Hyperlocal startups have been into the major picture these days. In-fact, the success rate of these hyperlocal startup concept is better than usual as they understand the scenario better than others. Shadowfax, the Gurgaon based on-demand hyperlocal delivery service provider startup, have raised their Series A round of funding of $8.5 Million. The funding round was led by Eight Roads Ventures which is the Fidelity’s proprietary investment arm.
Under this investment, Mr Kabir Narang (MD Eight Roads Ventures) will be joining ShadowFax’s Director’s Board.
The concept of Shadowfax is a startup which looks at and provide delivery requirement fulfillment service to local business. It was launched in early 2015 by Vaibhav Khandelwal and Abhishek Bansal. With the hyper-local network delivery, merchants can work in cost-effective manner and they need not worry about logistics management.
Shadowfax offers delivery scheduling, app-based communication channel, high feedback system, GPS based tracking and dynamic rider allocation on the basis of rider’s location. Shadowfax assist providers with 100% delivery guarantee.
It is worth mentioning that Shadowfax also raised angel investement of $300,000 last month. The angel investment round was led by Rohit Bansal, Kunal Bahl, Zishaan Hayath and Prashant Malik.
Early last week, CredR also raised $15 Million from Eight Road Ventures. Shadowfax have been growing at rapid rate and already have YoChina, Chaayos, Dana Choga’s Kitchen and Pind Balluchi under their clientelle.
As per Shadowfax, they will be using the fund to upscale their business. They are offering services in 3 cities and looking to expand on this genre.
Our take on Shadowfax
While Shadowfax have been doing well in Gurgaon, they will face tough competition from players including Grofers, Peppertap, Zopper etc. They need to expand in terms of team size and keep on offering their 100% delivery guarantee service.