Sportstech startup Machaxi raises Rs 4.8 crore in pre-Series A round; Know about the startup

Bengaluru-based sportstech startup Machaxi has raised Rs 4.8 crore in a pre-Series A funding round led by Inflection Point Ventures, a Gurugram-based angel investment firm.

According to the company's statement, the raised capital will be used to develop technology for user analytics and sports shopping, expand the sports shop vertical, and build the Machaxi brand.

“We are thrilled to announce our latest round of funding, led by Inflection Point Ventures and Ankit Nagori (Co-Founder Cult.fit and Founder Eat.fit). Partnering with IPV has been an incredible experience, and their support will play a pivotal role in accelerating Machaxi's growth," said Pratish Raj, Co-Founder of Machaxi.

'This collaboration will enable us to enhance our services, expand our reach, and continue our mission to transform India into a Sports playing nation," Raj added.

What does Machaxi do?

Machaxi provides technology-enabled sports coaching for kids, offers state-of-the-art facilities for adults to play sports in their neighbourhoods, and offers an app that allows users to shop for sports equipment.

The startup makes sports accessible and enjoyable for all ages while promoting a healthier and more active lifestyle across the country.

Machaxi said that it effectively strategizes and implements initiatives that cater to both sports enthusiasts and casual players. 

The startup claims to significantly increase the revenue of standalone sports centres by 2-3 times through rebranding them as Machaxi Sports Centres and leveraging technology to drive demand and enhance user experience.

Who are the founders?

Pratish Raj, co-founder and CEO is an MBA graduate from XLRI, Jamshedpur, has experience in product management at Amazon and Tata Administrative Services.

Tushar Raj, co-founder and CTO is a B-Tech graduate from VIT, Vellore, has worked as a software developer at Altair and Nutanix and is also a state-level badminton player.

Ashish Anand, co-founder and COO with a B-Tech in Computer Science from NIT Allahabad, has experience in software development at Altair. 

Machaxi's market presence

As of May 2024, Machaxi has achieved a gross revenue run rate of Rs 18 crore, maintaining an EBITDA-positive status right from the start.

The startup claims to have over 50,000 users using its sports facilities monthly. These facilities cover a wide range of sports, including badminton, swimming, table tennis, football, and cricket, it said.

“It has become increasingly challenging for adults and parents to access affordable, quality sports coaching within urban residential areas. Recognizing this need, Machaxi steps in to bridge the gap by offering top-notch coaching and progress tracking for children, along with state-of-the-art facilities for adults," said Ivy Chin, Partner, Inflection Point Ventures.

The current landscape of the Indian sports market 

Currently, the sports market in India is valued at approximately $5 billion, encompassing spending on sports coaching, playing facilities, and sports equipment.

Despite this, sports adoption rates are less than 1% as of 2024. Over the next decade, significant growth is projected, with the market size expected to expand to around $20 billion.

Machaxi believes that the growth is fuelled by anticipated increases in sports participation, which is forecasted to rise to 10% by 2034, reflecting a burgeoning interest in sports across the country.