B2B textile startup Fantail raises Rs 13.75 Cr in seed round

Fantail, a B2B textile manufacturing startup has raised Rs 13.75 crore (around USD 1.6 million) in a seed funding round led by Riverwalk Holdings, Incubate Fund Asia and All In Capital.

The new funds will be used to support partner SMEs in Surat by improving their skills, upgrading machines and processes, making backend operations smoother, and hiring talent in design, quality and technical roles.

The funds will also be used to build in-house backend technology to improve traceability, boost efficiency, and respond faster to customer needs.

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"In B2B, timing is of great significance. I've worked in the Surat ecosystem for over a decade, and I believe the coming years will be pivotal for Manufacturing 2.0," said Ramya Iyer, Founder of Fantail. "If we solve for scale and efficiency, we can harness the true potential of this ecosystem. With the right team and patient capital, we believe we can build a globally recognized MMF brand from Surat."

Rajeev Ranka, Partner at Incubate Fund Asia, said, "Fantail is digitising a fragmented textile supply chain, unlocking reliability and speed for retailers and exporters alike."

Aditya Singh of All In Capital said, "Ramya's rare combination of deep domain expertise and operational clarity makes Fantail uniquely positioned to modernise Surat's INR 3.3 lakh crore (USD 40 B) MMF industry."

About Fantail 

Founded in 2023 by Ramya Iyer, Fantail handles the entire manufacturing process in the man-made fabric (MMF) segment, working closely with weavers, mills, processors, and value addition units—from yarn to finished garments. Its goal is to bring structure, scale and tech-driven innovation to Surat’s traditionally unorganised MMF supply chain.

Fantail designs and produces fabrics for fashion retailers across value, premium, and luxury segments. It acts as a link between traditional textile SMEs and the growing needs of modern, organised fashion retail in India and other emerging markets.

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