5 Striving Indian startups Overcoming Losses to Foster Success

Bizongo’s Loss widens around 170% Focused on E-commerce, Bizongo is an inventive B2B app-based vendor management startup based in Maharashtra. During FY23, the startup succeeded to maximize its revenue rate, but in the same period, the losses of the company soared 2.7 X. The total expense of the company including the employee paybacks have soared up to 79%, i.e Rs. 113.23 crore & ESOP expenses went up to Rs. 27.12 crore.

Also, Bizongo retained stipend for estimated credit loss of Rs. 124 crore. Henceforth, in the year FY23, the total expenditure of the company flowed up 97% to Rs. 476.6 crore from Rs. 241.8 crore in FY22. The associated total net loss of the company rose over 170% to Rs. 291.6 crore in FY23 while Rs. 166.9 crore in FY22.

Bizongo disbursed Rs. 2.9 to earn a rupee from various operations, the mainstream revenue generated from services fees, design income such as creating logo for packaging materials & sales from outside India. Notably, in order to achieve its business goals & manage the losses, the startup fired around 50 employees last year. Amid the significant challenges, Bizongo acquired FactoryPlus, a mobile-first SaaS platform for offering digitized solutions to MSMEs.

“With this acquisition of FactoryPlus, we aim to empower manufacturers with tailored solutions, such as digital raw material consolidation and embedded financing that can be seamlessly integrated into their supply chain and help them contribute to the country’s economic future”, says Sachin Agrawal, Co-Founder & CEO, Bizongo.