Supply Chain Finance Platform Cashinvoice Bags $3.4 Mn From Pravega, Others
Cashinvoice, a supply chain finance platform, closed USD 3.4 million as a part of its strategic Series A round from institutional investors comprising Pravega Ventures, HDFC Bank and existing investor Accion Venture Lab. The latest round of capital infusion will strengthen the existing business and facilitate the launch of new products across the supply chain finance (SCF) ecosystem. The current financing comes on the heels of a USD 1 million pre-series A round from Accion Venture Lab in October 2021, the company said.
Cashinvoice, through its digital invoice discounting marketplace, delivers customised SCF solutions to anchor companies. The company’s digital platform integrates with anchor companies and leverages validated invoices and risk assessment. It also enables digital loan processing against invoices for lenders and aims to take its discounting throughput to Rs 20,000 crore, upscaling the MSME (Micro, small and medium enterprises) base to 10,000 from the current 3,000 by fiscal year (FY) 2025.
Cashinvoice Co-founder and CEO Arun Poojari said, “India’s Digital Public Infrastructure prowess has allowed lenders multiple data points to assess credit risk beyond the traditional asset-based credit mechanism. Supply chain finance focuses on funding specific transactions and analyses the vintage and velocity of the buyer-seller relationship. It helps MSMEs regularise their cash flows and bring in predictability, which enables them to grow their business and contributes in job creation. With this round, Cashinvoice will continue to build on its capabilities riding on India's DPI and the sustained growth in trade activities which complements the growing GST (goods and services tax) collections.”
The company claims that since its inception in September 2019 it has achieved breakeven by facilitating disbursement of over 15 lakh invoices, totalling more than Rs 15,000 crore by forging partnerships with leading Indian corporates such as Tata Motors, Bata, Bajaj Electricals, Oppo, Voltas, One Plus, Patanjali, Kalyan Jewellers, Paragon and more.
