Klub disbursed ₹100 crores to enable SMEs in 2023 festive season selling on Amazon and Flipkart, aims to double investment to ₹200 crores in 2024
Klub, India's leading growth enablement platform, has achieved a significant milestone by disbursing ₹100 crores to support brands during the 2023 festive season. This funding aims to enhance sales on major e-commerce platforms, including Amazon, Flipkart, and Myntra. As part of its strategic growth plan, Klub intends to double this investment to ₹200 crores for the 2024 festive season. This increased funding will further aid SMEs in maintaining inventory and pre-planning marketing efforts to meet the heightened demand during India's festive season. Notably, Klub offers funding up to ₹30 crores in a single tranche and works on multiple capital structures suited to the brand and founder, including term loans, credit lines, revenue financing, and more. Klub's initiative is in collaboration with its supply partners, particularly leading NBFCs such as U GRO Capital.
In 2023, Klub's investments were primarily directed towards sectors such as Beauty and Personal Care, Fashion and Apparel, and Cloud Kitchens and Restaurants. Notable brands that benefited from these investments include Monrow Shoes, BRB Chips, Berrylush, and Potful, among others.
Anurakt Jain, co-founder and CEO at Klub, stated, "Our mission has always been to empower D2C brands to achieve their full potential. The festive season is a crucial period for brands, and our investments are designed to help them maximise their sales. We are excited to double our commitment to ₹200 crores this year, supporting a broader range of sectors and driving significant growth for Indian retailers. This initiative is in response to the anticipated 10-12% growth in festive sales and the e-commerce industry's expected surge to $111 billion this year."
Klub's ambitious plan for 2024 involves infusing ₹200 crores into D2C brands across 45+ sectors, ensuring they are well-prepared for the upcoming festive season.
Veena Ashiya, founder of Monrow Shoes, shared her experience, "Klub's support has been instrumental in scaling our operations during the festive season especially on our own DTC and marketplaces like Myntra. Their investment not only provided us with the necessary capital but also the confidence to expand our reach and enhance our product offerings. We look forward to continuing this partnership and achieving greater milestones together."
UGRO Capital, a lending partner of Klub, also commended the initiative. "Partnering with Klub has enabled us to support the dynamic growth of India's D2C brands," said Tanya Chadha, Chief Business Officer - Digital business & Alliances, UGRO Capital. "Their innovative financing solutions are pivotal in providing these brands with the resources needed to thrive during peak sales periods like the festive season. We are proud to contribute to this journey and witness the remarkable growth of these businesses."
In 2024, Amazon India and Flipkart experienced significant growth in their seller bases. Amazon India has introduced new benefits to attract more sellers, while Flipkart has reported a 30% increase in its seller base compared to the previous year. As more small businesses leverage these e-commerce platforms to scale their growth, Klub's strategic investments are poised to play a pivotal role in shaping the future of India's retail and e-commerce landscape.
