New Delhi-based Mobigarage, a B2B ecommerce platform, today announced it has raised an undisclosed amount as part of its pre-Series A funding round led by US-based VC fund SOSV.
The round also saw participation from Australia-based VC firm Artesian, Angel investment firm Inflection Point Ventures, MobAvenue, AppyHigh Technology LLP, LetsVenture, and prominent HNIs, including Nikhil Aggarwal, Mrunal Jhaveri, Priyanka Chawla, Nitin Uppal, Rishabh Bhatia, Soarabh Gupta, and Amit Anand.
Inflection Point Ventures plans to invest Rs 155 crore in more than 60 startups this year. Previously, The firm had invested peAR, DropShop, Orai, Glamplus, among others.
According to the statement, Mobigarage will use the raised funding to scale operations in Tier 2+ cities and rural markets in the country. The startup will also focus on strengthening the leadership team, building proprietary technologies, analytic engines, and launch a D2C-focused brand.
It is also looking to extend its retail and franchise partnerships across India in lower-tier markets in the next few months.
Speaking on the development, Munish Vashishat, Co-Founder of MobiGarage, said:
"MobiGarage is addressing this multi-billion market gap by providing just-like-new, high-quality refurbished smartphones at a fraction of the cost of new phones, completely removing the biggest hurdle in the consumers’ digital journey. We are grateful for SOSV’s continued support as we scale all over India to become a flagship Bharat D2C brand."
Founded in July 2017, Mobigarage is an online D2C platform for refurbished electronics and repair services. MobiGarage claims that it is innovating the $40 billion dollar smartphone market by disrupting the second-hand mobile supply chain, selling refurbished smartphones with certified components and warranty that are 70% cheaper than new smartphones.
Through its omnichannel model, the startup provides services to both online and offline customers across the country. It operates an e-commerce marketplace and a unique hub-and-spoke in over 50 Tier 2+ cities.
Commenting on the investment, Ankur Mittal, Co-Founder, Inflection Point Ventures, said:
"MobiGarage has the potential to become India’s most trusted brand in the second-hand smartphone category that can address the needs of those aspiring to upgrade their phones and those who are keen to join the digital economy by switching from feature phones to smartphones. The Company has the potential to conquer the MENA region in next 2+ years as well."
Mobigarage said it has witnessed 300% growth during the pandemic, processing over 20,000 orders per month, growing 3x annually. The startup is profitable since its inception.
William Bao Bean, General Partner at SOSV, Managing Director of MOX, said: "It's an exciting time for D2C companies: India's population in Tier 2+ cities is demanding more sophisticated products and a wider range of options. MobiGarage has beaten the pandemic blues to show tremendous growth in over 50 Tier 2+ cities thanks to its robust supply chain, and we're excited to help the company scale all over India."
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