Fri. Mar 29th, 2024
Funding

Cashflo, an invoice discounting platform and SME lending marketplace, has raised $3.3 million (approx INR 23 crore) as part of its Series A round from Saif Partners.

The round also saw participation from select angel investors, including Ashish Iyer (previously Senior Partner at Boston Consultancy Group) and Arpan Sheth (Partner at Bain & Co-Managing Director, Bain & Co), among others.

Mumbai-based platform will use the funds for expanding the business, enhancing the platform as well as increasing their team size, while keeping up with the growth plans.

The startup is aiming to expand to about 75 employees in the next 24 months.

“This investment from SAIF Partners is a validation of the market opportunity and a testament to the hard work gone in to build this business so far. We are excited to partner with SAIF and be able to leverage their expertise and know-how, especially in financial services, in this next phase of growth. This round gives us the necessary fuel to become one of India’s leading supply chain financing platforms in the years to come,” Ankur Bhageria, Co-Founder & CEO, Cashflo, said.

Cashflo was founded by Ankur Bhageria and Dushyant Agarwal in 2017. The fintech space help sellers undertake working capital through discounting their invoices and get early payments to manage their working capital needs.

Ankur added that as an organisation, Cashflo is focused on solving for the day-to-day cash flow problems faced by small businesses. To implement this, Cashflo ties up with corporates and rolls out a supply chain financing programme for their entire base of vendors and dealer and distributors: MSME and non-MSME.

Mridul Arora, Managing Director, SAIF Partners said, “We are delighted to partner with Cashflo which is riding on the massive tailwind of supply chains getting more organised and consolidated; with eventual unbundling of credit. We, at SAIF Partners, have a strong belief in the founding team’s vision of creating a multi-product, highly liquid and value-accretive credit platform.”

The startup claimed that unlike traditional solutions that typically leverage a single source of funding, either a financial institution or buyer’s own treasury surplus, Cashflo takes a holistic, integrated marketplace approach giving buyers, the flexibility to decide their funding mix across multiple sources while funding the sellers.

The startup, currently, has presence in more than 30 Indian cities, which include the top seven metros.

Similar fintech space as Cashflo in the market include Paytm Payments Bank, Instamojo, Tala, INDWealth, and many more.

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