Bengaluru-based VSRD Online Solutions Pvt. Ltd, which runs pre-used home appliances and furniture seller platform Refabd, has raised a seed fund of Rs 60 lakh from Athamus Venture, according to reports.
The startup will use the funds for team expansion and also plans to spread to four more cities. The startup is currently operational in Bengaluru.
Refabd was launched in May 2016 by Rahul Varma, Vineeth Kumar and Durai Gowardhan. The trio decided to look at the prospect of purchasing used household appliances that were not more than four years old and then refurbishing and selling the same online with a six-month warranty. That’s how Refabd was born.
“Most of the things we were trying to buy when we were studying were not satisfactory and most of the time it was very difficult to carry from far off places within the city,” said Varma.
In the first six months of the operation in Bengaluru, the startup got over 500 plus orders. A year later of the launch, it claims the customer reach so far stands at 5000 plus with daily visits to the website registering over 100 unique customers, who are over and above the repeat customers
The company claims to have clocked a revenue of around Rs 60 lakh in 2016-17. They are also looking to raise a Series A round of $1.5 million. The new round will help the company to expand into other domains of products as well as other cities such as Delhi-NCR, Hyderabad, Chennai and Pune.
Salient features of Refabd:
- If the product is fit for sale, then the third stage comes in photographing, where candid pictures with all the dents and blemishes if any are taken and uploaded on the website along with full information on the product as well as the expected price.
- The products are all sold with 6 months warranty. A provision for return within seven days of purchase in case of dissatisfaction is also provided, claims the company
- Selling back the product too is permitted if the customer is leaving the city within 6 months of purchase.
- Incidentally, the customers are happy as they get these latest products at a large discount merely for a small blemish or dent that would have occurred during transportation.
- Generally the customers get products from Refabd at the price between 50 to 70 per cent of the MRP.
- It offers on time free delivery service and 24*7 post sale customer service
How it works?
- Interested sellers can log on to their website and upload information on the product offered for sale and their contact details.
- This is followed with a physical inspection of the product by a technician, negotiation of the price and final purchase.
- Sellers are invariably those leaving the city or those wanting to upgrade their product.
- Refabd is not a marketplace. It buys furniture and appliances from people who are moving out of the city and sells it to people in need of it, thereby making a profit on every sale.
Other players who are working in the same space are GoZefo, Tradly, Quickr, Olx, Max Deal, Spoyl, Second hand mall, including others.
