Furtilo Raises Seed Funding to Deliver From Local Shops in 500 Small Towns

Funding and expansion plans

Furtilo now launches about ten new small towns a month, up from three in its early months, each opened by an in-house city team using a standard launch playbook. With the new funding it aims to reach 30 launches a month by June 2027 and 500+ small towns by mid-2028.

The seed round will fund:

• Expansion: new Tier-3 and Tier-4 towns across Madhya Pradesh, Rajasthan, Gujarat and neighbouring states, through in-house city teams and partnerships.
• Technology and team: hiring in engineering and operations for the Furtilo customer, Merchant and Rider apps.
• New services:Parcel Delivery and Bike Taxi, built on Furtilo's existing rider network. Bike Taxi will launch only in states where it is permitted.

Traction (as of October 2026)

• 37+ small towns live across Madhya Pradesh, Rajasthan and Gujarat, including Dhar, Shajapur, Sendhwa, Jaora, Biaora, Raisen, Kukshi, Badnagar and Dalauda in Madhya Pradesh; Pratapgarh, Salumbar, Bari Sadri and Chhabra in Rajasthan; and Lunawada and Santrampur in Gujarat
• 650+ restaurants and shops onboarded
• 70+ delivery partners
• 6,000+ orders a month, up from 1,500+ in June 2026, a 4x increase in four months

The full list of live towns is at furtilo.com. The Furtilo app is available on Google Play and the App Store.

The small-town gap

Customers in big cities choose between a dozen food delivery and quick-commerce apps. In India's smaller towns they often have one option or none. Local merchants rely on walk-ins, phone orders and relationships built over decades, and most delivery platforms have not prioritised these markets.

Furtilo is built for them. Customers order from restaurants, cloud kitchens, grocery and kirana stores, stationery shops and other neighbourhood shops on one app, pay by UPI or cash on delivery, and track the rider live. With Nearby Shops, they can chat or call the shopkeeper, agree the price as they would at the counter, and book a rider.

How the zero-commission model works

Merchants get a digital storefront and a delivery fleet without building an app or hiring a tech team. They pay a flat subscription starting at just ₹99 a month and zero commission on orders, so every dish costs the same as on the restaurant's own menu and the merchant keeps the full order value. Customers pay only the delivery charge. On commission-based food delivery platforms, merchants typically give up 20–30% of each order.

Where it started

Furtilo's story begins in Dalauda, a small town in Madhya Pradesh's Mandsaur district, where co-founders Sumit Rathore and Vaibhav Rathore grew up. Their household had one two-wheeler, shared by the whole family. Picking up groceries, medicines or a meal from the market meant waiting until the bike was free, or going without.

Millions of families in small-town India live with this every day. So instead of starting in a metro and working outward, Furtilo began in towns like the one its founders came from. Dalauda is a live Furtilo town today.

What's next

By mid-2028 Furtilo plans to be the default delivery app in 500+ small towns, with food delivery, Nearby Shops, Parcel Delivery and Bike Taxi running on one rider network. Towns can request Furtilo by tapping “Notify me” in the app; restaurants and shops can join through the Furtilo Merchant app, and riders through the Furtilo Delivery app.