Three Visionaries, One Plan: The Story Behind Udaan

Udaan was founded in 2016 by Amod Malviya, Sujeet Kumar, and Vaibhav Gupta, all former senior executives at Flipkart.

Amod Malviya earned his B.Tech in Electrical Engineering from IIT Kharagpur in 2002. He served as the Chief Technology Officer at Flipkart, where he built and scaled the company’s engineering platforms. Before Flipkart, Amod worked with companies like ApnaPaisa, i2 Technologies, Itellix Software Solutions, and Riya Internet Technologies. (Amod Malviya)

Sujeet Kumar completed his B.Tech in Civil Engineering from IIT Delhi. At Flipkart, he was the President of Operations, responsible for building the company’s operations and supply chain network. He conceptualized and built Ekart, Flipkart’s logistics and supply chain arm, which has become India’s largest logistics and supply chain company. (Sujeet Kumar)

Vaibhav Gupta holds a B.Tech in Computer Science and Engineering from IIT Delhi and an MBA from the University of Virginia. Before co-founding Udaan, he held several leadership roles over a five-year period at Flipkart, notably building and scaling the company’s Business Finance & Analytics function. Prior to Flipkart, Vaibhav worked with consulting firm McKinsey & Company for three years in the US. (Vaibhav Gupta)

The trio leveraged their extensive experience at Flipkart to address the challenges faced by small and medium-sized businesses in India. They envisioned a digital platform that would streamline B2B transactions, making it easier for businesses to connect, trade, and grow. This vision led to the creation of Udaan, which has since become a pivotal player in India’s B2B e-commerce landscape.

Big Business, Bigger Opportunity: Mapping the B2B Boom

India’s B2B e-commerce market is experiencing rapid growth, driven by increased internet access, smartphone usage, and digital payment adoption. In 2022, the market was valued at approximately $7.43 trillion and is projected to reach $36.1 trillion by 2031, reflecting a compound annual growth rate (CAGR) of 19.2% during this period. (Straits Research)

This expansion is fueled by the rising demand from small and medium-sized enterprises (SMEs) seeking efficient procurement solutions across various sectors, including packaging, textiles, apparel, and contract manufacturing. SMEs contribute about 40% to India’s GDP and employ over 100 million individuals, underscoring their significant role in the economy. The government’s initiatives, such as the Digital India campaign and the implementation of the Goods and Services Tax (GST), have further streamlined online transactions and enhanced transparency, bolstering the B2B e-commerce landscape. (Digital Commerce 360)

The emergence of innovative B2B platforms like Udaan has revolutionized the way businesses interact, providing streamlined processes and expanded market reach. These platforms connect buyers and sellers across the country, offering solutions for vendor management, supply chain automation, and financing.

As India’s digital infrastructure continues to improve, the B2B e-commerce sector is poised for sustained growth, presenting significant opportunities for businesses to enhance efficiency and expand their reach in the evolving market landscape.

More Than Just Business: Udaan’s Vision for a Connected Future

Udaan aims to transform India’s trade ecosystem by leveraging technology to empower small businesses. The company addresses several challenges faced by small and medium-sized enterprises (SMEs) in India. Traditional supply chains often involve multiple intermediaries, leading to increased costs and inefficiencies. (About Udaan)

Udaan simplifies this process by connecting manufacturers, wholesalers, and retailers directly, reducing the need for middlemen and enabling more transparent transactions. Additionally, many small businesses struggle with limited access to working capital, hindering their growth. Through UdaanCapital, the company offers financial products and services tailored to the needs of SMEs, providing them with necessary credit facilities to manage and expand their operations.

Udaan operates as a comprehensive B2B marketplace, connecting buyers and sellers across various categories, including FMCG, electronics, apparel, and pharmaceuticals. The platform facilitates efficient supply chain and logistics operations, driven by technology and focused on B2B trade. Udaan generates revenue through transaction fees and value-added services, such as logistics support and financial products. By providing an end-to-end solution, Udaan enables small businesses to access new markets, source products efficiently, and manage their operations seamlessly.

One-Stop B2B Hub: Stock, Shop, and Soar With Udaan

Udaan offers a comprehensive suite of solutions and features tailored to meet the diverse needs of small and medium-sized enterprises (SMEs) in India. By leveraging technology, Udaan streamlines B2B transactions, enhances supply chain efficiency, and provides value-added services to its users. (Sell on Udaan)

B2B Marketplace Platform

Udaan serves as a comprehensive B2B marketplace, connecting a vast network of manufacturers, wholesalers, traders, and retailers across India. The platform spans diverse categories, including electronics, home and kitchen supplies, stationery, toys, fruits, vegetables, and other household items. This extensive range allows businesses to source a wide array of products from a single platform, simplifying procurement processes and reducing the reliance on multiple suppliers.

Logistics and Supply Chain Management

To address logistical challenges, Udaan offers end-to-end logistics solutions through its service, UdaanExpress. This service provides door-to-door pickup and delivery across India, ensuring timely and reliable transportation of goods. Users can track their shipments in real-time via a centralized dashboard, enhancing transparency and control over the supply chain. By managing logistics internally, Udaan reduces the dependency on third-party providers, leading to cost savings and improved service quality for its users.

Financial Services with UdaanCapital

Recognizing the financial constraints that many SMEs face, Udaan offers tailored credit solutions through UdaanCapital. This service provides flexible payment options and financing support, enabling retailers to manage their cash flow effectively and invest in growth opportunities. By offering credit facilities, Udaan helps businesses overcome working capital challenges and expand their operations. This financial inclusion initiative empowers small businesses to scale without the immediate pressure of upfront capital.

User-Friendly Mobile Application

Udaan’s mobile application, available for Android devices, serves as a central hub for businesses to browse products, place orders, and manage transactions seamlessly. The app’s intuitive design ensures that users can easily navigate through product listings, communicate with sellers, and monitor their purchases in real-time. Features such as search filters, order history, and personalized recommendations enhance the user experience, making the procurement process efficient and user-friendly.

Real-Time Communication

The platform includes a chat feature that facilitates direct communication between buyers and sellers. This tool allows for real-time discussions, enabling parties to negotiate terms, clarify product details, and build stronger business relationships. By fostering transparent and immediate communication, Udaan reduces misunderstandings and accelerates the decision-making process in B2B transactions.

Data-Driven Insights

Leveraging data analytics, Udaan provides businesses with insights into market trends, demand patterns, and pricing strategies. These analytics empower users to make informed decisions, optimize their inventory, and stay competitive in the market. By understanding purchasing behaviors and market dynamics, businesses can tailor their offerings to meet current demands effectively.

Quality Assurance and Return Policy

Udaan is committed to maintaining high-quality standards across its platform. The company has implemented rigorous quality checks and offers a “no-questions-asked” return policy, ensuring customer satisfaction and fostering trust among its user base. This approach minimizes the risk for buyers and encourages them to engage more freely in transactions, knowing that their interests are protected.

Project Vistaar: Expanding Rural Reach

Demonstrating a commitment to inclusivity, Udaan has launched “Project Vistaar,” aiming to extend its services to rural areas. By establishing micro-warehouses and enhancing supply chain infrastructure, Udaan seeks to empower small retailers in remote regions, providing them with access to a broad range of products and services. This initiative not only broadens Udaan’s market reach but also contributes to the economic development of rural communities by integrating them into the larger supply chain network.

Winning Wings of Udaan: Market Influence and Accolades

Udaan has significantly transformed India’s B2B e-commerce landscape since its inception in 2016. By connecting over 3 million retailers with more than 25,000 sellers, the platform has streamlined supply chains and enhanced market accessibility for small and medium-sized enterprises (SMEs).

Udaan’s innovative approach has not only facilitated efficient trade but also garnered significant recognition. In 2018, the company achieved unicorn status, becoming one of India’s fastest startups to do so. Furthermore, in 2019, Udaan was honored with the Forbes India Leadership Award for Outstanding Startup, underscoring its remarkable contributions to the B2B sector. (StartupTalky)

Despite these achievements, Udaan has faced challenges, including a valuation adjustment. In early 2024, reports indicated that the company’s valuation had decreased to approximately $1.8 billion, down from $3.2 billion in January 2021.

Despite facing challenges such as market fluctuations and valuation adjustments, Udaan has maintained its commitment to empowering SMEs through technology. The platform’s continuous efforts to innovate and adapt have solidified its position as a pivotal player in India’s B2B e-commerce market.

It Takes a Fleet: Key Business Alliances of Udaan

Udaan has established several strategic partnerships and collaborations to enhance its services and expand its reach within India’s B2B e-commerce landscape. In January 2025, Jupiter Electric Mobility partnered with Porter for the Udaan program. This collaboration is designed to support local entrepreneurs and drivers in the electric logistics segment. 

Porter will guide drivers and small business owners in purchasing Jupiter’s flagship electric commercial vehicle, Tez, and assist in onboarding these drivers. The initiative aims to scale operations, boost earnings, and contribute to a sustainable logistics ecosystem. (Rediff)

Additionally, Udaan has collaborated with various organizations to promote health and well-being among India’s youth. The Udaan Collaborative, for instance, is a comprehensive program focused on sexual and reproductive health, particularly for young people. Supported by USAID India and the MOMENTUM Country and Global Leadership, the initiative engages healthcare professionals across multiple states to provide accurate health information and products. (Udaan)

In the financial services domain, Udaan has collaborated with various financial institutions to offer credit solutions tailored to the needs of small businesses. These partnerships enable Udaan to provide flexible payment options and financing support, helping retailers manage their cash flow effectively and invest in growth opportunities.

Big Bets and Bigger Business: The Money Behind Udaan

Since its inception in 2016, the company has raised a total of $1.88 billion across 17 funding rounds. The initial funding round occurred on November 23, 2016, when Udaan raised $10 million in a Series A round led by Lightspeed India. This early investment set the stage for subsequent funding efforts. (Tracxn)

In August 2019, Udaan secured $585 million in a Series D round, marking its largest funding round to date. This round included investments from prominent investors such as Altimeter Capital, Hillhouse, GGV Capital, Tencent, DST Global, and others. The most recent funding occurred on October 28, 2024, when Udaan raised $35.7 million through a conventional debt round. Investors in this round included Lighthouse Canton, Innoven Capital, Trifecta Capital, and Stride Ventures.

Over the years, Udaan’s valuation has experienced fluctuations. In January 2021, the company was valued at $3.2 billion following a funding round. However, by January 2024, its valuation had decreased to approximately $1.8 billion. Despite these fluctuations, the company continues to attract investment and expand its presence in the B2B e-commerce sector.

Udaan’s revenue for the fiscal year ending March 2024 stood at $41.8 million, reflecting a decline from the previous year’s $60.6 million. While the company faced revenue challenges, it successfully reduced its losses by over 19%, reporting a loss of ₹1,674.1 crore in FY24 compared to ₹2,075.9 crore in FY23. This shift indicates Udaan’s efforts to streamline operations and improve profitability amid a competitive market landscape.

Cleared for Landing: Why Udaan is a Game-Changer for B2B

Udaan is a leading B2B e-commerce platform in India. It connects manufacturers, wholesalers, traders, and retailers, making business transactions seamless. The platform provides a digital marketplace where small and medium businesses can buy and sell goods across categories like electronics, apparel, groceries, and pharmaceuticals. By leveraging technology, Udaan bridges supply chain gaps and improves market efficiency.

The company simplifies procurement for retailers by offering a wide range of products at competitive prices. Businesses can place bulk orders, track deliveries, and manage inventory through the platform. Udaan’s logistics network ensures timely delivery, even in remote locations. This gives small businesses access to products they may not find locally.

Apart from e-commerce, Udaan provides financial solutions to businesses. It offers credit facilities to buyers, helping them manage cash flow without immediate full payments. This service is crucial for small retailers who often face liquidity challenges. The company also supports businesses with analytics and insights, allowing them to make data-driven purchasing decisions.

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