UrbanClap reported on Sunday that it has raised over $21 million in a Series C funding round led by Vy Capital, an Internet investment fund. SAIF Partners and Accel Partners who were the early investors also participated in the round along with Series B investor Bessemer Venture Partners.
Co-founder of UrbanClap, AbhirajBhal told that existing investors had also spent approximately $1 million more to buy the shares, that were held by some of the company’s employees, and a part of the stakes of angel investors KunalBahl and Rohit Bansal, the founders of Snapdeal.
Vy Capital is led by Alexander Tamas. The investment fund is based out of Dubai and is a major investor in Zomato. UrbanClap was launched in 2014 and it allowed its users to hire professionals for beauty services, house cleaning and repair, yoga, and fitness, all to be provided in-house in eight cities. The funds now received will be used to expand in more locations, invest in technology and add new vendors to its network. In the cities where it currently operates, UrbanClap is opening training centers to train professionals. The capital would also allow the company to build a spares and parts inventory and cement its leadership in the market.
The company has raised about $60 million in the capital in all the three rounds and leads the market in selling home services in satellite towns and metropolitan areas. There are more than 65,000 service professionals registered on the company’s network with about 3,00,000 bookings each month with NCR, Mumbai, and Bengaluru contending at the top.
The company’s closest rival was Zimmber, which was acquired by the classifieds firm Quikr in May this year. Other rivals include smaller companies operating in a single city, HouseJoy in Bengaluru and Timesaverz in Mumbai. UrbanClap had raised Rs 20 crore in May in debt from Trifecta Capital.