Zyod, a global B2B platform for apparel sourcing and manufacturing on Tuesday announced $3.5 million seed funding led by Lightspeed. The seed round also saw participation from FJ Labs, Panthera Peak Partners and select angels such as Abhishek Goyal (founder Tracxn), Abhinav Sinha (global COO Oyo), Ravi Khandelwal and others.

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Ritesh Khandelwal and Ankit Jaipuria, co-founded Zyod in January 2023 with a vision to transform the apparel sourcing and manufacturing ecosystem in India. The firm has introduced a technology platform as a one stop shop for fashion brands to leverage India's vast manufacturing footprint and

source high quality products at the best possible MOQ, the firm said in a statement.

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"Solving for every brand, irrespective of the scale, Zyod can provide a new range of products within 21 days with an as low as 50 pieces MOQ. This combination of 5x faster sourcing at 50x lower MOQs makes it a lucrative option for global brands and buyers. Since its inception, Zyod has witnessed a steady market demand and has already served over 150 customers across 13 countries, democratizing and simplifying fashion sourcing for every brand, retailer and wholesaler," it said.

Globally, consumers are increasingly embracing fashion trends faster, which has led to the rise of fast fashion brands. What this means for every fashion brand is that it needs to be in closer sync with trends and consumer choices. However, fashion manufacturing and sourcing has remained relatively unchanged which means high volume buying, often at long lead times, leading to large unsold inventory at season end.

Despite making high gross margins, fashion brands often end up being unprofitable due to large inventory write-offs every year. Zyod’s agile supply chain is solving this mega problem for fashion brands and retailers across the world, the firm stated.

Ankit Jaipuria and Ritesh Khandelwal, co-founders of Zyod, said, “While fashion is rapidly transforming globally, the incumbent supply chain has not kept pace with how rapidly consumers have evolved and it needs a complete reimagination of manufacturing itself, to build for the future. At Zyod,

we are making fast fashion accessible to every brand/retailer using our unique, agile supply chain.

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Zyod plans to use the funds to further strengthen the technology platform and team. From adding more manufacturers and suppliers to introducing new features, Zyod will continue to build a larger network of MSMEs in the apparel sourcing and manufacturing segment. The brand is actively hiring across functions such as product, tech, marketing, and operations.

(Edited by : Anshul)