Indian FinTech Khatabook, a startup that helps small companies handle the information of monetary transactions digitally, has raised $60 million in a Collection B spherical. The Bengaluru-based firm, which additionally helps retailers settle for funds on-line with an app, raised the contemporary spherical from a clutch of traders led by Fb co-founder Eduardo Saverin’s B Capital, in keeping with a report by TechCrunch.
Different traders included Sequoia India, Companions of DST International, Tencent, GGV Capital, RTP International, Hummingbird Ventures, Higher Capital, Falcon Edge Capital, Rocketship.vc and Unilever Ventures, additionally participated within the spherical, as did Fb’s Kevin Weil, Calm’s Alexander Will, CRED’s Kunal Shah and Snapdeal co-founders Kunal Bahl and Rohit Bansal.
To this point, the startup has raised $87 million and the contemporary funds could be used to faucet and digitize the thousands and thousands of small retailers, proudly owning offline companies in Asia’s third-largest financial system. Even right this moment thousands and thousands of those companies proceed to depend on lengthy notebooks to maintain a log of their monetary transactions that not solely may be very time-consuming and susceptible to errors but in addition might end in substantial losses and that is the place gamers like Khatabook have a significant position to play.
At current, over eight million retailers from over 700 districts use Khatabook, its co-founder and chief government Ravish Naresh advised TechCrunch.
The phase of digital book-keeping is growing whilst Khatabook competes with Mastercard-backed Mosambee, Lightspeed -backed OkCredit, Ribbit Capital-backed BharatPe, Walmart’s PhonePe and Paytm. Paytm had earlier this yr launched a product much like Khatabook, which is a mixture of an English and Hindi phrase.
In response to cell perception agency AppAnnie, Khatabook had greater than 910,000 each day lively customers as of earlier this month, forward of Paytm’s service provider app, which is used every day by about 520,000 customers, OkCredit with 352,000 customers, PhonePe with 231,000 customers and BharatPe, with some 120,000 customers, as per the TechCrunch report.
All of those corporations have seen a decline of their each day lively customers base in current months as India enforced a stay-at-home order for all its residents and shut most shops and public locations. However many of the aforementioned corporations have solely seen about 10-20% decline of their utilization, in keeping with AppAnnie.
In an announcement, Kabir Narang, a normal companion at B Capital who additionally co-heads the agency’s Asia enterprise, stated, “We expect the number of digitally sophisticated MSMEs to double over the next three to five years. Small and medium-sized businesses will drive the Indian economy in the era of COVID-19 and they need digital tools to make their businesses efficient and to grow.”
Khatabook will deploy the brand new capital to develop the dimensions of its know-how group because it seems to construct extra merchandise. One such product could possibly be on-line lending for these retailers, Naresh stated, with some others exploring to resolve different challenges these small companies face.