Furlenco, a furniture rental startup in India, has secured 60 crore rupee (US$7 million) in debt funding from Northern Arc Capital and CredAvenue.

The funds were raised through non-convertible debentures (NCDs), with 50 crore rupee (US$5.73 million) allocated to Northern Arc and 10 crore rupee (US$1.15 million) to CredAvenue, according to regulatory filings.

Founded in 2012 by Ajith Mohan Karimpana, Furlenco provides subscription-based furniture rentals in major Indian cities. The startup raised US$140 million in a series D funding round in 2021.

In FY 2023-24, it reported an operating revenue of 139.6 crore rupee (US$16.01 million), down over 10% from the previous year, and a net loss of 130 crore rupee (US$14.91 million).

Furlenco operates under House of Kieraya, which includes Furbicle and Unlmtd. It faces competition from Rentomojo, Cityfurnish, Rentickle, and Pepperfry.

The funding highlights challenges in securing equity capital amid shifting consumer preferences. In 2022, Furlenco laid off 180 employees as part of cost-cutting measures.

Recent Furlenco developments