SWAP raises $1.25m in seed funding
The re-commerce platform enables many low-income earners to purchase, sell, and exchange products
SWAP, Bangladesh's first re-commerce platform, has raised $1.25 million in seed funding led by Accelerating Asia with participation from ZA Capital Advisory, Bangladesh Angels, and Southeast Asian angel investors.
The platform solves the problem by offering customers both convenience and safety while ensuring guaranteed selling of old products from their doorsteps in less than 24 hours.
Moreover, it provides consumers with an avenue to properly discard their e-waste.
"We want to be Bangladesh's most trusted platform for anyone trying to buy, sell or exchange in Bangladesh," Parvez Hossain, chief executive officer (CEO) and co-founder of SWAP, has said in a press release.
"We believe we can do that by providing our customers with as many choices as possible with the most affordable plans, from which they can pick the ideal one for them."
Bangladesh being the 8th largest country for mobile phone users has been facing an upward growth in e-waste generation just like any other country globally.
With an addressable market of over $3 billion, SWAP operates as a C2B, B2B, and C2B2C marketplace where customers can buy, sell or swap used electronics and automobiles.
Users can use a host of platforms, payment methods, and service fulfilment options all while ensuring reliability and affordability.
The platform enables many low-income earners to purchase, sell and exchange products – increasing economic participation and technology accessibility in emerging markets.
As the lead investor, Accelerating Asia sees the potential in SWAP and the founding team to deliver returns for the early-stage venture capital accelerator that operates across Southeast and South Asia.
"SWAP is perfectly positioned at the intersection of e-commerce and circular economy, helping the aspiring middle classes in emerging economies access modern technologies while minimising the impact of digital waste through recycling of used devices," said Craig Bristol Dixon, general partner of Singapore-based Accelerating Asia.
"Parvez and the team have proved to have the right mix of skills and experience to execute on this model. We look forward to seeing SWAP continue its rapid business expansion for years to come."
Starting in 2020, SWAP has generated more than $14.5m in gross merchandise value (GMV), with a current monthly GMV of over $1.7m. SWAP has served over 40,000 customers to date and is poised to scale up significantly in the next 6-12 months.
With a mission to be the topmost, reliable re-commerce platform, SWAP also aims to become a market leader and a global example of success for the circular economy approach and sustainable e-waste management venture.
With e-waste poised to hit 4.5 million tonnes by 2025, SWAP has helped to reduce 1100 tonnes of carbon emission and saved more than 65 tonnes of e-waste in Bangladesh, as part of the commitment to reduce carbon footprint and contribute to an environmentally sustainable e-commerce industry in emerging markets.
"SWAP has the potential to build the ecosystem for the circular economy of Bangladesh by connecting the nexus of e-waste, retailers, consumers and ensuring reusability and affordability for the mass," said Zahedul Arefin, founder and CEO of ZA Capital Advisory and also an advisor to SWAP.
"We are happy to be associated with one of the most promising and innovative online start-ups in the country."
The new injection of funds and investment will enable SWAP's growth and contribute to the mission, added the press release.
SWAP has introduced the first-ever cross-category exchange platform to facilitate the quickest upgradation programme from even one category to another, certified pre-owned products for consumers at as low as 60% of the retail value with one-year full warranty and insurance coverage including liquid and accidental damage and has enabled over 3,000 agents with additional income source in the country.
