Evenflow, a promising e-commerce roll-up platform, has raised funds in a bridge round from serial entrepreneur Shail Patel and some existing investors as part of its ongoing USD 5 million Series A round. However, the amount hasn’t been disclosed yet.
The fundraising initiative is aimed at spreading its wings and growing its seven acquired homegrown brands which include Xtrim, Yogarise, Rusabl, BabyPro, Trendy Homes, Cinagro, and Frenchware. Furthermore, the company also aims to increase these brands’ global presence by expanding its operations across various new markets.
Also to note, this fundraise follows recent efforts that were made to build a robust supply chain, marketplaces, D2C, and quick commerce. The company has also made some new appointments while elevating Shashank Ranjan to co-founder status. Currently, Evenflow operates out of India and the U.S., and has claimed 350 percent growth on marketplaces such as Amazon, Flipkart, CRED, Zepto, and Instamart. Furthermore, the company has set its long-term roadmap to increase revenue by 10X and profits six-fold by 2027.
However, as many roll-up platforms face scaling difficulties, these projections might be challenging to achieve. Utsav Agarwal, Co-founder and CEO shared that the firm aims to prepare for an Initial Public Offering by the end of 2027 in a media statement. E-commerce roll-up companies were lucrative in 2021, wherein the sector also brought to light two unicorns - Mensa and Globalbees. However, the euphoria has greatly subsided due to the wind up of global posterboy Tharasio and tougher funding environment. Due to this, funding for these firms sharply declined over the past two years, from USD 540 million in 2021 to USD 70 million in 2022, USD 78 million in 2023, and USD 39 million in the current calendar year.
While some ventures like Mensa have secured additional debt, GlobalBees and Goat Brand Labs took over 24 months to do so. 10club has now shifted focus to consumer brands, and Powerhouse91 and Upscalio haven’t raised funds in over two years. Subsequently, Amazon aggregator Thrasio almost faced bankruptcy. But however, it recently emerged from Chapter 11 and appointed Stephanie Fox as its new CEO.
