Cashify, a market for devices trade-ins and buybacks in India, has raised $90 million in a brand new financing spherical because it seems to be to develop its enterprise on this planet’s second largest smartphone market.
Prosus Ventures and NewQuest Capital Companions led the seven-year-old Indian startup’s Sequence E funding, Cashify mentioned on Thursday. Paramark Ventures and present backers together with Bessemer Enterprise Companions, Blume Ventures and Olympus Capital additionally participated within the new spherical, which included some secondary transactions. The brand new spherical, which multiples the startup’s valuation by 2.5 instances since Sequence C funding, takes Cashify’s to-date funding to over $130 million.
Cashify operates an eponymous platform — each on-line and bodily shops and kiosks — for customers to promote and purchase used smartphones, tablets, laptops and different devices. Customers promote to and purchase units from the startup by visiting the startup’s web site or app.
Moreover, Cashify additionally works with all prime smartphone makers together with Apple, Samsung, Xiaomi and Samsung to energy their refurbishing applications. The startup repairs and refurbishes these units, giving them new lives with out which they could have doubtless ended up within the rubbish bin, defined Mandeep Manocha, founder and chief govt of Cashify, in an interview with TechCrunch.
“We’ve lined the full-spectrum, providing a full-stack resolution,” he mentioned. Smartphones enterprise accounts for roughly 90% of the startup’s income, mentioned Manocha.
The startup is tapping into India’s giant market, the place over 100 million smartphones ship every year and tens of hundreds of thousands of used smartphones get resold.
A major variety of smartphones offered within the nation – and past – get returned to the e-commerce or stores. Many of those corporations work with Cashify as nicely, mentioned Manocha.
However promoting outdated smartphones requires establishing a excessive belief issue with shoppers. Cashify has been increasing its presence in India via bodily retail factors in recent times to solidify this belief, Manocha mentioned.
“We’ve invested closely in enhanced refurbished functionality, and on the similar time, promoting smartphones to finish shoppers. We’re taking an omnichannel method, the place we’ve got established over 120 shops of our personal in 65 cities within the nation. We hope to extend our presence to 200 cities this yr,” he mentioned.
Cashify additionally has operations exterior of India, together with in markets together with the UAE, Turkey and Bangladesh. Within the worldwide areas, the agency licenses its enterprise enterprise. The agency’s enterprise enterprise consists of choices resembling a diagnostic software to judge a smartphone’s practical and bodily points.
“As an example, when you’re an e-commerce agency that wishes to begin a smartphone alternate program, you should utilize our diagnostic software to select up outdated telephones from clients’ doorsteps. In Turkey, moreover, we’ve got empowered microentrepreneurs to construct a buyback enterprise of their market,” he mentioned.
Cashify can even deploy the recent funds to develop its workforce. The startup mentioned it has been very cautious about hiring new expertise up to now, an element that has allowed it to not reduce workforce even within the unsure instances.
“Whereas there’s a giant alternative set within the re-commerce area, Cashify has a transparent edge as a class chief with its concentrate on buyer expertise and its information and tech-first method to drive scale and dealing capital minimization,” mentioned Amit Gupta, Associate and Head of India and Southeast Asia, NewQuest Capital Companions, in an announcement.
“Its management place and success of the PhonePro model are a testomony to the standard of the administration workforce and their imaginative and prescient for the sector. We’re excited to be part of their journey and part of the patron revolution that they’re driving.”