In its first investment in India, Japanese seed-stage investors Incubate Fund has led a bridge round in business-to-business FMCG platform, ShopKirana.

The amount of investment is estimated to be between Rs 2 crore and Rs 3 crore, according to people aware of the deal. The Indore based startup helps mom-and-pop stores improve their supply chain by partnering with FMCG brands. Other investors in the round include Mumbai-based Lead Angels Group and senior executives from leading FMCG companies.

The startup which has over 5,000 kirana stores on the platform and processes over 200 plus orders a day has its major customer base in Indore. “We promise a delivery turn around time of 24 hours. We have revenue coming in from two streams, revenues from the FMCG brands and the other from promotion of new brands in cities where they don’t have a presence,” said Sumit Ghorawat, Co-Founder of ShopKirana which was incorporated in 2014.

“The grocery market in India is mostly supported by small businesses like Kirana stores. We are very happy to join ShopKirana’s journey to empower small retailers in India,” says Nao Murakami from Incubate Fund, the lead investor in the round.

The company competes with similar B2B solution providers including Just Buy Live which raised Rs 136 crore in Series A round from Alpha Capital in January. The company is focused on creating an e-distributor network through brand tie-ups and building a network of warehouses.

Source: The Economic Times

Image Courtesy: ShopKirana.com