Bengaluru: Bengaluru-based GrabOnRent, the on-demand product rental marketplace in India, has secured an undisclosed amount in pre-Series A funding from IvyCap Ventures, with participation from Unicorn India Ventures.
The funding was raised through the IvyCamp platform—an incubation platform of IvyCap Ventures—and the proceeds will be used for customer and vendor acquisition, along with product development.
“This is among the first few investments of IvyCap Ventures Trust Fund II and forms part of our early stage strategy, through which we have allocated Rs.60 crore for early-stage investments via the IvyCamp platform,” said Vikram Gupta, founder and managing partner of IvyCap Ventures.
As part of the transaction, Prayag Mohanty, vice-president at IvyCap Ventures, and Bhaskar Majumdar, managing partner at Unicorn India Ventures, will join the board of GrabOnRent Internet Pvt. Ltd.
Founded in September 2015, GrabOnRent focuses on connecting rental product suppliers with consumers, facilitating product discovery, quality assurance, smooth payments and logistics support through the platform which otherwise is cumbersome in the offline rental industry.
The start-up helps users rent products across categories such as furniture, appliances, cameras, adventure gear and even helps event planners by providing supplies on rent.
The founding team comprises three IIT-Guwahati graduates who have worked across firms such as Flipkart Logistics and Hewlett-Packard.
Renting as a solution helps customers who are looking to use products for a shorter or unsure duration.
Also, it provides an end-user to try a product before buying—at a fraction of the cost.
“The major focus of the company is to generate awareness towards the viability of renting products. One doesn’t need to scratch their heads in deciding in favour of renting against buying if the duration of usage is limited. Our suppliers are quick to adapt to our technologies and we foresee more suppliers joining the platform in the coming months,” Manish S. Sugandhi, chief operating officer of the start-up, said.