Tech-led commercial design and build venture platform Flipspaces has raised $35 million (Rs 295 crore) in a funding round led by tech growth investor Iron Pillar, with participation from existing backer Prudent Investment Managers and new investor Synergy Capital.
The round also saw early-stage investor Carpediem making an exit.
Flipspaces plans to utilize the funds--comprising both primary and secondary capital--to accelerate growth in India, the US and the UAE. The company also aims to strengthen its technology stack and brand leadership, while exploring inorganic growth opportunities in new geographies and adjacent verticals. VCCircle had exclusively reported earlier that Flipspaces was in talks to raise fresh capital.
“We recognized that this large and growing market was burdened by inefficiencies stemming from fragmented supply chains, operational complexity, and limited technology adoption,” said Ashok Ananthakrishnan, partner, Iron Pillar.
“Flipspaces has scaled to $40 million in revenue in a capital-efficient manner. With their tech-first platform spanning design, supply chain, and project management, we believe they are well-positioned to build a leading franchise across India, the GCC, the US, and other global markets, and to establish a large, enduring company,” Ananthakrishnan added.
Traditional players offer fragmented services, with limited transparency in cost, timelines, and quality. However, Flipspaces positions itself as the go-to brand for fully integrated, tech-first commercial design and build solutions, especially for the small and medium business segment, which accounts for around 60% of the total interior design and build market for commercial spaces.
The company claims that its business model has found validation in the US, which now contributes 20% of its overall revenue. It also claims profitability in both India and the US, and is actively expanding into the UAE, which is fast emerging as a global hub for commercial real estate.
“At Flipspaces, we're building a technology-led brand aimed at transforming the customer experience in commercial design and build globally. Our conviction lies in scaling with both speed and sustainability, driven by a replicable, tech-powered delivery model that balances growth with profitability,” said Kunal Sharma, founder and CEO of Flipspaces.
Flipspaces claims that its tech-led, integrated model has enabled it to scale at over 65% CAGR over the past four years while maintaining profitability. To date, it has delivered over 8 million square feet of commercial space for over 1,000 brands across India and the US.
Prior to this round, the company had raised over $7.5 million in equity across four rounds. It first raised $3.5 million from Carpediem in 2018. The most recent round was a pre-Series B one in September 2023, comprising a mix of debt and equity worth $4 million. The round was led by Prashasta Seth, former CEO of IIFL Asset Management Ltd, along with other family offices and funds.
“We continue to be extremely bullish about Flipspaces. Our initial thesis of a technology-led model disrupting the commercial real estate design and build market is playing out. The use of technology to ensure better execution and seamless customer experience has resulted in profitable and sharp growth for Flipspaces. We think that the best years of Flipspaces are ahead as it ramps up its supply chain and technology,” said Prashasta Seth, founder of Prudent Investment Managers.
BDA Partners acted as the exclusive advisor to Flipspaces for this transaction.
