Supply chain financing platform Cashinvoice said it has closed $3.4 million as part of a Series A round from institutional investors comprising Pravega Ventures, HDFC Bank and existing investor Accion Venture Lab, according to ETtech report.
The company has been engaged with HDFC Bank for the last two years to digitise the latter’s internal supply chain finance. The startup will subsequently be able to benefit from HDFC Bank’s corporate banking relationship with over 5,000 anchor companies, cofounder Shrinivas Kasar told ET.
The strategic investor will also help the company co-develop products that are applicable in supply chain financing, Kasar added. The company plans to disburse loans worth $2.4 billion to micro, small and medium enterprises by the financial year ended March 2025 (FY25).
“Our next priorities include taking our current 75 anchor firms to 200 within FY26, and 700 in the next couple of years,” Kasar told ET. The fresh capital infusion will also help scale its network into tier 2 and beyond cities, he added.
The Mumbai-headquartered startup, with 82 staffers, partners with 25 banks and a network of supply chain giants or anchor firms such as Tata Motors, Voltas and Britannia.
“Our specialisation lies in making the lending entirely digital-first. Secondly, we do the algorithmic discovery in terms of which the supply chain finance players are eligible to lend into the ecosystem of vendors,” Kasar said.
The 2018-founded firm had previously raised $1 million from Accion Venture Lab in October 2021.
“The company has made significant strides in optimising cash flow and working capital management for businesses, which is a clear testament to the leadership team’s capabilities and we are excited to be a part of their journey,” a spokesperson for Pravega Ventures said.
HrNxt.com Newsdesk has researchers and writers with an excellent domain knowledge about the talent ecosystem, and the business environment. The team keeps a tab on the latest happenings in the ecosystem to bring most relevant news and insights for our readers. You can connect with our newsdesk at newsdesk@hrnxt.com.