Companies

Furniture rental firm CityFurnish scouting for $4 m

Purvita Chatterjee Mumbai | Updated on January 10, 2018 Published on September 27, 2017

More to offer: Sourcing its products directly from vendors, CityFurnish gets its inventory replenished every 48 months

Gurugram-based furniture rental start-up CityFurnish is planning to raise $4 million in Series A to fund its growth capital in areas like technology and brand building.

Having raised $1 million from investors like Brand Capital last year, it is now looking to close its Series A round.

“We expect to have more converts from the buying market into the rental market for furniture,” said Neerav Jain, founder and CEO, CityFurnish. “Funds are required as we move into the next phase of growth for which we need capital to make investments in technology and brand building. We wll be raising $4 million this year as part of Series A, which is not going to be easy to get from the VC funds.’’

Having worked for competitors like Pepperfry in the past, Jain realises there is growing competition in this category. “There are players like Furlenco and Rentomojo and now even Pepperfry has entered this space. In some of the markets they are ahead of us and have much higher GMVs (gross merchandise volumes),” added Jain.

With a GMV of ₹10 crore, CityFurnish has been steadily adding to its portfolio of rental services.

Apart from furniture rental, it has added rental categories like home appliances and fitness equipment. In future it will be adding IT peripherals like laptops, computers and even cameras and camping gear to its portfolio.

“We would be also looking at higher frequency short term rentals in categories like cameras which can go up to single day rentals. At the moment the average size of our furniture rentals is about a year,” said Jain.

Sourcing its products directly from vendors, CityFurnish gets its inventory replenished every 48 months. Jain also sources furniture from his family business, which is into furniture exports.

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Published on September 27, 2017
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