Recur Club, a marketplace offering debt solutions for startups and small enterprises, has unveiled a new fund of Rs 150 crore aimed at boosting the growth of direct-to-consumer (D2C) brands in the quick commerce sector.
The company asserts that this initiative will provide brands with the means to acquire additional inventory and enhance their marketing efforts, with loan disbursements expected to be completed within a week.
Emphasis on Quick Commerce Growth
Eklavya Gupta, co-founder and CEO of Recur Club, highlighted that the quick commerce market in India is anticipated to grow at an annual rate exceeding 25% through 2030, driven by the demand for faster and more convenient services. The D2C industry is also forecasted to surpass $60 billion by 2027, intensifying the need for accessible debt financing. Gupta emphasized that businesses are leveraging these funds to scale up inventory and implement effective marketing strategies to meet consumers’ increasing expectations.
Tailored Financial Solutions
Recur Club’s debt offerings are designed to cater to the specific requirements of both early-stage startups and well-established businesses. Companies can obtain loans ranging from Rs 50 lakh to Rs 100 crore by registering and linking their financial data.
Over the last three years, Recur Club has disbursed more than Rs 500 crore to D2C companies, constituting approximately 30% of its overall portfolio. Among the notable beneficiaries are brands like Ustraa and Wellversed.
Expansion Plans and Collaborations
This new fund aligns with Recur Club’s larger strategy to support Indian startups, particularly within the quick commerce sector. The company aims to deploy Rs 2,000 crore through its Recur Scale facility, which can offer up to Rs 100 crore to a single startup or small business, and an additional Rs 1,000 crore through its Recur Swift offering tailored for micro, small, and medium enterprises.
Recur Club has also forged partnerships with financial institutions like InCred, facilitating over Rs 300 crore in funding this year for early and mid-stage startups.
Supported by investors such as InfoEdge Ventures, Village Global, LC Nueva, and Titan Capital, Recur Club believes that this fund will further empower emerging D2C brands.
Gupta remarked that their mission is to bolster “Make-in-India” companies as they grow into global contenders, utilizing debt financing to accelerate innovation, meet consumer demands, and take advantage of India’s burgeoning quick commerce market.
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