SnappRetail, based in Karachi, has completed a $2.5 million pre-seed fundraising round led by Zayn Capital’s BitRate Fund, with participation from Antler and Century Oak Capital.
Rasheed, Moazzam Ali Khan, Ahsan Aziz, and Moiz Ali established SnappRetail in 2021. The team’s initial startup, Resource Linked, was a retail recruitment service that assisted 100,000 merchants in recruiting workers. Rasheed and Khan have previously worked with major conglomerates such as Unilever and L’oreal.
“Being a proven concept globally, there is no doubt SnappRetail has the proper approach to tackling the key challenge of the store,” said Zayn BitRate Fund co-founder and general partner Faisal Aftab in a statement. We were particularly impressed with the knowledge and maturity brought to the table by this founding team, which has struck the correct mix between hypergrowth and managing the burn.”
“Having invested in similar plays globally, we have witnessed the immense market potential of this sector. We have been thoroughly impressed by the vision SnappRetail brings to the tech industry of Pakistan and are looking forward to seeing them build upon their great progress,” said Jussi, General Partner, and Founder at Antler.
The funds will be utilized for product development, hiring, and expanding SnappRetail to 1,000 clients by the end of 2024, with a target of reaching 13 cities by then.
“It’s hard to believe that retail, which is such a significant contributor to Pakistan’s GDP, is still run on pen and paper. Little to no data exists for these businesses to make meaningful decisions and, critically, to seek finance to help them succeed. They are missing out on revenue and We are moving retailers from manual ways of working to digital ways of working in all their daily tasks for the shop. We anticipate this change in approach will help them increase revenue by 25-50%,” said Adeel Rasheed, CEO, and co-founder at SnappRetail
SnappRetail’s solutions include point-of-sale (POS) devices as well as an end-to-end operations platform (for inventory management, stock ordering, and analytics), which the company claims lets small businesses compete with larger ones.
They can also accept digital and card payments and get microcredit for working capital thanks to the platform.
SnappRetail generates revenue by charging its clients a monthly retail fee. Retail sales data is often sold to huge consumer product makers.
Rasheed stated that when more merchants sign up, the company will develop more monetization channels through partnerships for items such as working capital loans, B2B aggregation, and card payments.
