E-commerce platform Shopmatic in advanced talks to raise upto $10m funding

Singapore-based e-commerce platform Shopmatic, which counts India as its biggest market, is in the process of raising fresh venture capital funding.

The firm is looking to raise a Series A round, which might be in the range of $8 million to $10 million, DEALSTREETASIA has learned. It is currently in advanced talks with investors in Southeast Asia.

Thousands of offline businesses in smaller towns of India are wary of online selling — although many have joined the bandwagon through marketplaces like Flipkart and Snapdeal — and are apprehensive about the costs involved. Shopmatic helps these businesses and entrepreneurs to sell online.

The startup helps the businesses with developing their own web stores — complete with a user-friendly interface — and listing them on marketplace and social channels. It also advises them on the ways to get a better sales response online for a monthly fee of $20. Shopmatic does not charge any additional fees per sale made by the customer.

The website competes  with players like Shopo and Shopify in India.

“We are looking for funding because we are bringing forward plans to launch in 3-4 markets in Southeast Asia,” said Anurag Avula, CEO & co-founder, Shopmatic, confirming the fundraising process in a phone conversation. The initial plan was to launch in more markets by the first quarter of 2017.

Funding for startups this year seems to have slowed compared to last year, but startups with good teams and sustainable business models are not finding it a problem to get funded. “The diligence of investors we have met has become stronger now. But that is not a problem for our business,” Avula said.

The company rolled out its SaaS (software as a service) platform in India last year, its first market, followed by Singapore. It launched in Hong Kong last week.

“Apart from products, people are also selling services on the platform, such as math tuition and yoga training,” Avula said, referring to the Indian market.

It has about 10,000 customers in India.

The company was founded in 2014 and it had raised initial funding from individual investors. It is looking to close the new round by the fourth quarter of this year.

Also read:

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We are making it extremely affordable for small businesses to go online: Shopmatic

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.