UrbanClap, a mobile services marketplace has announced it raising $25 million in Series B round of funding led by Bessemer Venture Partners along with existing investors Accel and SAIF Partners. This raises the total funding of the company to $37 million.
Founded in 2014 by Varun Khaitan, Raghav Chandra and Abhiraj Bhal, UrbanClap offers a marketplace for standardised blue collared services like electricians or home cleaning and white collared services like photographers, interior designers, yoga instructors etc., Through the app and web, customers can book their services. The app has an automated match-making algorithm that helps the users hire budget professional matching their needs. The backgrounds of the professionals are thoroughly verified. It is working to add more features like payment gateway, training and webminars for suppliers.
With the fresh funds, UrbanClap plans to expand its market presence, strengthen its team and increase the number of professionals on its marketplace and also make an investment to improve the technology. Bhal said, “We want to have 200,000 professionals on our marketplace by end of December 2016. At present that number is 20,000. This is a herculean task and if we do achieve this, we will be one of the largest marketplaces in India. Along with this, we will increase our team size from the current 300 to 500.” Operating in Delhi, Mumbai, Bengaluru and Chennai, it plans to expand into Hyderabad, Ahmedabad, Jaipur, Chandigarh and Kolkata.
Bhal said, “We have gone a step ahead from being just an aggregator. Every supplier on our platform is verified. This includes verification for their identity as well as their criminal records. We have hired retired police personnel for verification and as we expand into cities we will add these professionals for local verification. We are also tying up with institutes like NSDC and NGOs for training of plumbers, electricians etc.”
Bhal added, “Today, we serve 5000 customer requests per day and have built a base of 20000+ service professionals – who together represent the gold standard for trusted services in India. UrbanClap sends them business worth $200 million annually, from small carpentry jobs worth less than $10 to a large interior designing assignments worth several lakhs. This is a winner take all market – there is no place for second best.”