YC Backed Explorex Bags $5 Mn Funding To Help Restaurants Digitise Operations

Restaurant-focused full stack SaaS startup Explorex has raised $5 Mn in a seed funding round led by Super Angel’s Taher Savliwala, Twitch cofounder Kevin Lin, Fitbit CEO James Park, Oura’s Harpreet Rai and Relationship hero cofounder Liron Shapira.

The startup will use the funding to ramp up product development and scale up growth-related initiatives. Explorex will also deploy the investment to fuel its expansion in metros such as Mumbai and Delhi.

Speaking on the announcement, Explorex’s chief executive officer (CEO) and cofounder Mainak Sarkar said, “Our ecosystem solution is not only helping restaurant owners make more money, but also enabling them to provide their staff with a much better workplace experience as well as providing their customers with an enhanced dining experience.”

“What compelled me to take a large bet on these guys was their deep understanding of their customers. COVID has accelerated the adoption of specific technologies, such as QR codes for menus. Combining this with the growing market in India and a customer-focused founding team, this seemed like a no-brainer bet”, added Taher Savliwala.

Founded in 2020 by IIT Kharagpur-alumni Sarkar and Pritam Khan, Explorex is a B2B SaaS startup that enables restaurants to digitise their operations. 

It enables local eateries to automate order placements, implement mobile point of service (PoS), integrate third-party delivery platforms, enable digital menus and deploy staff and inventory management systems.

The fundraise comes barely six months after the startup raised $1.5 Mn in pre-seed funding from HOF Capital, Smaregi, Pioneer Fund and others. Prior to the announcement, the startup had raised $6 Mn in funding from multiple investors. Including the current round, the startup has raised $11 Mn in total funding till date.

The idea was germinated at the height of the pandemic back in 2020 after the founders witnessed that abrupt shift to digitisation process amidst lockdowns that broke the back of Indian eateries. 

Backed by Y Combinator, Explorex currently has a presence in more than 15 cities and caters to more than 100+ customers, including Bengaluru-based pubs Levitate and Loft38.

Explorex locks horns with players such as Petpooja, UrbanPiper and ToastPOS in the restaurant-focused SaaS space.

The Bengaluru-based player operates in the overarching SaaS sector. While the eatery-focused enterprise offerings still continue to be nascent in terms of competition, the SaaS industry has seen a large inflow of capital. 

According to an Inc42 report, enterprisetech startups raised $423.5 Mn across 58 funding deals in the third quarter (Q3) of the calendar year 2022 (CY22). In total, the Indian enterprisetech domain has seen startups raise $11.8 Bn across 1,440 deals between 2014 and Q3 2022.