BW Online Bureau | January 03, 2025
Pune-based B2B technology ecosystem for logistics, CargoFL, raises ₹6.75 crore in its seed round, led by YourNest Venture Capital, further solidifying its position as an AI-driven decision intelligence platform for logistics and supply chain management. The round includes ₹4.7 crore from YourNest, ₹50 lakh each from Real Time Angel Fund (RTAF) and Peaceful Progress Angel Fund, ₹25 lakh from Sanchi Connect Accelerator, and ₹80 lakh from prominent angel investors, including Dinesh Chandra Agarwal (MD & CEO of IndiaMART), Dinesh Gulati (COO of IndiaMART), Murugavel Janakiraman (Founder & MD of Bharat Matrimony) and Rajesh Sawhney (Founder of GSF Accelerator).
CargoFL plans to allocate 40% of the funds to build a sales engine for growth in India, Southeast Asia (SEA), Middle East and North Africa (MENA) and North America. Another 40% will focus on enhancing product capabilities, including logistics and supply chain automation. The remaining 20% will support client onboarding and implementation across geographies. The company is also aggressively hiring for senior leadership roles, including Chief Product Officer, Chief Technology Officer, Chief Finance Officer, senior tech architects and business development executives, to fuel its expansion.
Founded in 2017, CargoFL has evolved from providing transport management software for fleet owners to a robust AI-driven platform tailored for enterprises in retail, pharma and manufacturing sectors. Its current client roster includes over 25 large enterprises, such as Puma, Godrej, Schaeffler, Metro Brands and Decathlon. With this round of funding, CargoFL aims to achieve an ARR of $3 million over the next 18-24 months by onboarding more than 25 customers in India and several in international markets.
Deepesh Kuruppath Co-founder & CEO, said “We plan to allocate funds toward product development, enhancing our sales engine, and improving customer onboarding and professional services. Our product goals include refining the user experience and developing an AI copilot to streamline enterprise logistics and supply chain operations. On the sales front, we aim to build a scalable engine to drive inbound traffic from SEA, MEA, and NA regions while expanding through strategic partnerships. For implementation, we will invest in a world-class professional services team to simplify onboarding onto CargoFL TMS.
Wasim Khan, Co-founder & COO, said “We aim to invest in our Business Analysts, recruit key business SMEs to improve implementation efficiency and enhance execution quality with a process-oriented approach for faster scaling. Additionally, we plan to identify critical supply chain AI use cases to develop innovative solutions, strengthening our competitive edge in domestic and international markets.”
Girish Shivani, General Partner, YourNest, said “CargoFL stands out with its robust, AI-powered platform, and a seasoned founding team driving AI adoption in the logistics sector. Its dual strategy of targeting India and expanding globally through client-led initiatives positions it for significant success. Serving 25+ Fortune 500 enterprises, its cutting-edge Transport Management Software and innovative AI Box solution enables seamless, scalable and super efficient logistics solutions. Focused On sustainability, CargoFL helps businesses achieve 4-11% cost savings while minimizing environmental impact, transforming logistics into a competitive advantage.”
The funding will enable CargoFL to launch an intelligent supply chain assistant that addresses queries and also provides actionable guidance for planning, execution and monitoring. Additionally, the company is expanding into new territories, including pilots in Australia and Malaysia, while setting up sales channel partners in SEA, MENA and North America.
The company’s key differentiator lies in its comprehensive operating system for logistics, which fosters seamless collaboration among stakeholders like carriers, distributors, and suppliers. Its AI Box toolkit offers specialised solutions, making it a unique player in the growing $13 billion service-obtainable market for transport management systems and the $4.5 billion AI supply chain market, which is projected to grow at a CAGR of 42.7% to $157 billion by 2033.
CargoFL’s journey began when CEO Deepesh Kuruppath identified the need for digitisation in India’s logistics sector during a consulting engagement with a Pune-based transporter. Since then, the company has pivoted from serving transporters to becoming an enterprise-focused platform, transforming logistics operations through innovative AI solutions. CargoFL is on track to redefine global supply chain management with its cutting-edge technology.
Link: CargoFL Raises Rs 6.75 Cr In Seed Round Led By YourNest Venture Capital