Zyod Secures $18 Million in Funding to Accelerate Global Expansion and Tech Innovation

In a major boost to its growth plans, B2B fashion marketplace Zyod has raised $18 million in a mix of equity and debt funding. The funding round was spearheaded by venture firm RTP Global, with debt capital contributions from Stride Ventures, Trifecta Capital, and Alteria Capital. The majority of the funds were raised through primary equity, according to cofounder Ankit Jaipuria, while existing investor Lightspeed Venture also participated.

Zyod plans to use the newly acquired funds to significantly expand its global footprint. Currently operating in 18 countries, the company aims to increase its reach to over 40 countries by the end of the fiscal year. The expansion will focus on deepening its presence in key markets such as the US, UK, Middle East, and Japan. Additionally, the funds will be used to diversify the product categories offered and to enhance the company's technological capabilities. These enhancements aim to improve supply and production forecasting as well as to identify and capitalize on emerging design trends.

“Zyod leverages technology to refine every facet of the production process, right from a modular design approach to optimizing operations at the factory level. We are excited to support Zyod as they expand their transformative platform internationally,” said Nishit Garg, partner at RTP Global’s Asia investment team.

Founded in January last year by Ankit Jaipuria and Ritesh Khandelwal, Zyod has rapidly grown to employ about 100 people, including designers, engineers, supply executives, and sales executives. The company plans to further expand its sales teams in international markets to support its global growth ambitions.

Zyod collaborates with apparel brands from the design phase through to manufacturing, aiming to minimize inventory wastage—a common challenge in the fast fashion industry. “One of the biggest challenges in fast fashion is inventory wastage as you have new releases every few months… we also help manage the supply side so brands can purchase smaller batches of inventory more efficiently,” Jaipuria explained.

The company is currently operating at a double-digit million-dollar annualized revenue run-rate and aims to triple this by FY25. Jaipuria indicated that in the coming years, 80% of Zyod’s business is expected to come from international markets. Initially, the majority of business will be derived from larger enterprise clients, with an increasing share from smaller, long-tail clients over time.

Zyod's client portfolio includes prominent apparel brands such as Landmark Group, NEXT, Rare Rabbit, FirstCry, and Allen Cooper. The company previously raised $3.5 million in a funding round led by Lightspeed Venture in April last year.

As Zyod continues to scale, its commitment to leveraging technology for operational excellence and its strategic international expansion position it as a significant player in the global B2B fashion marketplace.