Pune-based subscription startup for delivery of fresh and perishable items, RainCan has raised Rs 1.75 crore in pre-series A funding from Prabodh Agarwal, Group CFO, IIFL Holdings Limited and an existing investor Dr. Aniruddha Malpani.
The company plans to use raised capital to expand its delivery operation centers and set-up start of the art logistics platform to facilitate deliveries at the lowest possible cost.
Founded in June 2015 by IIT-Bombay graduates, Munendra Singh and Abhijeet Kumar, RainCan is a subscription-based service provider dealing in dairy, meat, bakery, fruits, and vegetables largely. The company today delivers around 6000 orders daily in Pune.With a month-on-month steady growth of 15%, the company has achieved Rs 10 crore in revenue. Further, the company is in talks with VCs to raise 10 Crore to achieve 50,000 subscriber base and 100 crores annual revenue.
“The growth of RainCan is propelled by opening new delivery centers in different locations within a city, each center delivering to the specific population. We aim to take the current 4 centers to 20 in Pune and Mumbai with positive cash flow in next few quarters,” said Munendra Singh, Co-Founder, Raincan.
The use of technology and optimized logistics team as deliveries are concentrated in nature help keep the cost of delivery to under Rs 2. The company has been a capital efficient start-up turned with operational excellence using a wide array of technology and analytics platforms. It has been operationally profitable since September 2016.
Earlier, in August 2015, Raincan had raised $100K in seed round from angel investor Ajeet Khurana & others, and in April 2017, the startup had received an additional round of Rs. 1 crore from a primary investor, Dr. Aniruddha Malpani.