In Startup50 2017: Rentomojo, has built an interesting business model around renting of furniture, home appliances and even bikes. The company makes it to the list thanks to robust user growth, revenue traction and positive customer reviews from over 25,000 subscribers. The company recently raised US $10million from Bain Capital Partners and former Lending Club CEO Renaud Laplanche.
Founders: Geetansh Bamania
Designed as a fin-tech firm: According to the founder, Rentomojo is as much a fin-tech, consumer leasing firm as it is an e-commerce company. The fundamental value proposition to the consumer is that renting (of furniture, durables etc.) makes much better financial sense than buying. It competes with the likes of Furlenco (which is a furniture subscription company and also a Startup50 Alumni company), but with more product categories including washing machines and two-wheelers.
In 8 cities: Since founding the company in 2014, Bamania has scaled up Rentomojo’s operations to 8 cities including Mumbai, Delhi, Bangalore and Pune. As of June 2017 (when we gathered data for the Startup50 Jury meeting), the company had 25,000 active customers and had given approximately Rs. 50 crore worth of products on rent.
Roping in Laplanche: In addition to marquee investors like IDG, Bain Capital and Accel, the company raised money from Renaud Laplanche, the founder of Lending Club, a peer-to-peer lending startup which he led to a successful IPO. Laplanche’s induction showcased the focus on the company’s strategy to build a fin-tech driven business model, rather than a consumer technology company.
- Serves over 25,000 customers
- Rentomojo has handed out over Rs. 50 crore worth of products for rent
- Different from Furlenco, a furniture company, as it offers a wider number of products on rent, including a washing machine and two-wheeler
- Bamania worked at Pepperfry, Flipkart and founded two other startups before starting up Rentomojo