Household-help startup Snabbit is currently discussing a fresh funding round at a valuation of nearly $450 million, highlighting the increasing investor interest in India’s rapidly growing home services market.
The Bengaluru-based startup allows consumers to book instant assistance for everyday tasks such as cooking and cleaning. Meanwhile, the company has started planning its Series D funding round after already raising $56 million within just 18 months since its launch in 2024. Founder Aayush Agarwal revealed in an interview that the company’s previous funding round valued the startup at $180 million.
Notably, startups that promise household help within as little as 10 minutes have attracted strong investor attention despite India experiencing a prolonged venture funding slowdown. Investors continue to focus on the growth potential of these platforms because they cater to the country’s expanding middle-class population.
According to Redseer Strategy Consultants, India’s home services market will likely grow to nearly $100 billion by the end of the decade, increasing from the current estimated value of about $60 billion. The research firm expects the sector to grow at an annual rate of around 10%. Additionally, Snabbit estimates that the top 60 million urban households in India spend approximately $750 every year on household services.
“We expect it to go to $100 billion,” Agarwal said, citing rising disposable incomes, urbanisation, and the emergence of the apps. “When something that was otherwise not as accessible becomes readily accessible, the overall pie also increases in size. We’ve seen this with food delivery.”
Furthermore, Redseer estimates that online platforms currently facilitate less than 1% of paid household-help services in India. As a result, digital platforms still have massive room to expand their market share.
Agarwal conceived the idea for Snabbit after he personally struggled to find reliable home help for several months. Eventually, he asked his mother to handle the search using traditional methods. She waited near apartment gates, spoke with domestic workers heading to other jobs, and negotiated informal arrangements during morning walks.
“In a world where everything is a button-click away, this was an irrational amount of effort,” Agarwal said at his company’s headquarters. The office features pink-colored walls and furniture, which match the uniforms worn by thousands of Snabbit’s domestic workers.
To ensure faster service and efficient worker allocation, Snabbit has divided cities into smaller micro-markets based on factors such as walkability, traffic flow, and physical barriers. Additionally, the platform even considers which side of the road a customer lives on because heavy traffic congestion can significantly impact service speed.
However, the sector still faces regulatory challenges, particularly regarding gig-worker protection. For instance, stricter regulations could introduce mandatory base pay requirements along with additional costs for training, insurance, and regulatory compliance. These changes could eventually put pressure on the profit margins of gig platforms. India has already started implementing welfare measures for gig workers, including social-security contributions from digital platforms.
Currently, Snabbit guarantees minimum monthly wages that typically range between $270 and $380, depending on shift structures and city locations. This pay level remains competitive because India’s average monthly salary stands at approximately $350, according to job portal Shine.
At present, the company continues to operate with negative margins because it is investing heavily in building worker supply ahead of expected demand growth. Nevertheless, Agarwal stated that Snabbit could already achieve profitability in some of its more mature markets if the company paused its rapid expansion plans.
Snabbit’s planned funding round reflects the growing momentum in India’s digital home-services ecosystem. As urbanisation, rising incomes, and app-based convenience reshape consumer behavior, platforms like Snabbit aim to organise a largely informal market. With strong investor backing and a massive untapped customer base, the company could play a significant role in transforming how Indian households access domestic services in the coming years.
