In a strategic move to enhance its vendor-digitization capabilities, Bizongo, the leading platform for streamlining supply chains, has successfully acquired FactoryPlus, a pioneering digitization app catering to MSME factories. This acquisition marks a significant step forward for Bizongo in its mission to empower local manufacturers and optimize raw material sourcing.
As part of the acquisition, key members of the FactoryPlus team, including Vatsal Rustagi, Sparsh Kovarala, and Bikash Dash, will join forces with Bizongo. This collaboration expects to bring a wealth of expertise and innovative solutions to streamline manufacturing processes further.
Bizongo’s latest move sets to revolutionize the landscape for MSME factories, offering them access to high-quality raw materials from premier vendors at the most competitive costs. Additionally, Bizongo aims to alleviate challenges in raw material procurement and supply chain management by introducing embedded financing solutions on its platform.
One of the primary objectives following this acquisition is to enable businesses to enhance their cash conversion cycles. Bizongo plans to achieve this by seamlessly connecting its supply chain with end customers through embedded solutions like Insta invoicing, Insta e-waybill, and Insta PoD, among others.
FactoryPlus, founded in 2021, has been instrumental in developing an operating system for manufacturers, focusing on making factories smarter, faster, and more cost-effective through technology integration. FactoryPlus allows factory owners to dedicate more time to business growth by minimizing manual operations.
The acquisition also involves FactoryPlus’s successful completion of a seed funding round supported by Better Capital and Titan Capital. With this acquisition, both entities will exit the company, paving the way for Bizongo to seamlessly integrate FactoryPlus’s advanced technologies into its platform.
FactoryPlus has demonstrated impressive growth, boasting a remarkable 40% month-on-month increase and a substantial presence with over 4,000 factories on its platform. The platform caters to diverse industries, with metals, plastic, and paper constituting the top three categories, representing 76% of raw material demand by MSMEs.
Despite recent organizational changes, including a 15% reduction in its workforce after securing a $50 million funding round, Bizongo remains steadfast in its commitment to innovation and excellence in supply chain management. The acquisition helps drive efficiency and technological advancement in the MSME manufacturing sector.
