Textiles B2B marketplace Xstok, which buys excess stock from manufacturers at a discount and sells to end-users through auctions, hopes to break-even this fiscal on the back of rising sales.
Founded by Sanjiv Khandelwal and Mihir Shah nine months ago, Xstok will be ramping up its reach to over 120 towns this year from over 30 cities now, Khandelwal said.
Xstok charges around five per cent of the sale price from the buyer as commission and so far has done over 350 auctions. Going by the good traction, Khandelwal said he is confident of breaking even this fiscal itself.
To bring in more customers, Mumbai-based company will be launching a new service called SampleExpress, which he feels will increase the buyer base and volume by at least 30-40 per cent.
In the textile industry, surplus stock means the extra units created due to order cancellations, or the buffer amount produced for large size orders.
These units, depending on the quality, are sold by the mills at a discounted price to buyers. Currently, the company is into apparel/ready-mades, yarns, home textiles and fabrics business.
