Furlenco, an Indian furniture rental startup, has secured 60 crore rupees (approximately $7 million) in debt funding from Northern Arc Capital and CredAvenue. The funds were raised through non-convertible debentures (NCDs), with 50 crore rupees ($5.73 million) directed to Northern Arc and 10 crore rupees ($1.15 million) to CredAvenue, as per regulatory filings.
Founded in 2012 by Ajith Mohan Karimpana, Furlenco offers subscription-based furniture rentals in major Indian cities. In 2021, the startup raised $140 million in a Series D funding round.
In FY 2023-24, Furlenco reported operating revenue of 139.6 crore rupees (approximately $16.01 million), a decline of over 10% compared to the previous year. The company also reported a net loss of 130 crore rupees ($14.91 million).
Furlenco operates under its parent company, House of Kieraya, which also includes brands like Furbicle and Unlmtd. The company faces competition from Rentomojo, Cityfurnish, Rentickle, and Pepperfry.
This funding reflects the difficulties in securing equity capital amid changing consumer preferences. In 2022, Furlenco reduced its workforce by 180 employees as part of a cost-cutting initiative.
