Notable angel investors including Shalabh Mehrish of Vinson Cap Advisors; Jon Piebenga, Partner, Social Venture Partners; Kunal Shah, founder, Cred also participated in the round.
The company said it plans to use the funds primarily for growth, expanding its team and meeting its working capital needs.
It had previously raised Rs 10 crore in a funding round in December 2021.
Founded by Sameer Gandotra and Gowrav Vishwakarma in 2019, Frendy has a team of 100 professionals, including its in-house technology team. The startup has a presence in around 25 tier 2-6 cities and more than 4,500 products. The company recently entered Rajasthan with Madhya Pradesh.
“The company achieved revenue of Rs 43 crore in its first year of operations with breakeven unit economics. Frendy is clearly on track to achieve an annualized revenue run rate of Rs 300 crore by the end of the financial year,” the company said in a statement on Monday.
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Frendy recently appointed a host of seasoned industry veterans, including Harshad Joshi as COO and Shilpa Ajwani, former CEO of Tupperware India, as consulting advisor. He has also hired several mid-career retail, supply chain, and direct sales professionals.
“Business frugality coupled with local knowledge and relationships have been the hallmarks of successful rural distribution businesses and Frendy has embraced this to scale quickly and sustainably with low capital requirement,” said Gandotra, co-founder of Frendy. .
The company said it has an asset-light franchised local dealer model that serves it well in Tier 3-6 markets. The startup sells groceries, personal care, and home and kitchen essentials on its platform.
“What sets Frendy apart from other community group buying platforms is their Bharat-focused team who have prior experience and success in building a micro-entrepreneur business with a capital-efficient execution model,” said Gandotra.