The Bear House Secures Series A Funding for Offline Expansion

On March 13th, The Bear House secured an INR 3 crore investment from Shark Namita Thapar, consisting of INR 1 crore for a 1% equity stake and INR 2 crore as debt. This investment was seen by Thapar as a validation of the founders’ “resilience” and integrity. She stated, “You’ve emerged stronger with integrity intact—that resilience makes me want to believe in you.”

More significantly, The Bear House has raised approximately INR 50 crore (around $5.8 Mn) in a Series A funding round led by JM Financial India Growth Fund III. This marks the fund’s eighth investment and underscores confidence in the brand’s potential within the Indian menswear market.

Initially focused on online marketplaces and their D2C website, The Bear House is now aggressively pursuing offline retail expansion. This strategy aims to create a stronger brand identity and a more direct connection with customers.

The brand recently launched its first physical store in Bengaluru in March 2025. They plan to open approximately 20 stores across India over the next two years, with a longer-term goal of 100 stores in the next five years.

Immediate plans include opening six new stores by the end of calendar year 2025: two in Bengaluru, two in Hyderabad, one in New Delhi, and one in Mumbai. These stores will be approximately 2,000 sq. ft. and designed to offer an “engaging and multi-functional shopping experience.”

The expansion strategy involves securing space in key malls, acknowledging initial challenges in accessing premium locations but noting improved success after proving their performance in other venues.

The co-founders, Tanvi and Harsh Somaiya, stated, “Our aim is to enhance our omni-channel presence by blending online convenience with unique in-store experiences to better connect with our customers.” They also highlighted that online order data indicates strong alignment with their brand ethos in cities like Bengaluru, Delhi, and Hyderabad.

Financial Performance and Growth Projections

The Bear House has demonstrated good revenue growth, reportedly moving from INR 2 crore in revenue initially to being on track to close at around INR 130 crore for FY25. This represents substantial year-on-year growth. They are aiming for INR 250 crore by FY26 and a long-term goal of INR 1,000 crore in revenue by FY 2030.

Notably, the brand has been “profitable since day one.” In FY24, The Bear House saw its net profit zoom 9.3 times to INR 11.2 Cr from INR 1.2 Cr in the previous fiscal year. Operating revenue also saw a significant jump of 79.5% to INR 96.2 Cr from INR 53.6 Cr in FY23.

EBITDA grew to INR 11.4 Cr in FY24 from INR 2.5 Cr, with the EBITDA margin increasing by 7 percentage points to 12% from 5% in FY23.

Brand Identity and Product Strategy

The Bear House specialises in smart casual apparel and accessories designed for hybrid work cultures. Their product range includes high-quality flannel shirts, t-shirts, polos, denim, and footwear.

The brand emphasises giving “Indian men the freedom to express their unique selves through our clothes” and positions itself with a “minimalist, European-style collection.” They aim to balance trends with timeless appeal, focusing on “stylish, versatile pieces with mass-market appeal.”

The company employs a data-driven approach to inventory, working on a six-month projection plan to avoid overproduction and aligning collections with real-time market trends rather than traditional seasonal manufacturing.

Leveraging their past experience as a shirt manufacturing unit for global brands like Zara and Marks & Spencer, The Bear House maintains high-quality standards, blending international design sensibilities with local preferences.

Multi-Channel Approach and Future Integrations

The Bear House is currently available through its e-commerce-enabled website, multi-brand D2C outlets, major e-commerce platforms like Myntra and Ajio, and increasingly through offline stores. They have also ventured into quick commerce with platforms like Zepto in select cities.

While marketplaces provide “unmatched reach,” the brand recognises the importance of D2C and offline retail for building brand identity and a direct customer connection. They aim to shift their revenue split from 85% marketplaces to a 60-40 split between marketplaces and their own channels as offline presence grows.

The company has plans to integrate online and offline experiences, potentially using stores as “dark stores” for improved fulfilment and serviceability once they reach a critical mass of 20-25 stores. However, significant technology investments for full omnichannel integration are not a priority in the immediate future.

The Bear House has also begun its international expansion, launching in the Gulf Cooperation Council (GCC) market through platforms like Amazon and Namshi, seeing great potential in the Middle East.

The brand prioritises customer experience, investing in continuous training for offline store staff to ensure they understand the brand philosophy.

They have successfully managed to keep their return rate lower than the industry average in fashion e-commerce (28% compared to a norm of around 35%) by perfecting their fit and prioritising quality.