Furniture rental startup Furlenco has raised INR 16 Cr ($2.2 Mn) funding from its existing investor Chowdry Associates, which is Dabur family’s asset management firm. The funding is a part of Series C round.
As per the ministry of corporate affairs’ filing, accessed by Inc42, New Delhi-based Chowdry Associates has bought 6,53,871 Series C5 cumulative convertible preference shares (CCPS) in Kieraya Furnishing Solutions Private limited (Furlenco). Till now, Chowdry has already paid INR 4 Cr ($561 K) and has an outstanding amount of INR 12 Cr ($1.68 Mn).
Previously, the company raised INR 9 Cr ($1.26 Mn) in two rounds of debt funding held in July and August 2019. Chowdry Associates has invested INR 7 Cr for 700 debentures worth INR 1 Lakh. In March 2019 as well, Furlenco also raised INR 40.46 Cr ($5.84 Mn) in Series C.
As per the regulatory filings, Lightbox ventures has bought 340,649 shares worth INR 6.87 Cr and Chowdry Enterprises bought 340,005 shares worth INR 6.86 Cr. Four other investors had participated in the round too, who collectively bought 10,55,106 shares worth INR 8.4 Cr.
The company also raised total funding of $30.1 Mn (INR 195 Cr) in Feb 2018. Furlenco is backed by Lightbox Ventures, Axis Capital, Kris Gopalakrishnan’s Pratithi Trust, and Trifecta Capital, among others.
Furlenco was founded in 2011 by Ajith Mohan Karimpana. It is an online platform that rents furniture. Furlenco currently operates out of Bengaluru, Delhi/NCR, Hyderabad, Chennai, Mumbai, and Pune.
The furniture rental market is expected to grow aggressively between 2017 and 2024. The Indian furniture rental market is seen to be around $800-850 Mn.
The Indian furniture market is valued at $18 Bn (INR 1,294,06 Cr) furniture, out of this almost 85-90% is unorganised and offline. Online furniture retailers such as Urban Ladder, Furlenco, and Pepperfry cater to just 2% of the market.
Furlenco had a long dry phase in terms of funding. With the series of funding coming in, Furlenco might utilise the capital to significantly scale up and ensure it wins the war for survival in the furniture rental segment.
Furlenco’s competitor Rentomojo raised INR 27.74 Cr from Samsung Venture arm and Mitsui Sumitomo in its Series C funding round, in September 2019.