Mumbai-headquartered interior design startup Flipspaces, on November 21, announced a fresh round of debt funding. The company said it has raised $1.15 Mn venture debt from Unitus Capital Inclusive Credit (UCIC) and Alex Group of Companies.
Kunal Sharma, CEO and founder, Flipspaces told Inc42 that the funds will be used to expand into international markets while growing its Indian business units. The company will also invest in the enhancement of its virtual reality technology for better consumer experience. Flipspaces has earlier raised $3.5 Mn in Series A funding from Carpediem Capital.
Founded in 2015 by Kunal Sharma and Ankur Muchhal, Flipspaces offers an end-to-end solution for designs for office spaces. The company claims to leverage a technology suite backed by virtual reality and gaming engine-based technology.
In simple words, Flipspaces offers a one-stop solution for discovery, design and delivery of commercial spaces. It focuses on providing a tech-enabled approach to design visualization and efficient interior design project management.
In the design part, VR technology helps the company show customers what kind of space it would be, helping them in visualization of the property.
The company claims to have executed projects of revamping more than 3 Mn square feet of commercial spaces for various Fortune 100 companies and MNCs such as BSH, Times of India, Aditya Birla and startups such as Coverfox, Finxy, AasaanJobs, TinyOwl, and Razorpay etc.
Sharma told Inc42 that the company closed FY19 with INR 55 Cr of revenues and aims to close FY20 with around INR 120 Cr. He emphasised that the company has no cash burn and is profitable on EBITDA level.
Prannay Sureka, Managing Director, Alex Group of Companies said that Flipspaces has 40% of the repeat customers and 20% of the referral customers. The company has an average ticket size of INR 80 Lakh to INR 1 Cr.
Kunal Sharma, CEO and founder of Flipspaces said, “We plan to expand to three more business units in India and upscaling our business operations to two cities in the US, delivering a differentiated customer experience through cutting-edge web and VR technology.”
Sharma claimed that the company is “inherently profitable and hugely capital-efficient brand and hence, can afford to leverage debt as an instrument for growth.”
Abhijit Ray, cofounder and Managing Director, Unitus Capital Inclusive Credit said, “Having invested in a few early-stage startups, there is greater scope and potential in Flipspaces in how they help brands across different sectors to freezing an office space mapped as per a suitable location, budget, and aspirations with the help of structured tech and data-driven approach in a cost-effective manner with great conceptualization and execution.”
Technology-enabled design startups are taking interiors places in India to a different level with their cutting-edge designs and end-to-end services. And it means a plethora of options for well-travelled and new-age Indians, who are looking for a seamless experience and world-class designs while setting up their workspaces.
In the home-design space, companies such as Livspace and Homelane have been leveraging new-age technologies to bring touch and feel to the customers. While solving for office space is a niche forte, how Flipspaces continues its next phase of growth remains to be seen.