Recently there was news about Ecommerce marketplace, ShopClues raising $4mn in Series A funding and the company founder, Sandeep Aggarwal shared the truth with us:
“The media stories about our fundraising made it sound like we just raised our Series – A, which is not true. Please note that we had raised our Series – A of approx. $4mm in January 2012 from well known institutional investors. Also, we raised our angel round of $2mm in August 2011 (and not December 2011 as stated by media) from some of the top angel investors in Silicon Valley. From Feb 2011 to July 2011, the company was self funded with close to $250k in capital contribution from my side.
Also to further clarify, we started in January 2012 and have already ascended among the top 7-8 E-Commerce Sites in India (in terms of monthly orders, size of Facebook community and our traffic ranking). ShopClues.com is India’s first and the largest managed marketplace vs. an inventory led business model. We sell everything and are completely category, product, price, brand, and seller agnostic. Buyers get great selection, low price and fast delivery.
The under pinning of ShopClues.com is more like a stock exchange (vs. akin to a retail business, which is most E-Commerce Sites in India) – we have seller on one side and buyer on other side. We provide suite of E-Commerce services to sellers and well defined shopping experience and trust to buyers to enable a transaction.
Hope this clarifies some confusion relating to our fund raising – it is an old news and similar analogy would be to congratulate someone for getting married now, when he is already a father of two kids that are 3 years old.”
Recommended Read: Got funded? Do not want to announce? Here is what you lose.