Finance automation platform CashFlo raises $8.7 million from General Catalyst

• ByStartupStory     |    September 6, 2022

CashFlo, a supply chain finance company, has secured $8.7 million, about Rs 70 crore INR, in the second round of funding headed by General Catalyst, with participation from current investor Elevation Capital. Several prominent individuals, including Jitendra Gupta (Jupiter), Amrish Rau (Pine Labs), Nitin Gupta (Uni), Rangarajan K (FiveStar), Gokul Rajaram, Whiteboard Capital, Atrium Angels, and Saikiran Krishnamurthy, contributed to this endeavor. 

According to a statement, the renewed finances will be used to develop product lines for the CFO function, invest in core technology, and establish category leadership in the vendor finance automation market in India. It previously received $3.3 million in series A investment from SAIF Partners, as well as angel investors Ashish Iyer, former senior partner at BCG, and Arpan Sheth, a partner at Bain & Company. 

CashFlo, founded in 2018 by ex-Boston Consulting Group (BCG) executives Ankur Bhageria and Dushyant Agarwal, provides a discounting and vendor financing automation platform that assists organisations in automating essential finance procedures and better managing cash flows.

Buyers may pay for products and services early and earn >12% risk-free returns, or pay later and have access to up to 180 days of working capital, all while maintaining GST compliance among suppliers and automated payment reconciliations. Suppliers, in turn, receive an on-demand receivables discounting platform that allows them to collect at their leisure from consumers while also providing visibility into the buyer’s invoicing process. 

The firm claims to have grown its network to encompass over 50 big supply chains, including Tata Group, L&T Group, Murugappa Group, ITC, Lupin, Delhivery, Thermax, and Arvind, among others, as well as a network of over 200,000 Tier 1 and Tier 2 suppliers and dealers.

The epidemic and present macroeconomic situation serve as frequent reminders that cash and liquidity are critical measures of corporate health. Alex Tran, Managing Director at General Catalyst, told that they have witnessed an increase in the use of B2B payments solutions throughout the world as businesses strive to deal with volatility, and we feel that creative firms like Cashflo have a big future ahead. 

Follow Startup Story