Logistics has been one of the hottest sectors in India to attract large investments from global VCs last year

Bangalore-based last-mile logistics startup LetsTransport (LT) has secured US$4 million in second round of funding from Neelesh Bhatnagar of NB Ventures, with participation from GMO Venture Partners and existing investor Rebright Partners based in Japan.

The startup plans to use the funds in building technology and team, according to Pushkar Singh, Co-founder of LetsTransport.

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Founded in 2015 by IIT Kharagpur graduates Singh and Sudarshan Ravi, LetsTransport offers intra-city logistics services for both enterprises and SMEs. It provides both on-demand and customised attachment solutions to clients, along with value-added services through its verified drivers, audited vehicles, transparent pricing and point-to-point billing.

LetsTransport is operational in six cities — Bengaluru, Delhi, Chennai, Hyderabad, Vijayawada, Tiruchirapalli forming clusters in North and South India. It is set to launch in Mumbai as a western cluster, and plans to expand to 11 cities by the end of this calendar year.

The firm has clients in FMCG, logistics, retail, e-commerce and SME sectors, and claims to be growing at 40 per cent monthly.

Currently, enterprises either maintain an idle capacity in their distribution network leading to higher costs or they lose the demand spike. For instance, FMCG loses 15 per cent of sales due to stock-outs. LetsTransport’s delivery engine supported by its aggregated network of trucks enables clients to manage their elastic supply chain, of both planned and variable movements, claims the company.

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“LetsTransport envisions giving a control on last-mile deliveries via infusing technology and automating decisions and interactions. We have relentlessly tried to add value to the entire ecosystem and we believe that is what has made our startup operationally profitable and sustainable.”

Logistics was one of the hottest sectors to attract large investments in India in 2016. In November, rivigo, a leading technology-enabled logistics company in India, secured US$75 million from global Private Equity firm Warburg Pincus, in one of the largest funding rounds 2016.

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