The fund will be used for technology enhancement and marketing expenditures
New Delhi: Delhi-based PML Solutions Pvt. Ltd, which owns and operates on-demand service provider PickMyLaundry, has raised $100,000 from GHV Accelerator, a top company executive said on Monday.
The fund will be used for technology enhancement and marketing expenditures.
The company is also in early-stage talks with high networth individuals and seed investors to raise $1 million in a pre-Series A round of funding, said Gaurav Agrawal, co-founder of the company. He declined to give more details.
The start-up is likely to lock horns with Chennai-based on-demand convenience player Wassup which raised $2 million in a pre-Series A round of funding from Arun Chandra Mohan and Praveen Sinha, co-founders of Rocket Internet-incubated lifestyle e-tailer Jabong.com in May 2015.
PickMyLaundry was launched in May 2015 by three Indian Institute of Technology alumni: Gaurav Agrawal, Ankur Jain and Samar Sisodia. It has tied up with six Laundromats (self-service laundries) across Delhi and Gurgaon to offer services such as wash and iron, dryclean, steam press, shoe service and carpet cleaning. It plans to add 20 more Laundromats by the end of the next quarter.
It works on a commission model from these Laundromats.
“These businesses (Laundromats) have set up machines which cost ₹ 15-20 lakh. Their business gets affected if they do not get sufficient amount of clothes on a per day basis. They have a minimum threshold required. By leveraging our technology, we are creating value for both individuals and Laundromats," said Agrawal, adding that these Laundromats have a capacity of 10kg per lot.
So far, the maximum order PickMyLaundry has received is 80 orders on a single day. It targets to cross 300 orders on a daily basis in the next six months.
“Because of hectic lifestyle of working individuals, the concept of Laundromats has so far not been widely accepted in India. The sector is still largely addressed by the unorganized sector consisting of washermen," said Agrawal.
Currently, the start-up has a fleet of 15 delivery boys who collect clothes from the customer’s house and then deliver it back.
As of now, the delivery happens in 48 hours but the company plans to launch a premium service of 24 hours delivery shortly.
It charges ₹ 50 for one kilogram of clothes for wash and fold. The price goes up to around ₹ 350 for drycleaning of a double bed quilt. The company also plans to launch a monthly subscription package shortly.
The order can be placed through its website or by calling on its number. It will be launching its app soon.
GHV Accelerator has also invested in m-commerce start-up LazyLad and food ordering start-up FoodPort, among others.
LazyLad last month also closed a pre-Series A funding of $500,000 from foreign high networth individuals.