TenderCuts, a Chennai-based omnichannel meat and seafood product incubator, has secured INR 30 crore (approximately $4 million) in a debt investment round headed by Stride Ventures. The cash will be used to help the firm realise its development and expansion objectives in eight locations by early 2022.

TenderCuts, founded in 2016 by Nishanth Chandran, is recognised for its freshly cut meat and seafood, which it distributes through local stores and online. Customers can buy meat or seafood within two hours of the first cut (both in person and online).

In February 2021, the firm secured $15 million to fuel its offline development in existing and new locations, with a total of 100+ outlets by the end of the year. In 2017, it raised $759K in its seed round.

The consumption of chicken, fish, and similar goods has been steadily increasing over time. However, there was a scarcity of genuine names in this market from which consumers could purchase such items. There was a group of consumers who were denied access to such items throughout the lockdown period, which lasted from 2020 to 2021. As a result, the emergence of companies like TenderCuts and comparable businesses in this space is simply filling a market need.

According to the report, 3.9 million metric tonnes of chicken meat were eaten in 2020, up 5.4 % from the previous year. According to a census statistic, more than 70% of Indians over the age of 15 are non-vegetarian, giving D2C businesses operating in the market a huge population to appeal to.

TenderCuts now has an omnichannel distribution approach, with 50 locations serving consumers in Chennai, Hyderabad, and Bangalore. It had also put its money on the ready-to-cook market, with a product line that included sausages, kebabs, shawarmas, and pickles, among other things. It now plans to expand its menu to include additional regional cuisines.

TenderCut's overall income increased by 300 % year over year in FY21, from INR 35 Cr in FY20 to INR 100 Cr in FY21.

Along with its retail development plan across the country, the business promoted three of its high-ranking workers, Sasikumar Kallanai (CBO), Varun Prasad Chandran (CTO), and Venkkatesan R (CTO), to cofounders in October 2021. The three had been involved in various significant initiatives, according to the firm, and would now be entrusted with further growing the brand.

Among the startup's biggest rivals are unicorn Licious, ZappFresh, Meatigo, FreshToHome, Meatizza, and GoodToGo, who are all vying for a piece of the meat delivery pie.

This is Stride Ventures' 43rd investment across both funds — Funds I and II — as it continues to play a significant role in new-age company development stories. In 2021, Stride Ventures would have disbursed over INR 400 crore across 20 ventures.

Stride Ventures India Fund I has invested in more than 20 firms, including Pocket Aces, Miko, SUGAR Cosmetics, Infra.Market, Spinny, HomeLane, Zetwerk, and Bizongo. Neeman's and Homelane are among the venture debt fund's stakes from Fund II.