Elevation Capital-Backed B2B Marketplace Fashinza Bags $30 Mn Funding

AI-based B2B marketplace platform Fashinza has secured $30 Mn in a fresh funding round, which seems to be a Series C round, from Mars Growth Capital and Liquidity Group.

Fashinza plans to use the funding to strengthen its supply chain capabilities, expand business across the US, Gulf and Europe. 

Including the current fundraising, Fashinza has raised over $152 Mn in funding from different investors to date. 

Founded in 2020 by Pawan Gupta, Abhishek Sharma and Jamil Ahmad, Fashinza helps small and medium-sized enterprises digitise their production process using its mobile app. It also helps connect clothing manufacturers with supply chain partners working across the globe. 

The startup claims to have boarded more than 200 clothing manufacturers in various countries such as Bangladesh, India, Vietnam and China, as per its website.  

“Fashinza is transforming the global fashion supply chain. Their performance since inception, the strength of their founding team, and their existing global network of manufacturers and customers gave us enough confidence in their ability to scale this business and sustain in the medium- to long-term,” said Navas Ebin, managing director of APAC for Mars Growth Capital and Liquidity Group. 

Fashinza counts Nykaa, Forever21, Noon.com, FirstCry, The Souled Store, and Bewakoof.com as its clientele. It claims to have partnered with 250+ factories and serves more than 200 brands in the US, UAE, UK, Canada and India.

Its backers include Westbridge Capital, Elevation Capital, Accel, Prosus Ventures, Spearhead, Jake Zeller, Nitesh Banta, Jeff Fagnan and ADQ, among others. 

“With their flexible cross-border financing solutions and extensive knowledge of navigating international markets, we are confident that we can successfully penetrate new markets and provide our manufacturing solutions to key clients worldwide. At the same time, we remain committed to delivering exceptional service to our key customers in the US and beyond, as we continue to revolutionise the fashion manufacturing industry,” said, Abhishek Sharma, cofounder and COO of Fashinza.

In the last fiscal year (FY22), Fashinza clocked over 2X revenue growth at INR 30.66 Cr from INR 12.64 Cr in FY21. Its losses stood at INR 5.3 Cr in FY22, down from INR 6.3 Cr in FY21. Its total expenses stood at INR 37.9 Cr in FY22 against INR 19.8 Cr in FY21. 

In India, it competes with the likes of Bizongo, Zetwerk, Geniemode and Groyyo.