Bengaluru-based startup VilCart has raised $18 million in a Series A funding round led by Asia Impact SA, with participation from Nabventures Fund and Texterity Private Limited. The company, which was founded in 2018 by Prasanna Kumar and his co-founders, connects Farmer Producer Organisations (FPOs), brands, rural SMEs, and manufacturers directly to Kirana stores through its Tech Enabled Rural to Rural Supply Chain.
According to a statement from the company, the funds will be used to expand operations to include the entire South Indian region by next year. Unitus Capital served as the financial advisor for the round.
VilCart’s platform allows village Kirana stores to easily procure inventory and manage logistics and supply chains. The company aims to bridge the gap between rural consumers and manufacturers/primary market by building a strong network.
VilCart adds 50,000 New Stores
“VilCart has added 50,000 new stores across South India. VilCart will use this funding to build on its portfolio of existing private-label brands, launch new products, geographic expansion, and become Kirana’s preferred partner with a pan-India presence,” said Rajesh Ranjan of NABVENTURES, which has seen its investment in VilCart grow fourfold since 2021.
The company is strongly rooted in all parts of Rural Karnataka and expanding aggressively towards complete South India, backed by its state-of-the-art technology and analytics. With its Farmer to Farmer supply chain, VilCart takes care of all segments of rural life, such as farmers, FPOs, SMEs, youths, self-help groups, and local transport operators, resulting in overall consistent income and growth for all classes of people.
Currently, the VilCart has reached 85,000 Kirana stores in 30,000 villages, covering 29 districts in Karnataka and one in Andhra Pradesh and Tamil Nadu respectively. VilCart expanded its size by 2.6 times to $25 million in FY22, up from $9.6 million in FY21.
VilCart series A funding will help the company to expand its operations and become a Kirana’s preferred partner with a pan-India presence, benefiting the rural community by providing them with access to goods and services which will result in consistent income and growth for all classes of people in the rural areas.