Dunzo raises $11 million to fend off losses in a market crowded with Amazon, Flipkart, Swiggy and more
- Hyperlocal delivery startup
Dunzohas just raised $11 million in venture debt fund from Alteria Capital to move on the path of profitability.
- Dunzo registered a loss of ₹168.9 crores in FY19 for a wafer thin revenue of ₹76.59 lakh.
- The competition is only increasing in the segment, with JioMart too entering grocery delivery.
Hyperlocal delivery startup Dunzo has just raised $11 million in venture debt fund from Alteria Capital that will help it move to profitability.
“From the early stages of Dunzo, we’ve always focused on building a sustainable business model. Profitability has always been the barometer of success and we’re seeing it manifest across several of our micro-markets. As we deploy this playbook into other cities, we’re extremely conscious of what our consumers want,” said Kabeer Biswas, CEO & Co-Founder, Dunzo.
Biswas added that as certain markets turn profitable, they are able to fuel growth with debt while having a significantly higher return on investment for customers and stakeholders
Dunzo registered a loss of ₹168.9 crore in FY19 over a wafer thin revenue of ₹76.59 lakh. Its losses have grown eight times over, whereas its revenue even with a five-fold increase is still minuscule compared to its losses.
Dunzo, Google’s first direct investment in India, raised $45 million in a series D round from Lightbox, 3L Capital and others in 2019.
But the hyperlocal delivery market is also heating up in India. From
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