AI Startup Docsumo Raises Funding To Expand Its Footprint In North America

Singapore-based AI startup Docsumo has bagged $3.5 Mn in seed capital. The round was led by Common Ocean with participation from Fifth Wall, Arbor Realty Trust, and existing investor Better Capital. 

The startup plans to utilise the fresh funds to expand its client base in the North American market and grow the team. 

“We enable companies to unlock 10X efficiency and act on incoming documents in real time. What differentiates Docsumo is that the technology can accurately extract data from business documents with a high degree of structural variability, and automate decisioning workflows end-to-end,” said Rushabh Sheth, cofounder of Docsumo.   

Founded by Sheth and Bikram Dahal in Jan 2019, Docsumo helps enterprises capture, validate  and analyse data from unstructured documents for automated decisions. Its core technology platform helps commercial lenders, insurers read financial statements, tax returns, insurance policies and other documents required for credit, insurance applications. 

According to its statement, in the last 12 months, Docsumo has grown its team in Mumbai, India and Kathmandu, Nepal. It has experienced a 6X revenue increase, said the startup. 

It further claims to provide services to major enterprises in the US, EU, and Asia, including Arbor Realty Trust, National Debt Relief, Hitachi, PayU, and many others. 

The AI startup was previously part of the Techstars London accelerator in 2020 and raised a Pre-Seed funding round from Barclays, Sequoia, Jiten Gupta of Jupiter Money, Amrish Rau of Pine Labs, among others. 

With this new investment, the AI startup plans to continue to grow its products to cover additional use cases—customer onboarding, income verification, financial fraud detection, data for underwriting, and other critical, everyday tasks currently handled by analysts. 

India’s Artificial Intelligence (AI) market is rapidly growing. According to an International Data Corporation (IDC) report, it is expected to reach $7.8 Bn by 2025 growing at a CAGR of 20.2%. It is expected to increase to a CAGR of 18.1% by 2025. 

In August 2021, customer experience automation platform Yellow.ai raised $78.15 Mn in Series C led by Westbridge Capital along with Sapphire Ventures and Salesforce Ventures. This round comes after the startup’s Series B funding round led by Lightspeed in April 2020, when it raised a total of $24 Mn, bringing the total funds raised so far to $102.15 Mn.

While another AI startup, Detect Technologies raised $12 Mn in funding led by Accel, along with existing investors including Elevation Capital, Bharat Innovation Fund, BlueHill Capital, and  Axilor Ventures. Stride Ventures also participated as a venture debt partner.