Due to the growth of e-commerce in India in the past few years, logistics startups have come up to meet the demand of companies like Amazon and Flipkart. Recently Loadshare, one of the foremost logistics startups managed to raise a funding of Rs 15.3 crores from CDC(Commonwealth Development Corporation) at its Series B Round.
According to Inc42, a news reporting website, the transaction also saw Loadshare issuing 1331 preferences and 21 equity shares. It further added that in December the company got funding from Stellaris Venture Partners, Matrix Partners, and Beenext.
Loadshare was founded by the trio Raghuram Talluri, Tanmoy Karmakar, and Rakib Ahmed in 2017. It aims to provide a seamless technology platform to e-commerce companies like Amazon and Flipkart. It is currently a B2C company i.e it facilitates deliveries from businesses(for example, Amazon) to its consumers. According to sources, Loadshare also aims to make its mark in the B2B world, in turn, facilitating deliveries between different businesses.
The company also aims to cash in on the small and medium enterprises by offering them first-mile, line-haul, and last-mile services. This shift of focus from giants like Flipkart to smaller enterprises could prove to be advantageous for Loadshare.
In May and June of last year, Loadshare also got Rs 7.25 crore in debt funding from Beeline Impex, Budge Budge Carbon, etc. Debt funding is the term used for the funding that a company raises for its working capital or capital expenditures and in turn sells bonds, bills, and notes to the creditors. It also promises to pay back the debt with interest within a stipulated period.
With over 2 million deliveries per month in more than 650 locations in the country, Loadshare is expected to give its competitors like Delhivery, Porter, FarEye, Blackbuck and ElasticRun a run for their money. The company currently has over 2900 delivery personnel in more than 5000 pin codes.
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According to experts, the current lockdown is functioning like a paradox for e-commerce and consequently logistics startups. With most of the companies like Amazon and Flipkart having suspended or at least partially suspended their operations, their sales have taken a downward turn. But the sheer scarcity of products in the market has increased the demand for these e-commerce companies. This is considered to be the primary reason behind investors betting big on logistics startups like Loadshare.
Whatever may be the reason, with its current spree of funding it is clear that Loadshare is a company that is here to stay.
