Delhi-based Exit10 marketing private limited which operates the e-commerce marketplace Overcart has raised an undisclosed amount in Series A investment led by K Ganesh’s GrowthStory with follow-on investment from GSF Superangels network. This includes IndiaMart founder & CEO Dinesh Agarwal, iXiGo founder & CEO Aloke Bajpai, GSF founder Rajesh Sawhney, GSF operating partner Rishab Malik and GSF’s Tara Bhargava.
Post this investment, K Ganesh will join Overcart’s board of directors and former Vodafone India executive Jonathan Bill who is also an investor in the company, will come on board as a strategic advisor. The company plans to use the investment raised to scale its business on the supply chain side, build technology and for hiring.
Overcart had earlier received a seed funding of $25,000 from GSF, while being part of the accelerator’s first startup batch in October 2012.
Overcart helps businesses and large e-commerce companies manage their customer returns and eliminate their unsold stock by offering these products at marked down prices (liquidation prices) to consumers and smaller retailers. The company claims this helps businesses to reduce their warehousing costs.
Overcart currently focuses on the consumer electronics market in India and offers products like mobile phones, laptops, console games and electronic accessories. Expectedly, Smartphones is currently the largest category for the company at the moment.
Last October, e-commerce marketplace Snapdeal had partnered with ReGlobe to launch a resale service on its site. Through this, consumers could sell their used gadgets such as tablets, laptops and smartphones. There are other recommerce players like Hyderabad-based YNew and Kolkata-based Budli.in which allows users to sell used products.
Classified sites like the Naspers-backed OLX, Kinnevik-backed Quikr and Sulekha also allows users to sell and purchase their electronic products, however all these services are primarily focused on consumers while Overcart is focused on businesses and e-commerce companies.
GrowthStory Investments: Last June, OnlinePrasad had also raised investment from GrowthStory in return for 35% stake in the company. Ganesh is also a strategic investor and promoter in the online grocery store BigBasket, online jewellery store BlueStone and most recently, an education website for working professionals Avagmah. He was the founder of Tutorvista which was acquired by Pearson in a $213 million deal last year.