Exclusive: Furniture rental firm Rentomojo gets more funds from IDG, Accel
Bangalore-based Edunetwork Pvt Ltd, which operates home appliances and furniture rental marketplace RentoMojo, has raised about Rs 33.5 crore ($5 million) from existing investors including Accel Partners and IDG Ventures India, a person privy to the development told TechCircle.
The funding is believed to be part of the Series A round.
The deal closed in June, according to VCCEdge, the data research platform of VCCircle.
Rentomojo co-founder Geetansh Bamania confirmed the development but declined to give any details.
The new funding round comes after the startup last year raised $2 million in pre-Series A funding from Accel Partners and IDG Ventures.
Rentomojo was founded in November 2014 by IIT Madras graduates Geetansh Bamania and Ajay Nain. The startup allows users to rent furniture, home furnishings and appliances for at least three months. It operates in Bengaluru, Mumbai, Delhi NCR and Pune. The startup employs 50 staffers.
It claims to have about 4,500 subscribers on its platform and is targeting 1-1.5 lakh subscribers in the next 18 months.
Customers need to submit identification and address proof, besides a security deposit. The startup keeps 40-50% of the rental fee as commission on every booking, with the remainder going to the vendor. It claims to be growing at 30% on a month-on-month basis.
Online furniture rental is an asset-light business that has attracted many startups and investors. FlatFurnish recently raised angel funding from former Jabong CEO Arun Chandra Mohan while WhatsOnRent raised angel funding from CommonFloor.com co-founder Lalit Mangal and other investors in January. RentOnGo secured angel funding from Snapdeal's former chief product officer Anand Chandrasekaran, GSF India founder Rajesh Sawhney and other angel investors.
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