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UrbanClap raises $25 million from Bessemer Venture Partners, Saif & Accel

Company plans to use the money to expand its business and for acquisitions

BS Reporter  |  Chennai 

UrbanClap founders (from left)  Abhiraj Bhal, Raghav Chandra and Varun Khaitan
UrbanClap founders (from left) Abhiraj Bhal, Raghav Chandra and Varun Khaitan

UrbanClap, an online platform that offers home services, has raised a Series B round of funding of $25 million that was led by Bessemer Venture Partners, with participation from existing investors Saif and Accel Partners. Earlier this year, UrbanClap had raised $12 million over two rounds from Saif and Accel Partners.

UrbanClap offers a range of services staff that includes plumbers, beauticians, yoga trainers and even wedding photographers. Under its model until now, UrbanClap charged 10-20% from the customer, but nothing from the srevice provider; going forward, however, it will reverse that logic. In a release Abhiraj Bhal, co-founder of UrbanClap, said the money will be used to make strategic acquisitions, and to strengthen company's leadership position in the space, including an expansion drive in other major cities.

By next year, the company plans to have more than 100,000 professionals on the platform -- it currently has 20,000 registered service providers -- and serve over 100,000 customers daily, up from 5,000 currently. Headquartered in Gurgaon, UrbanClap offers services in more than 75 categories across Delhi NCR, Bengaluru, Mumbai, Chennai and Pune. The company plans to extend its offering to 25 cities and 100 plus categories over the next year. Further, this round of funding will be used to increase its team size from 300 currently to about 600.

UrbanClap, which was founded in November 2014, generates business worth $200 million annually, based on current run rate, to its registered services professionals, Bhal said.

First Published: Thu, November 19 2015. 12:46 IST
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