Furlenco raises series A funding from Lightbox Ventures. Bengaluru based Kieraya Furnishing solutions P Ltd owns Furlenco online portal for renting furniture for residential use. The company is the first and only home furniture subscription program.
Furlenco allows people to lease out furniture for a monthly subscription. The company offers flexible room based or full home packages. For ex: Living Room packages will cost Rs 2,000 each month whereas 3 bedroom packages will cost Rs. 7,500 per month. Living room packages will have plush couch (3+1+1) with center table, floor lamp and tea light holder and soft furnishings. However 3 bedroom packages will have 3 basic queen bedroom sets, living room couch, dining room 4 seater and soft furnishings with home decor.
A customer can pick and choose the package and customise it for his convenience. Furlenco provides furniture that is designed in house. Their Pico Range won the CII Design award in 2014. Customer can swap the current furniture with the latest one anytime. The company will provide relocation and furniture maintenance services once in 12 months. Specially curated soft furnishings and home decor provided in the package. Furlenco waives upto Rs.10, 000 damages. Apart from these features, customer can pause, restart and terminate the subscriptions at his will.
Furlenco offers home appliances along with the furniture in the package; appliances are sourced from third party vendors. At the same time, the company designs its own furniture and get it manufactured from outside. The products in the packages will be a mix of new one and refurbished goods too.
Furlenco targets the students graduate from universities across various cities and relocate to major metropolis such as Bengaluru, Chennai, Mumbai, Delhi or Hyderabad for work. They take up a house on rent and furnishing the house with high and good quality products will cost a bomb for them. For professionals like this renting will be cheaper option and convenient too.
The market value of the furniture in the package may vary from Rs 50,000 to 75,000. Furlenco was founded in 2013 by ex Goldman Sachs Ajith Mohan Karimpana. Ajith has rich professional and educational qualifications.
Ajith Mohan Karimpana has graduated in Bachelors in Technology from National Institute of Technology, Jalandhar. He went Temple University to do his Masters in Science in Computer and Information Science. He has attended Startup Leadership Program. Ajith started his career as software engineer in Infosys Technologies Ltd in 2000. In 2004 he became Senior Consultant in Morgan Stanley for almost 2 years. In 2006 he joined as Senior Analyst and developer in Goldman Sachs went on to become Vice President. He worked in Goldman Sachs for 6 years.
In 2011 he founded Rent Ur Duniya which has been rebranded into Furlenco. In 2012 he became Managing Director of Kieraya Furnishing Solutions Pvt Ltd which he still holds now.
Furlenco raised $6 million as Series ‘A’ funding from Lightbox Ventures. The funding will be utilised for further expansion and enhancement of technology.
This is 2nd investment of Lightbox Ventures in recent times. The venture capital firm was founded by Sandeep Murthy, ex Sherpalo Ventures Indian Head. They had invested in Faaso’s, a quick services restaurant chain procures orders from web and mobile based ordering platform.
Siddharth Talwar will be joining the board of Furlenco. After funding he said “Furniture is one of the three most expensive things that you buy and does not have access to long-term financial support (loans) like cars and homes,” . He also said “Today, the average employee at an IT firm will move homes 8-10 times between college and turning 50. It’ll happen for different reasons –work-related relocation, earning more money, getting married, starting a family, and so on. Each home will have a different feel, different spaces, and different needs. Yet, most of the time, the furniture will remain constant. Not because it’s what you want, but because changing it is expensive, time-consuming and very inconvenient – what do you do with the old furniture? This is where Furlenco comes in. “
Furlenco has furnished 600 homes and its subscriber base of 200, the number is growing by 50 percent month on month. “Our philosophy is that one should never need to own furniture and the rental market should reach $2-3 billion in the next 5-7 years,” said Ajith Karimpana. He also said “We are looking at using the funds for improving existing technology for mobile users, building and designing furniture and supply side operations that include logistics, and inventory management,”
“Food and shelter are basic needs for everyone and we believe that furniture is an essential part of housing today. On an average it costs Rs.3 lakh to furnish an apartment and this is a huge cost for young professionals. This leads to homes being under furnished,” said Sandeep Murthy, Partner, Lightbox Ventures.
The company has staff strength of 40 employees which will be increased in the coming months to cater the demand.