Rudra India Fund I will launch a US $50 million (₹375 crores) venture debt fund that will provide alternative financing solutions to emerging businesses, especially franchise companies in India. The fund will initially focus on India’s beauty and wellness industry and expand into other business verticals.
The venture debt fund is gaining market in India as the funds are focusing on growing their debt portfolio backed against immovable assets and the business revenue. The venture debt carries considerably lower risk as the focus is on earning a fixed income rather than growing the equity basket.
In the coming days, the fund will tie-up with leading and beauty and wellness brands, including beauty salons, cosmetics, and other beauty treatment businesses, and will finance the companies looking to avail their franchisees.
“Our fund will focus on backing businesses who are taking the franchisees of the top beauty and wellness brands. Such franchisee businesses will be able to avail easy financing, which will considerably reduce their business setup time. Since we will be working with the top brands directly, we will receive leads from their offices. Most of the top brands conduct their due diligence on the team and location. The franchisors will be able to expand their presence with ease. We will either focus on earning interest or a certain percentage from revenue. The fund is focused on creating a win-win situation for all the parties involved,” said Garima Malhotra, Managing Partner of Rudra India Fund I.
Garima Malhotra will also launch its salon brand “Touch of Pastels.” and has a vision of setting up 40 stores in the next 1-2 years time frame.
Instagram: https://www.instagram.com/touchofpastels/
