Bangalore based fintech startup OkCredit, the company which helps small merchants, shop owners, and their customers manage their credit accounts has confirmed raising $67 million as part of the Series B round led by Lightspeed Venture Partners and Tiger Global Management.
Notably, Tiger Global Management had led the Series A round worth $15.5 million as well and it was in June, earlier in the year. The current infusion takes the total amount raised by the firm to $83 million. The firm counts the names like Y Combinator, Venture Highway, and Morningside Venture Capital among its other backers.
Founded in 2017 by Aditya Prasad, Gaurav Kumar, and Harsh Pokharna, OKCredit through its mobile-based solutions allows the smaller merchants and shop owners to manage credit/payment transactions digitally across the country. The platform can also be used for keeping track of sales and purchases along with sending payment reminders. The firm claims to have nearly 6.5 million registered merchants on the platform using the solutions.
Harsha Kumar, a partner at Lightspeed, talking about the investment said, “Lightspeed has been investing in the SME segment in India for years now and we deeply appreciate how complex user acquisition is for this segment. 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. We are fortunate to witness this transition along with a team that is deeply connected to its customers and is solving with a first-principles approach to product development.”
It will be interesting to see how the firm utilizes the current chunk of investment to grow.