Furlenco is India’s first home furniture rental company based in Bangalore.They offer their services in Bangalore, Mumbai, Pune, Gurgaon, Delhi, and Noida. Furlenco allows you to rent furniture like sofa, table, bed, and lamp on a monthly basis. The platform offers limited looks, which you can order and have delivered at home at no extra cost. The company was launched in 2008 by Ajith Karimpana.
Ajith is the founder and CEO of Furlenco. Ajith completed his bachelor’s degree from Dr. B.R Ambedkar National Institute of Technology, Jalandhar. After that went to Temple University pursue MS.
Ajith also worked as Managing director at Kieraya Furnishing Solutions Pvt. Ltd and as a VP at Goldman Sachs in the US before started his own venture.
The idea of Furlenco:
While moving back from the US to Bangalore, Ajith had to sell his 5 thousand Dollars worth of furniture for little over 300 Dollars on a fire sale. Then again he had to buy the home furniture again in Bangalore. That is when it became clear to Ajith that there is an opportunity to introduce the ‘rental furniture’ concept to India. The company was started with the name of “Ur Duniya” but later re-branded as Furlenco in 2014.
Furlenco has raised a total sum of 21 million Dollars of funding in two rounds from 2 investors.
Series A: Series A round of funding was held in March 2015. The company raised 6 million Dollars of funding in this round led by Lightbox.
Series B: This round held in October 2016, the company raised 15 million Dollars of funding from Axis Capital Holdings Limited.
In the same month company also raised another 15 million Dollars as Debt Financing from IntelliGrow, Axis Bank, HDFC Bank.
Furlenco Business Model
Furlenco has a very simple business model based on renting of products. A user can choose the products available on Furlenco app and website.The user has to fill in a form and has to pay a refundable security deposit. The minimum subscription period is 3 months. Furlenco delivers the furniture to your doorstep and picks up after the renting period free of cost.
All the Furlenco furniture is insured. So the customers do not have to pay in case of any damage. Each piece of furniture is covered for up to 10,000. There is no insurance for appliances.
Furlenco Marketing and Branding:
Furlenco is targeting young bachelors coming out of their parent’s house for the job or studying purpose. The ideal age group is 22-30 years. There are around 80,000 professionals who graduate from 90 universities in over 50 cities and then relocate to various cities for a job.
These professionals are moving into a world of extreme uncertainty. They are leaving their homes and going to a new city for an undefined period of time. Furlenco is trying to address the gap of buying/renting and selling/reselling the furniture. It makes returning the furniture as easy as a click.
Furlenco is majorly relying upon digital marketing for its marketing and branding purposes. The app is quite popular among the youth and solves the purpose of having home furniture without spending too much.