Existing investors Snow Leopard Ventures, Lightspeed Partners, and Matrix Partners India also participated in the fundraising, along with HOF Capital, Old Well Ventures, LetsVenture and 9Unicorn. A clutch of angel investors, including Oyo’s Ritesh Agarwal and Nothing CEO Carl Pei, also invested in the startup.
Dukaan had raised $6 million in seed funding from Matrix and Lightspeed in October 2020.
Founded in 2020 by Suumit Shah and Subhash Choudhary, Dukaan helps merchants with no programming skills to set up their ecommerce stores using smartphones. About 3.5 million small and medium-sized businesses are using its platform.
Shah said that the company will use the fresh capital to expand its operations, hire web designers and developers and establish key strategic partnerships to grow its paying merchant base. Currently, 2,000 merchants pay for a premium subscription service that contributes about 10% to the company’s revenue.
“We founded Dukaan because we saw small businesses and first-time entrepreneurs struggling to digitise and make their presence online. We became obsessed with the idea of making the most affordable, easy-to-use, mobile-first commerce platform in the world.” Shah, who is also chief executive of Dukaan, said.
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