TransBnk Secures $1 Million in Seed Funding to Revolutionize Transaction Banking
- ByStartupStory | June 20, 2023
Mumbai-based fintech startup TransBnk has successfully raised $1 million in seed funding to fuel its mission of transforming transaction banking in India. The funding round was led by 8i Ventures, a renowned early-stage India-focused VC fund with a strong track record in the fintech sector. Other notable contributors included Growthcap Ventures, Leadway Ventures LLP, Growth Sense, and a group of esteemed family offices, institutions, and angel investors.
TransBnk emerged in response to regulatory changes that have reshaped the financial services and real estate sectors in India. As the Reserve Bank of India introduced new regulations to reform the multi-billion dollar transaction banking sector, traditional banks faced challenges in meeting the compliance requirements for complex multi-party transactions. Recognizing this opportunity, TransBnk was founded by seasoned transaction banking experts from IndusInd Bank and Aditya Birla Finance. They developed a highly programmable transaction banking system that empowers financial ecosystem players to efficiently manage multi-party transactions while ensuring compliance.
Positioning itself as the go-to solution for banks, NBFCs (non-banking financial companies), and emerging fintech entities involved in complex multi-party transactions, TransBnk’s technology platform has already gained traction among major banks and lenders. It has been adopted for managing capital flows in areas such as co-lending and lease rental discounting.
Vaibhav Tambe, CEO and Co-Founder of TransBnk, expressed his excitement about the venture’s progress, stating, “With our team’s extensive transaction banking experience totaling over 60 years, we were determined to disrupt the status quo. TransBnk’s innovative tech stack is becoming the gold standard for seamless B2B transactions, strengthening our partnerships with key players in private banking, NBFC, and fintech sectors. With the support of 8i Ventures and our angel investors, we are thrilled to accelerate our vision.”
The newly raised capital will enable TransBnk to strengthen its product and technical teams, enhance its tech stack, and expand its product offerings. The company aims to redefine the management of specialized accounts and B2B payments, which form the backbone of lending ecosystems, capital markets, supply chain finance, and treasury management.
Vikram Chachra, Founding Partner at 8i Ventures, emphasized the significance of TransBnk’s disruptive solution, stating, “TransBnk is bridging the gap between the technology ‘haves’ and ‘have-nots’ in India’s trillion-dollar transaction banking landscape. By providing a disruptive solution to the financial ecosystem, they are strategically positioned to bring about a seismic shift in transaction banking. This investment aligns with our commitment to support ventures that redefine the fintech landscape.”
Since its establishment in April 2022, TransBnk has made remarkable strides in the industry. It has forged partnerships with over 10 leading private banks and serves more than 50 corporate, institutional, and fintech clients. With the seed funding acting as a catalyst for its journey, TransBnk aims to achieve 2.5 to 3 times growth in the number of clients and partner banks by March 2024.
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