Relocating from one city to another is quite a herculean task, and moreover, if one is planning to stay in the city only for a few months or years, it’s even more painful to shift all furniture and home decor. What if one were to avail all home appliances and furniture on rent?
RentoMojo started off with this idea 18 months ago, and now it aims to touch a million subscribers in the next couple of years. “At present, we have more than 12,000 subscribers. Our ARR (Annual Recurring Revenue) in the last fiscal year was $3.5 million, and we want to achieve $12-15 million in the next year,” Rentomojo.com Founder and CEO Geetansh Bamania said.
“Rentals are economical, flexible and cheaper than EMI. Ours is a subscription commerce model. One can subscribe for three months, nine months, and 12 months. For example, if you take 1BHK, one has to pay close to Rs 3,000 a month for TV, fridge, microwave oven and furniture, among others. Close to 70% of real estate comes unfurnished, and there’s a huge scope out there for the subscription model,” Bamania said.
RentoMojo subscribers are between the ages of 18 and 34 years. One can also upgrade whatever they have subscribed, and return assets once the subscription gets over.
Present in six cities, including Bengaluru, the company wants to expand to two more cities by this fiscal year. While initially, RentoMojo started off by owning assets, it later turned capex into opex and went on building a financial tech model. “We don’t own any of the assets, and in this way, it’s a win-win for both — owners and users,” he said.
Recently, RentoMojo raised $5 million in Series A from IDG Ventures and Accel Partners. The funds will be used to strengthen the product. Also, the rental company is planning to launch two-wheelers for rent soon.
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