Cashify, a market for devices trade-ins and buybacks in India, has raised $90 million in a new financing spherical because it appears to be like to develop its enterprise in the world’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 in the new spherical, which included some secondary transactions. The new spherical, which multiples the startup’s valuation by 2.5 occasions 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 packages. The startup repairs and refurbishes these units, giving them new lives with out which they could have doubtless ended up in the rubbish bin, defined Mandeep Manocha, founder and chief government of Cashify, in an interview with TechCrunch.
“We’ve got coated the total 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 annually and tens of thousands and thousands of used smartphones get resold.
A major variety of smartphones bought in the nation — and past — get returned to the e-commerce or stores. Many of those companies work with Cashify as nicely, mentioned Manocha.
However promoting outdated smartphones requires establishing a excessive belief issue with customers. Cashify has been increasing its presence in India by way of bodily retail factors in current years to solidify this belief, Manocha mentioned.
“We’ve got invested closely in enhanced refurbished functionality, and on the similar time, promoting smartphones to finish customers. We’re taking an omnichannel method, the place now we have established over 120 shops of our personal in 65 cities in the nation. We hope to extend our presence to 200 cities this 12 months,” he mentioned.
Cashify additionally has operations outdoors 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 contains choices comparable to a diagnostic instrument to judge a smartphone’s useful and bodily facets.
“As an illustration, should you’re an e-commerce agency that wishes to begin a smartphone trade program, you need to use our diagnostic instrument to choose up outdated telephones from clients’ doorsteps. In Turkey, moreover, now we have empowered microentrepreneurs to construct a buyback enterprise in their market,” he mentioned.
Cashify may even deploy the contemporary funds to develop its staff. The startup mentioned it has been very cautious about hiring new expertise in the previous, an element that has allowed it to not reduce workforce even in the unsure occasions.
“Whereas there’s a giant alternative set in the re-commerce area, Cashify has a transparent edge as a class chief with its give attention to buyer expertise and its information and tech-first method to drive scale and dealing capital minimization,” mentioned Amit Gupta, companion 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 staff 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.”