Quick-commerce startup FirstClub has secured $23 million in a Series A funding round, led by Accel and RTP Global, pushing its valuation to $120 million—nearly triple its late-2024 seed valuation. The fresh capital is split roughly 90% equity and 10% debt. Other participants include Blume Founders Fund, 2am VC, Paramark Ventures, and Aditya Birla Ventures.
Founded in June 2025 by former Flipkart and Cleartrip executive Ayyappan R, FirstClub has positioned itself as a quality-first alternative in India’s quick-commerce ecosystem. Unlike competitors focused on 10-minute delivery, it emphasizes item quality, curation, and trust.
Currently operating four dark stores (“clubhouses”) in Bengaluru, the startup offers over 4,000 curated SKUs across categories like fresh produce, bakery, dairy, nutrition, and FMCG—95% of which are locally sourced, with the rest imported. The company also offers private-label products.
The new funding will support an aggressive expansion to 35 dark stores within six months, extend to new segments such as pet care, kids’ food, nutraceuticals, home care, and gift items, and introduce new fulfillment models like cafés and daily subscriptions.
Operational metrics are showing strong early indicators: FirstClub reports repeat order rates above 60%, average order values that are twice that of category peers, and the highest gross margins in the segment due to its lean and disciplined model.
Ayyappan sees Bengaluru as a testbed ahead of scaling to other markets. The startup aims to complete citywide coverage before the peak festive season.
Why It Matters
- Impressive Valuation Leap: Tripling to a $120 million valuation within nine months highlights strong investor belief in FirstClub’s premium model.
- Quality-Centric Differentiation: Prioritizing curated, trustworthy products over sheer delivery speed provides a distinct competitive edge.
- Scalable Expansion Strategy: Ambitious goals to scale from 4 to 35 dark stores and broaden categories indicate readiness for aggressive growth.
- Robust Business Metrics: High repeat rates and elevated order values point to early product-market fit and strong branding.
- Strategic Timing: Capitalizing on festive-season demand positions FirstClub to establish deep urban penetration ahead of peak consumption periods.
