“Venture debt definitely helps us keep the capital structure intact. boAt’s financial performance has been strong since inception. Our efficient and lean business model coupled with targeted business insights has allowed the brand to enjoy logical margins so that we can earn money and not burn money,” one of the co-founders of boAt said.
boAt was founded by Aman Gupta and Sameer Mehta in 2016. It is a consumer tech brand which manufactures electronics products such as earphones, headphones, speakers, sound bars, travel chargers, and premium rugged cables.
Its products are made through contract manufacturing in India and China.
The company had earlier raised seed funding of INR 6 crore (around $872,000) from Fireside Ventures in May 2018.
boAt claims to have acquired over 1.2 Mn consumers, and is currently selling over 8K units per day at an average of 5 units per minute. It claims to have recorded INR 100 crore as gross sales FY18 and is further eyeing INR 500 crore in sales over the next few years.
Industry reports state that the market of Indian appliances and consumer electronics (ACE) reached $31.48 billion (INR 2.05 Tn) in 2017, making the country one of the largest electronics markets in the world.
The report has further predicted the market to grow at 41% CAGR between 2017-20 and reach $400 billion.