Recruitment Platform Vahan Raises $10M in Series B for Blue Collar Recruitment Tool

The Vahan.ai platform, focusing on hiring blue-collar workers, successfully secured 10 million in its recent SeriesB funding round, with leading involvement from Khosla Ventures. This funding round also received contributions from Y Combinator, US−based VC firm Gaingels, and Paytm founder Vijay Shekhar Sharma. The Bengaluru−based startup had previously raised 8 million in a Series A round in September 2021, also led by Khosla Ventures. Additionally, Vahan was a participant in Airtel’s Startup Accelerator Program, with the telecom giant acquiring an 8.82% stake in the company back in October 2019.

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According to Vahan’s statement, the new funds will be utilized to create AI recruitment technology that can handle eight major Indian languages. Presently, Vahan’s AI system conducts interviews in English and Hindi. The company also intends to branch out into sectors like manufacturing and retail.

Since its establishment in 2016, Vahan boasts of hiring over 500,000 employees across 480 cities, collaborating with top firms including Zomato, Swiggy, and Uber. Managing more than 25,000 recruitments monthly, Vahan streamlines recruitment processes, cutting costs and time.

In the financial year ending March 2023, Vahan recorded operating revenue of Rs 29.7 crore but incurred a loss of Rs 17.71 crore. Although the company has not yet submitted its annual report for FY24, it anticipates a growth of 2 times or more in FY25.

In the blue-collar recruitment industry, Vahan initially faced competition from companies like Baba Jobs and Aasaan Jobs. However, both struggled to expand and eventually merged with Quikr and OLX in 2017 and 2019, respectively. Following the pandemic, a major rival emerged in the form of Apna, backed by Tiger Global and achieving unicorn status in 2021.

Vahan.ai, a platform for hiring blue-collar workers, has secured 10 million in its recent Series B funding round, led by Khosla Ventures and with contributions from Y Combinator, Gaingels, and Paytm founder Vijay Shekhar Sharma. The Bengaluru-based startup plans to utilize the funds to develop AI recruitment technology for eight major Indian languages and expand into sectors like manufacturing and retail. With over 500,000 employees hired across 480 cities and partnerships with major firms, Vahan aims to streamline recruitment processes. Although it faced competition from companies like Baba Jobs and Aasaan Jobs, Vahan anticipates significant growth in the near future notwithstanding the emergence of a major rival, Apna.