Home services startup Taskbob shuts shop | business-news | Hindustan Times
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Home services startup Taskbob shuts shop

Mumbai-based home services startup Taskbob has shut shop without specifying any particular reason. In an internal communication, Taskbob co-founder and CEO Aseem Khare said the company shut down its operations as of January 19 due to unforeseen circumstances.

business Updated: Jan 20, 2017 10:54 IST
PTI
The funding comes at a time when home services platform operators have raised fresh capital to remain afloat, pursue consolidation efforts and to remain competitive and scale rapidly.
The funding comes at a time when home services platform operators have raised fresh capital to remain afloat, pursue consolidation efforts and to remain competitive and scale rapidly.(File Photo)

Mumbai-based home services startup Taskbob has shut shop without specifying any particular reason.

In an internal communication, Taskbob co-founder and CEO Aseem Khare said the company shut down its operations as of January 19 due to unforeseen circumstances.

“...due to unforeseen circumstances, Taskbob will be shutting down its operations as of 19th January. All the orders already placed in the system will be duly processed,” he said.

The number of employees impacted could not be ascertained.

While Khare did not spell out the reason for the closure, he indicated that the company was unable to build scalability and profitability.

“Even though, we could create a significant difference in customers’, service providers’ and teams’ lives, a solid business is created only by building scalability and profitability. And to achieve those in a low margin business and in a tough external market proved unexpectedly daunting. More than what anyone could have expected,” he said.

Set up in December 2014 by Khare, Abhiroop Medhekar, Ajay Bhatt and Amit Chahalia, the company had raised over USD 5 million in funding from IvyCap Ventures and Orios Venture Partners. It had also acquired Zepper, a Bengaluru-based home services startup.

The company, which had raised its last round of funding in February 2016, competed with the likes of UrbanClap and HouseJoy. It claims to have served over 1.5 lakh orders in the past 2 years.

Last year, some of the startups that shut shop included Snapdeal-backed PepperTap and AskMe. Thousands of startups have mushroomed across the country and many of them have successfully raised funding from investors in the last 2-3 years. However, high cash-burn forced many of them to scale down, shut operations or sell their business.

“...even though Taskbob is shutting down operations, the Taskbob spirit will stay alive...we have shared the list of all Taskbob verified service professionals - across Electricians, Plumbers, Carpenters, Appliance Repairmen, House Cleaners, Car Cleaners, Drivers, etc on the Taskbob App.

These are carefully screened, background verified & police verified, trained and skilled. You could directly call them whenever you are in trouble next time,” he said, adding “we will be back soon, better, stronger.”