10club Raises $40 Mn In Seed Round
The funding will primarily be used for expanding 10club's portfolio of brands, investing in building its technology stack, and for working capital purposes
E-commerce roll-up platform 10club that acquires, operates, and grows e-commerce first businesses, on Tuesday informed to have raised $40 million in Seed funding. The funding round was co-led by Fireside Ventures and an international investor active in the space. The round also saw participation from HeyDay, a leading player in the roll-up space, PDS international, Class 5 Global, Secocha Ventures led by Sanket Parekh, boAt founders Aman Gupta and Sameer Mehta (in their individual capacity), and several other global strategic investors.
The funding will primarily be used for expanding 10club's portfolio of brands, investing in building its technology stack, and for working capital purposes.
Vinay Singh, partner, Fireside Ventures will join the company's board.
"This funding from our international partner, who comes with a great understanding of this model globally, and Fireside Ventures, who have successfully championed building many consumer-focused brands, is an important milestone in 10club's journey. Having HeyDay participate in the round also gives us the opportunity to learn from operators. We have already built our foundational pillars of the centralized platform with a strong leadership team, a partner ecosystem, and an operational playbook to deliver high performance. The potential to catalyze the entrepreneur, scale their business, and thereby build a formidable portfolio under the 10club umbrella is immense. This funding will enable us to expand our portfolio and bring about transformational changes for the businesses we acquire," said Bhavna Suresh, co-founder, and chief executive officer, 10club.
10club partners with e-commerce product sellers in India by acquiring their businesses and working with their teams to help them grow tenfold in size. The last couple of years have seen the advent of many entrepreneurs who have built sustainable businesses on the back of marketplaces like Amazon and Flipkart; the accelerated adoption of e-commerce by the Indian consumer has further strengthened these businesses.
"India and online-first brands are at the cusp of the next revolution. We, at Fireside, believe that both VC and acquisition-driven models will co-exist going forward and can turbocharge the growth of early-stage brands. Together with the team at 10club, we will be able to drive this change and enable e-commerce entrepreneurs to realize the full potential of their brands," remarked Vinay Singh, partner, Fireside Ventures.
The 20-people team of 10club includes e-commerce leaders from companies such as Amazon, Flipkart, Udaan, Reliance, Coca Cola among others.
"Consumer spending continues to accelerate globally and third-party sellers across marketplaces like Amazon and Flipkart are the driving force behind this trend that is here to stay," added Joel Ayala, partner, Class 5 Global who is also a c-founder of 10club as well as chairman of the board. "I am determined to work with the team to make 10club the go-to destination for the most talented sellers and entrepreneurs who want to take their brands to the next level. Moreover, I am excited to work with Bhavna, Deepak, and the entire 10club team to build the next-generation multi-brand platform in the market."
The 10club team has engaged with 100's of sellers across specific product categories to understand the motivations, challenges, and opportunities that exist in the market. They also take a collaborative approach to structuring deal structures that will provide the entrepreneur with an exit and see their business achieve growth velocity. The company is now focusing on working with select entrepreneurs and helping them to grow their businesses. They have also signed LOIs worth $15 million and will push to operate these businesses in the coming weeks.