Indian supply chain finance startup CashFlo has raised 700 million rupees (about $8.7 million) to reach more customers with its existing products and to develop new products for businesses.
CashFlo offers solutions that help corporates and businesses with core finance process automation and cash flow management. It also helps small- to medium-sized businesses (SMBs) receive working capital through an invoice discounting marketplace that it operates, according to a Tuesday (Sept. 6) report by The Economic Times.
“With this funding, we will double down on our flagship proposition (of invoice discounting) and take it to the larger market,” CashFlo Co-Founder and CEO Ankur Bhageria said in the report. “We will also invest in a broader suite of automation products for [SMBs] and corporates alike.”
CashFlo was founded in 2018. This fundraising round was the company’s second and was led by General Catalyst, according to the report.
“We have seen an acceleration in the adoption of B2B payments solutions as businesses try to cope with volatility, and believe innovative players like CashFlo have a large opportunity,” General Catalyst Managing Director Alex Tran said in the report.
As PYMNTS reported in December, when General Catalyst led a Series A round for Indian buy now, pay later (BNPL) startup Uni, Tran said the opportunity to work in payments in India is ripe.
Read more: Indian FinTech Uni Raises $70M at $350M Valuation
“There are few countries in the world where the opportunity for credit expansion is as massive as in India, and we believe some iconic companies will be built to capture this opportunity in the next decade,” Tran said at the time.
CashFlo’s fundraise comes days after financial services platform StrideOne and lender ZipLoan formed a strategic collaboration to reach more microbusinesses and SMBs in India.
See more: StrideOne, ZipLoan Partner on Financial Inclusivity for Indian SMBs
When announcing the collaboration, they said these smaller businesses are often overlooked by traditional financial institutions in India.
For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More