Quick Commerce Platform Moglix Boost Growth With A $50 Million Investment In Credlix

Introduction

Moglix, an e-commerce platform, has invested $ 50 million in its supply chain finance platform, Credlix. This fresh funding will help Credlix expand its presence in the U.S. and Mexican markets, aiming to empower manufacturing and infrastructure businesses to transform their supply chains from procurement to distribution. Currently, Moglix supports over 1,000 large manufacturers and more than 3,000 factories with a valuation of $ 2.6 billion.

In an exclusive interview, Moglix's founder and CEO, Rahul Garg, joined CNBC TV18 to discuss the company's future roadmap, focusing on how the new capital will enable Credlix to make a significant impact in the U.S. and Mexico. Garg highlighted that Credlix provides fast, collateral-free financing solutions that foster business growth, aligning with the broader vision of enabling seamless global trade financing for MSMEs (Micro, Small, and Medium Enterprises) in India and across the globe.

Garg elaborated on how Credlix has financed trade supply chains in over 50 countries from India. As many of its customers operate across U.S. and European markets, the demand for supply chains running in tandem with emerging economies like Mexico has surged. Particularly, Mexico has become a significant partner for the U.S., overtaking China in supply chain partnerships in the past year.

Regarding the offerings in the U.S. and Mexico, Credlix aims to provide businesses with stable supply chains, diversified sourcing options, and quicker access to quality goods. Garg explained that customers who are already sourcing from Mexico have been seeking increased supplier efficiency without supply chain financing restrictions. Credlix intends to bridge this gap effectively.

In August, Moglix launched a next-day delivery service for B2B customers, marking a significant step in bringing quick commerce to the B2B sector. This service, which is currently operational in 12 major cities, is aimed at expanding to 40 cities by next year. Garg emphasized that the demand for B2B services has been increasing, yet the pricing sensitivity among B2B customers poses a challenge.

On the growth trajectory, Garg shared that Moglix is on track to reach break-even point within the next six to nine months. He indicated that the company continues to grow despite the cautious environment in the startup ecosystem and is investing in capabilities in distribution, logistics, and manufacturing.

Additionally, Garg revealed plans to delve into manufacturing as Moglix covers 150 product categories with roughly one million SKUs (stock keeping units). He noted that there are gaps in reliable supply for several categories, prompting Moglix’s venture into organized manufacturing. The company is currently exploring at least five new categories for expansion into manufacturing, with more details to be announced soon.

The interview highlights Moglix's commitment to enhancing manufacturing supply chains and driving growth through strategic investments and innovative service offerings.

Keywords

Moglix
Credlix
$ 50 million investment
supply chain finance
U.S. market
Mexico market
collateral-free financing
MSMEs
global trade financing
B2B quick commerce
break-even
organized manufacturing
product categories

FAQ

1. What is the amount invested by Moglix in Credlix?
Moglix has invested $ 50 million in its supply chain finance platform, Credlix.

2. What markets is Credlix planning to expand into?
Credlix plans to expand into the U.S. and Mexico markets.

3. How does Credlix plan to support businesses in these markets?
Credlix aims to provide stable supply chains, diversified sourcing options, and quicker access to quality goods.

4. What recent service did Moglix launch for B2B customers?
Moglix launched a next-day delivery service for B2B customers, which is currently available in 12 major cities.

5. When does Moglix anticipate reaching break-even?
Moglix expects to reach break-even within the next six to nine months.

6. How many product categories does Moglix currently cover?
Moglix covers 150 product categories with approximately one million SKUs.

7. What new plans does Moglix have concerning manufacturing?
Moglix is looking to expand into organized manufacturing in at least five new product categories.