Online photo printing startup Zoomin.com has raised Rs 8 crore approx ($1.5 million) in venture debt funding from SVB India Finance, a subsidiary of the Silicon Valley Bank (SVB), reports Techcircle. It’s not clear how the site plans to use the funds raised.
Founded in 2007, Zoomin allows users to upload, store and print digital photos on photo books, mugs, calendars, t-shirts. It ships products to India, US, Canada and UK. Apart from that, it also has offline retails studios in partnership with Crossword bookstores in Delhi-NCR, Mumbai, Pune, Ahmedabad, Bangalore, Kolkata and Chennai.
Earlier Zoomin had raised $12 million in two funding rounds from First Round Capital and Sherpalo Ventures. However, the the funds raised this time are in the form of venture debt. Startups, who do not want to dilute equity, raise capital in the form of debt funds. The investors are given equity convertible portion, which kicks in, in the event of an acquisition or the firm going public. Last year in November, SVB had given a similar loan to Loylty Rewardz Management Pvt Ltd, a loyalty & relationship management company.
Other players: Other companies in the online photo and personalized products space include Printo (funding from Sequoia Capital and Seed Fund), iTasveer (has a deal with Windows Vista), Canvera (funding from Footprint Ventures, Mumbai Angels and DFJ) , eYantra ($3.1 million from VentureEast and Argonaut) and others like eYaadein and PhotoMasti.
Initially, Myntra.com too offered personalized and on-demand consumer products, however, it switched gears and re-position itself as a lifestyle portal to include more mainstream products.