Bengaluru-based online home furnishing startup HomeLane has raised $30 Mn in Series D funding. The round has been led by new investors Evolvence India Fund (EIF), Pidilite Group and FJ Labs, with participation from Sequoia Capital, Accel Partners and JSW Ventures.
With the current round, total funding raised by HomeLane stands at $46 Mn. The company will use the funds to launch renovation as a category, scale its proprietary design-to-manufacturing platform to more designers, vendors and installers; and expand to 8-10 new cities in India.
Srikanth Iyer, founder and CEO, HomeLane, said “With this investment, we will accelerate our expansion into newer markets, while further penetrating our current ones. We will also build a world-class offering for the $12 Bn home renovation market. Our focus on technology to improve both experience and efficiency for our consumers and design partners will continue, with significant investments in people and product.”
SpaceCraft, HomeLane’s cutting-edge virtual 3D design platform, will continue to see further investment, with the team leveraging AI/ML and augmented reality to deliver an almost real experience to homeowners. The RainMaker Group acted as the sole financial advisor to the company.
Founded in 2014 by Rama Harinath, Srikanth Iyer, and Vivek Parasuram, HomeLane is an online provider of home fit-out solutions. It offers personalised design service to customers through their panel of interior designers who work with them to customise the house designs. At present, it operates in Bengaluru, Chennai, Hyderabad, Mumbai and Delhi-NCR.
As an organised online home furnishing marketplace, HomeLane offers an industry-first 45-day delivery guarantee for fit-outs. It claims that the value proposition is solving the interior design problem with technology and predictable timelines. HomeLane claims to have delivered 6K projects since inception.
Tanuj Choudhry, Chief Business Officer, HomeLane, said “India’s home interiors market of $18 Bn has massive untapped potential. As a brand, we have built products & services that are relevant to the massive middle-market segment, and can transcend geographies. With this round of investment and such an accomplished group of investors, we will double-down on establishing our brand across existing and new markets. We will exit FY20 at an ARR of INR 700Cr and are on track to getting to company-wide profitability in early FY21.”
In addition to creating 3D renditions of a space, HomeLane’s virtual design platform SpaceCraft also offers a real-time pricing engine which helps customers keep track of their potential spending, and it also offers the option of interacting with a professional interior designer. But it’s not all cold hard tech.
HomeLane offers its products to a more affluent set of customers with the average ticket size said to be around INR 6 Lakh to INR 8 Lakh.
Other major startups like operating in this space include Urban Ladder, LivSpace, Pepperfry and FabFurnish which are taking the home interiors to a different level. The market for home interiors and renovation in India today is estimated to be between $20 Bn- $30 Bn.