Fashinza, a Delhi based supply chain marketplace for fashion brands and retailers, raises $100 Mn in a Series B funding round led by Prosus Ventures and Westbridge. The Equity to Debt ratio distribution of the funds raised was 2:3 ( $60Mn in equity and $40Mn in debt).
The round also witnessed participation from Accel, Elevation, and ADQ and angel investors Naval Ravikant, Jeff Fagnan, Jake Zeller, Nivi and Nitesh Banta at a $300 Bn valuation.
The funds raised by the company will be used to enhance the company’s supply chain technology and establish a presence in new markets. Its goals include the procurement of raw materials with ease and success.
Founded in 2020 by Pawan Gupta and Abhishek Sharma, Fashinza is on a mission to create sustainable and futuristic supply chains for fashion brands while improving the lives of workers. They connect family-run small/mid-sized audited factories to the cloud with their mobile-based production management and visibility software.
The company has managed to reduce the minimum order units to as low as 50 and reduced design-to-delivery turn-around-times (TATs) by 50% in a single year.
Pawan Gupta, Co-founder and Chief Executive Officer (CEO) of Fashinza, said,
“We are excited to expand our global presence and offer fast and sustainable tech-based supply chain solutions — especially to our customers in North America.”
On the production side, Fashinza partners with factories to run its software stack, dubbed FactoryOS, for tasks in sampling, inventory, and finance. The software tracks the life cycles of garments and uses the data to train algorithms for matching brands with suppliers, Gupta said, and predicting metrics like turnaround time.
Abhishek Sharma, Co-founder and Chief Operating Officer (COO) of Fashinza, said,
“We are now also using the massive data we generate to solve financial challenges for our customers and suppliers with our fintech products.”
In just 2 years, the company has managed to create a wide presence in the market by entering foreign markets early on. It has over 250 manufacturers in India, Bangladesh, China, and Vietnam, and currently serves more than 200 brands across six countries, including the US, Canada, UAE, and India.
Ashutosh Sharma, head of India investments at Prosus Ventures,said,
“The issues of the fashion industry supply chain have grown immensely over the past few years – and these challenges have presented an opportunity that’s ripe for disruption. The Fashinza team has quickly evolved in a space that needs to go beyond the traditional channels.”