Global B2B fashion startup Zyod has successfully raised $18 million in a Series A funding round led by RTP Global. This investment round, a mix of debt and equity, also saw participation from Lightspeed Venture Partners, Alteria Capital, Stride Ventures, Stride One, and Trifecta Capital.
This marks Zyod’s second funding round in just 15 months. In April 2023, the Gurugram-based startup raised $3.5 million in a seed round led by Lightspeed.
The newly raised capital will be directed towards geographical expansion, increasing Zyod’s presence from 18 to 40 countries. Additionally, the funds will support technological advancements and talent acquisition.
Founded by Ankit Jaipuria and Ritesh Khandelwal, Zyod specializes in providing comprehensive support to global customers aiming to launch and grow their fashion businesses from scratch. The startup boasts the capability to deliver new product ranges within 21 days, with a minimum order quantity as low as 50 pieces, making it an attractive option for brands.
In India, Zyod collaborates with prominent names like Reliance, Aditya Birla, Rare Rabbit, and FirstCry. The company aims to double its customer base and introduce 100,000 unique designs each month, catering to a global audience.
Looking ahead, Zyod anticipates that 80% of its business will come from overseas markets.
Zyod competes with other players in the B2B fashion space, such as Prosus-backed Fashinza, which has raised around $150 million to date. According to an ET report, Fashinza was considering returning investors’ money due to challenges in finding traction with its original business plans.
Early-stage venture capital firm RTP Global, which led Zyod’s latest funding round, closed its $1 billion fund in June last year. The firm plans to allocate a third of its investments to India and has recently backed startups like International Battery Company (IBC), Dexif, Varaha, and SydeLabs.
With this substantial investment, Zyod is well-positioned to enhance its market presence, innovate technologically, and expand its global footprint.
