New Delhi-based B2B food commodity startup TechnifyBiz, on Tuesday (January 14), announced that it has raised $2 Mn (INR 14.16 Cr) in seed funding from social impact venture capital firms Omnivore and the Insitor Impact Asia Fund.
The round also witnessed the participation from cofounders of Razorpay Shashank Kumar and Harshil Mathur; existing investors like R Narayan (Power2SME), Rajnish Gupta (Aakash Namkeen) and Indigram Labs.
The company will be utilising the funding to expand its client and customer base across Bihar, Karnataka, Maharashtra, Jammu and Orissa.
TechnifyBiz was cofounded by Akash Sharma and Abhishek Agarwal in 2017. The company has developed a digital B2B marketplace for non-perishable food commodities such as nuts, dry fruits, speciality grains and honey. It works closely with SME food processors and farmer groups. TechnifyBiz’s B2B marketplace offers a unique experience to all the stakeholders involved in the ecosystem by enhancing the efficiency of the process across the food and agri value chain, and deliver quality products and quick deliveries to its customers.
TechnifyBiz has recorded a monthly revenue run rate of INR 10 Cr and will be crossing INR 75 Cr of sales revenue in FY19-20, compared to FY18-FY19 where the sales revenue was at INR 15 Cr, a 5x raise.
According to an April 2017 report by the Confederation of Indian Industry and Deloitte, the overall B2B market size is expected to grow at around $700 Bn by 2020. Currently, the market is mushrooming with a lot of startups, including IndiaMART, Udaan, Jumbotail among others. On the other hand, this is also attracting a lot of angel investors and early-stage investors to invest in the space.
In November 2019, Bengaluru-based online B2B marketplace for food and grocery, Jumbotail raised INR 14.2 Cr from an existing investor, Nexus Venture Partners.
In the same month, Hyderabad-based B2B enterprise foodtech marketplace, Food n i also raised an undisclosed seed round from a group of angel investors like founder and CEO of Go North Ventures Sanjay Jesrani; CEO of Acko Varun Dua; and CEO of Coverfox Premanshu Singh among others.