India’s online local services startup UrbanClap has secured US$50 million in Series D round of funding, co-led by Hong Kong-based hedge fund Steadview Capital and existing backer Dubai-based Vy Capital.
UrbanClap will use this funding to accelerate customer and service partner on-boarding, invest in team building, especially on the product and technology front, build training capabilities, enhance its supply chain of consumables, and continue to invest in building high quality experiences for both sides of the marketplace. It also plans to launch a host of Tier 2 cities in India, starting with Chandigarh which was launched this week.
According to a report, with the current funding, UrbanClap’s valuation has more than doubled to US$480 million.
UrbanClap’s Co-founder Raghav Chandra said: “We have a mission to create more than 1 million micro-entrepreneurs for India and other emerging markets. Today, approximately 15,000 service professionals earn their livelihood through the UrbanClap platform. We would like to grow that number 100 times over the next five years, while providing high quality, delightful services to our end users.”
In July last year, UrbanClap raised US$21 million from Vy Capital, with participation from SAIF Partners, Accel Partners and Bessemer Venture Partners. Previously, the startup has grabbed US$25 million in Series B round of funding led by Bessemer with participation from SAIF Partners and Accel Partners. This was followed by an investment from business tycoon Ratan Tata in December 2015 and US$3.1 million in debt investment from Trifecta Capital in May 2017.
Started in October 2014 by Abhiraj Bhal, Varun Khaitan and Chandra, UrbanClap enables users to find and hire verified service providers like plumbers, beauticians, yoga trainers and wedding photographers. Its professionals services 300,000 bookings each month.
The startup has operations in eight cities, including Delhi-NCR, Bangalore, Mumbai, Chennai, Pune, Hyderabad, Kolkata and Ahmedabad.