Flash sales and daily deals site FashionandYou is again out on a hunt for fresh round of funding.

The Gurgaon-based fashion portal, which raised $10 million (₹60 crore) in June this year, is in talks with Asian venture capital funds to raise up to $50 million (₹300 crore) in the next three months.

Aasheesh Mediratta, CEO and co-founder, said the funds would be used to expand offerings, launch an aggressive marketing campaign along with a TVC, open more sourcing centres, a webshop (a new interface) and a mobile application.

Founded in 2010, Fashion and You has so far raised $60 million from Norwest Venture Partners, Intel Capital, Sequoia Capital and Nokia Growth Partners. The company started off well but hit a bumpy road after two of its founders Pearl Uppal and Gaurav Kachru quit the company in 2011. That apart, the company’s growth slowed down following acquisition of Urbantouch, a strategy which Mediratta terms as “an idea that went wrong”. Since then the company has struggled and managed to create a niche for itself in the $3.5-billion e-tailing industry.

“Indian customers need to have clarity among the different models of e-tailing,” Mediratta said while reacting to the recent campaign of physical retailers against the online players.

He added that Fashionandyou played in a category of flash sale model, wherein the company has tied-up with retailers and brands to sell 3-6 months old merchandise or stock at discounted price. Meanwhile, Myntra and Jabong are market-places selling in-vogue merchandise and hence doling out discount on fresh stock is not sustainable.

This way, Mediratta said, brands benefit as they get to liquidate their stock without bothering about inventory costs.

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