Bengaluru based B2B fintech startup OkCredit has raised $67 Mn in a series B round from existing investors Lightspeed Venture Partners India & US and Tiger Global. Following the latest round, company’s total fundraising amount has now climbed to $83 Mn. Barely three months back, the Bengaluru headquartered firm had raised one of the largest series A funding round in the B2B fintech space.
OkCredit’s mobile app enables small business owners and merchants to digitize their bookkeeping accounts. As a result, the app spares the small business owners from the all inconvenience brought forth by the tedious process of manual book-keeping.
The company claims that it has been growing at a phenomenal rate of 100% during the last 6 months. It also claims to have more than 1.7 Mn active small business owners on board.
The company currently serves over 1,000 locations across length & breadth of the country and claims that most of its customers hail from the hinterland, therefore its customers are mostly based in tier 2 nd tier 3 cities.
“OkCredit represents a rare breed of companies that are discovering digital and viral growth in a market where traditionally, feet-on-street was the only acquisition strategy,” Harsha Kumar, Partner at Lightspeed India said on the latest funding.
But OkCredit is certainly not the only player that is trying to address the pain-point of manual bookkeeping. There are quite a few players that are trying to resolve this gap, with Sequoia Capital and InfoEdge funded Khatabook being among the prominent startups.
With smartphone and internet penetration growing at a breathtaking pace, many B2B fintech startups have jumped on the bandwagon to serve small business owners. Niti Aayog claims that India’s digital payment has the potential to grow to whopping $1 Tn by 2023, with B2B fintech players having the opportunity to grab sizable market share.