Frendy, an innovative startup establishing a digitally interconnected network of convenience stores tailored for smaller towns and rural areas in India, has successfully secured a bridge funding of Rs 16 crores ($2 million). The investment, spearheaded by Auxano Capital, AT Capital Singapore, Metara Ventures, Apurva Salarpuria family office, and Desai Ventures (an existing investor), marks a significant milestone in Frendy's growth trajectory. Established in 2022 by Sameer Gandotra, Gowrav Vishwakarma, and Harshad Joshi, Frendy aims to transform retail services in Gujarat's Tier 2-6 towns, meeting the requirements of 50,000 customers through a collection of over 4,500+ products available across its operational network of 40+ stores. The startup's distinctive approach involves a network of Franchised Frendy Marts digitally linked with a series of Frendy Micro stores.

In its second year of operations, the company has experienced notable success, achieving a revenue milestone of Rs 82 crores in FY23, marking a doubling of its performance from Rs 40 crores in FY22. This financial achievement is accompanied by a workforce of 100 professionals, including an in-house technology team based in Ahmedabad. The recent funding infusion will be strategically utilized to expand technological offerings, enrich the private-label product assortment, and augment the number of stores. The founders of Frendy are recognized for their emphasis on efficient capital usage and deliberate growth strategies. They anticipate reaching an Annual Recurring Revenue (ARR) of Rs 300 crores within the next 24 months, leveraging their existing geographical areas.

Sameer Gandotra, CEO of Frendy, outlined their growth objectives, stating, "Over the next 12 months, our aim is to establish 40 operational Marts and further strengthen our private label offerings. We have honed our business model and plan to sustain growth while ensuring favorable unit economics. Our plan is to replicate this model across Gujarat and subsequently expand to other states". Frendy's success is attributed to its distinctive hub-and-spoke convenience store framework, utilizing existing micro-stores as last-mile distribution hubs. The startup's emphasis on stores managed by women aligns with its commitment to empowering communities and promoting digital shopping adoption.

Gowrav Vishwakarma, Co-Founder of Frendy, emphasized the pivotal role of technology in their operations, stating, "Our objective is to streamline the technology platform for stakeholders, ensuring simplicity and efficiency. Furthermore, we aim to optimize retail processes through data-driven demand forecasting, automated restocking, and data-centric pricing strategies". Frendy's strategy to enhance density in current areas underscores its commitment to establishing a profitable, sustainable, and scalable model, emphasizing cost efficiency. The success story of Frendy injects dynamism into the competitive landscape within the grocery and retail technology sector, positioning the startup among prominent players like New Shop, 1K Kirana, Super K, Apna Mart, Citymall, GoBillion, Dealshare, and Rozana.