Revenue-based financing platform Klub said it has raised $20 million (about Rs 148.5 crore) in funding from existing investors 9Unicorns and Surge, Sequoia Capital India’s rapid scale-up programme.
Alter Global (US) and GMO VenturePartners (Japan) also participated in the funding round, coming in as new investors, a statement said.
The company will deploy Rs 500 crore over the next few quarters in local brands and digital SMEs, it added.
Revenue-based financing refers to a model, wherein the investor gets a regular share of the business income.
Founded by Anurakt Jain and Ishita Verma, Klub provides flexible growth capital ranging from Rs 2 lakh to Rs 30 crore with zero equity dilution. It provides funding for recurring marketing, inventory, and capex spends to digital-first companies and SMEs across e-commerce, D2C, ed-tech, SaaS and broader digital commerce spectrum, utilising data-driven analytics to drive faster funding decisions.
The current seed round, which saw participation from marquee global angels as well, includes a majority portion of equity and capital commitments to the platform, the statement said.
The company had previously raised a $2 million pre-seed round at an idea stage, led by Surge and multiple angel investors, it added.
Klub plans to utilise the capital to expand its team, accelerate development of its tech and data platform, and expand its product offerings and market segments, it said.
Anurakt Jain, co-founder and CEO of Klub, said the digital revolution in India has levelled the playing field for local businesses.
“India”s digital commerce ecosystem requires more than ”one size fits all” financing, and with this round, we can further our mission of enabling growth for loved brands,” Jain added.