Rentomojo, a leading furniture rental brand in India, has secured ₹210 crore in a Series D & D1 funding round, with Edelweiss Discovery Fund Series – I leading the investment. Existing investors, including Chiratae Growth Fund and Magnetic, also participated in the round. This substantial injection of capital is poised to catalyze Rentomojo’s growth trajectory, enabling the company to fortify its balance sheet and expand its business operations.
Geetansh Bamania, Rentomojo’s Chief Executive Officer, expressed optimism about the latest round of funding, highlighting its pivotal role in strengthening the company’s market position and propelling further expansion initiatives. While the exact valuation of the funding round remains undisclosed, Bamania emphasized the strategic significance of the investment in cementing Rentomojo’s leadership in the appliances and furniture rental category within India.
The funds will be instrumental in fueling Rentomojo’s ambitious expansion strategy, focusing on financial investments and operational enhancements to sustain robust growth and capitalize on emerging opportunities in the rental market. Bamania affirmed Rentomojo’s unwavering commitment to fostering sustainable growth and profitability, underpinned by a customer-centric approach and innovative business practices.
Rentomojo’s transformational journey towards profitability underscores its resilience and adaptability in navigating dynamic market conditions. Bolstered by rigorous cost management, sound governance practices, and a tech-forward mindset, the company achieved profitability in FY23, marking a significant milestone in its operational evolution. Notably, Rentomojo reported a profit of ₹6.2 crore for FY23, a remarkable turnaround from the previous year’s loss of ₹13 crore. Moreover, revenue from operations surged by 22% to ₹121 crore, reflecting the company’s robust financial performance and market resilience.
Founded in 2014 and headquartered in Bengaluru, Rentomojo has emerged as a trailblazer in the furniture rental segment, offering a diverse range of furniture, appliances, and fitness equipment on a monthly rental basis. With a presence in 16 cities and a customer base exceeding 450,000, Rentomojo has demonstrated its ability to cater to evolving consumer preferences and lifestyle demands effectively. Additionally, the company operates offline experience centers in Bengaluru, augmenting its omnichannel presence and enhancing customer engagement.
Ashish Agarwal, Managing Partner at Edelweiss Discovery Fund, commended Rentomojo’s leadership team and its unwavering commitment to driving innovation and customer-centricity in the furniture rental space. With strategic investors like Accel and Bain Capital also backing Rentomojo, the company is well-positioned to capitalize on the burgeoning demand for rental solutions and sustain its leadership position in the market.
In a competitive landscape characterized by notable rivals such as Cityfurnish and Furlenco, Rentomojo remains poised for continued growth and market dominance, driven by its relentless focus on innovation, customer satisfaction, and operational excellence. As the furniture rental category continues to witness exponential growth, Rentomojo is primed to capitalize on emerging opportunities and redefine the dynamics of the rental market in India.