Mumbai-headquartered Infra.Market attracted $20 million in a Series B financing round. The round was led by Evolvence India Fund, Sistema Asia Fund, and Fundamental, while existing investors Accel, Tiger Global, and Nexus also participated in it. The four-year-old startup has raised about $50 million to date.
Infra.Market helps small businesses such as manufacturers of paints and cement improve the quality of their products and meet various compliances. The startup adds its load cells to the manufacturing facilities of these small businesses to ensure there is no lapse in quality and also helps them work with other businesses that can provide them with better raw material and provide guidance on pricing. It also works closely with businesses to ensure that their deliveries are made on time.
These improvements explained co-founder Souvik Sengupta, help small manufacturers land larger clients that have higher expectations from the businesses with which they engage.
Sengupta said the startup was on track to hit the ARR (annual recurring revenue) of $100 million before the pandemic, which for at least two months nearly cut its business in half. But the startup has picked up the pace again, and is now on track to hit the ARR of $180 million. The startup aims to grow this figure to $300 million by March next year.
Infra.Market is also enabling small manufacturers to reach customers outside of India. Some of its clients are in Bangladesh, Malaysia, Singapore, and Dubai. Sengupta said Infra.Market will deploy the fresh funds to expand to more markets as well as deepen its penetration in smaller Indian cities and towns. International markets today account for 10% of the revenue Infra.Market clocks.