stream, fuelling demand across coaching, training, physiotherapy, nutrition and allied services,” Arjun Singh, partner and sports industry leader at Grant Thornton Bharat, said. These shifts, he said, have turned sports into a high-growth sector that is drawing institutional capital.
The rising inclination towards sports, particularly among parents, is expanding opportunities across both B2C and B2B segments. Startups are building academies, developing sports infrastructure in housing societies and dedicated centres, and offering equipment and technology such as wearables and performance analytics. There are currently over 1,700 sports startups operating across these segments.
Key Funding Rounds and Strategic Platforms
Funding rounds over the past year underline this trend. In November 2025, Sports for Life (SFL), founded by DealShare co-founder Sourjyendu Medda, raised Rs 21.57 crore in a Series A round led by Fireside Ventures and Genesia Ventures, with participation from Roots Ventures, TDV Partners and existing investors. SFL operates a youth sports platform that integrates academies, leagues and a technology layer.
“The sector is increasingly seen as a long-term consumer and education play rather than a niche passion economy,” Medda said. Investor backing, he added, reflects confidence in platforms that combine physical infrastructure with technology and show predictable retention. SFL claims it recorded a threefold increase in revenue over the past year, driven by higher enrollments and repeat participation across its academies and tournaments.
What did founder and chief executive of 35North Ventures say?
Investors tracking the space point to improving unit economics as a key factor. Milan Sharma, founder and chief executive of 35North Ventures, said startups are reporting retention rates of 60–70% in Tier-2 cities, where sports infrastructure gaps remain significant. The firm is monitoring a strong pipeline of companies in niche areas such as racquet sports, combat sports and healthcare-focused fitness. Sharma said lower capital requirements, asset-light models and founders with deep domain expertise are reducing execution risks.
B2B Revenue Streams and Corporate Wellness
The sector is also benefiting from corporate wellness programmes and CSR-linked spending, which provide additional B2B revenue streams. Franchise and partnership-led models are helping lower entry barriers and expand reach beyond metros.
Infrastructure-focused startups are also attracting capital. Michezo Sports recently raised $2.5 million in a pre-Series A round led by Centre Court Capital and Rainmatter. Founder Maharishi Sridhar said the company has executed more than 350 projects for over 175 clients since 2019 and is currently growing at over 50% year-on-year, supported by repeat demand from schools, clubs and institutional clients.
As participation broadens and business models stabilise, investors and founders alike say offline sports is emerging as a sector where personal passion aligns with scalable opportunity.