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Common challenges in financial modeling for Indian startups include:

Data Accuracy: Ensuring reliable and accurate data for projections. This can be overcome by thorough market research and using industry benchmarks.

Assumption Validation: Making realistic assumptions about growth rates, costs, and market conditions. Startups should validate assumptions with industry experts and historical data.

Complexity Management: Keeping the model simple yet comprehensive. Using financial modeling software and templates can help streamline the process.

Scenario Analysis: Accounting for various business scenarios. Startups should create best-case, worst-case, and most-likely scenarios to prepare for different outcomes.

Constant Updating: Regularly updating the financial model to reflect current business conditions and market trends.

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Rohan Saharawat

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