House of Chikankari Raises ₹25 Crore in Series A: Funding Round Led by CAAF

April 2026 - Delhi-based D2C ethnic wear brand House of Chikankari (HOC) has raised ₹25 crore (~$2.6 million) in a Series A funding round led by Cap Alpha Ventures, formerly known as Client Associates Alternate Fund (CAAF). HOC was founded in 2020 by mother-daughter duo, “Aakriti Rawal” and “Poonam Rawal” to rebuild chikankari presence. It is one of India’s most iconic hand-embroidery traditions for the modern consumer.

What started as a simple idea was making traditional chikankari wearable for everyday use. This idea has quickly evolved into a fast-growing business attracting institutional capital. In just four years, HOC has found its own space by bringing traditional craftsmanship and modern design together, making it stand out in India’s fast-growing D2C fashion market.

For us at Startup Movers, this milestone carries a personal note of pride. We have had the privilege of being House of Chikankari's secretarial partner since the early days of their journey. We managed their end-to-end corporate secretarial work, and most recently, supported the team through the secretarial due diligence and all funding-related compliances and advisory that preceded this Series A close. Watching a founder pour everything into building something real, and then being part of the infrastructure that helps that vision get funded, that is exactly what we (Startup Movers) do.

How will the Funds be used by the House of Chikankari?

The ₹25 crore infusion will support HOC’s next phase of growth across four key areas:

• First, the company plans to expand its product portfolio beyond kurtas and sarees into a wider range of contemporary ethnic wear. This includes experimenting with new categories, styles, and designs that resonate with younger consumers.
• Second, HOC is strengthening its omnichannel presence. While it has built a strong digital-first brand, the company now plans to enter offline retail. Physical stores will allow customers to experience the fabric, embroidery, and craftsmanship more closely. This is an important factor in hand-crafted apparel.
• Third, the company will invest in improving working capital efficiency and backend operations. As demand grows, optimizing supply chain processes and inventory management will be critical.
• Finally, funds will be allocated toward team expansion and marketing, ensuring the brand has the talent and visibility needed to sustain high growth.

Strong Growth and Market Traction

HOC’s funding round is backed by solid business performance. The company is currently operating at an annual revenue run rate (ARR) of ₹50 crore and has reported over 50% growth in FY 2025–26, placing it among the high-growth startups in India’s D2C segment.

The brand has served over 2 lakh customers and ships to more than 20 countries, including the United States, United Kingdom, and Australia. These markets, driven by Indian diaspora demand, have become key growth drivers.

Digitally, HOC continues to perform strongly, with over 9 lakh monthly user sessions across its website and app. This highlights not just strong marketing execution but also growing brand loyalty.

Building a Brand Rooted in Craft

At its core, HOC is more than a fashion brand. It is a platform for cultural preservation and social impact. Founders Aakriti Rawal and Poonam Rawal recognized early that chikankari, despite its rich legacy, faced challenges due to unorganized supply chains and limited market positioning.

To address this, HOC built a dual strategy:

On the demand side: It repositioned chikankari as everyday wear rather than occasion-based clothing. By combining traditional embroidery with modern cuts, colors, and silhouettes, the brand appeals to a younger, style-conscious audience.

On the supply side: HOC has developed a network of over 10,000 women artisans. By formalizing relationships and ensuring consistent work, the company is creating a scalable supply chain that also generates meaningful economic opportunities.

Why This Funding Stands Out

HOC’s Series A reflects a broader shift in India’s D2C landscape, where consumers are increasingly seeking authenticity, quality, and cultural connection. While many brands rely on fast fashion and heavy discounting, HOC differentiates itself through its craft-first approach.

Its strong integration with artisan communities creates a supply-side advantage that is difficult to replicate. At the same time, its ability to connect with global audiences, especially the Indian diaspora adds another layer of growth potential.

What Lies Ahead

With fresh capital in place, HOC is targeting aggressive expansion over the next two years. Offline retail will be a key growth lever, helping customers engage more deeply with the brand. International expansion will also continue, with a focus on strengthening its presence in existing markets.

Importantly, the company remains committed to its artisan ecosystem, ensuring that growth is both scalable and inclusive.

Conclusion

House of Chikankari’s ₹25 crore Series A is a strong example of how traditional crafts can be transformed into modern, high-growth businesses. By combining cultural authenticity with strong execution, the brand has built a solid foundation for scale.

As it enters its next phase, HOC is not just growing a fashion label, it is redefining how heritage and entrepreneurship can come together to create lasting impact.