Bengaluru-based SaaS startup Finly has raised an undisclosed amount of funding from a host of investors, which includes Gemba Capital, Chamath Palihapitiya-led Social Capital, and AngelList India. Other investors who participated in the latest round include 91Springboard and Omphalos Ventures.
With the recently raised funds, Finly will expand its SaaS product suite, with a focus on improving the intelligence layer to its offerings. The startup will also invest the funds in its next phase of growth. Quikr, UpGrad, Meesho, ShareChat, OLX India, among others are some of the companies which use Finly’s software.
Founded in 2015 by Vivek AG and Veekshith C Rai, Finly helps finance teams with its accounts payable system to set up their internal financial controls and governance framework, thereby helping its clients to reduce overall costs. The startup offers software services such as expense management system, smart e-procurement system, business payment automation, and budgeting and spends analysis tool.
Finly, which also counts Ebix Cash, the Indian unit of Ebix Inc as an investor, is the second startup founded by Vivek and Rai. They have earlier founded MindFree Labs, a platform for developers to get reviews and testing of their software done by community users.
Adith Podhar, managing partner at Gemba Capital said that with Finly, chief financial officers (CFOs) can time their payments to better manage cash and capture early-payment discounts and reduce invoice processing time. “We believe the team has built a fantastic SaaS product for the global market,” he added.
According to a NASSCOM report, SaaS market in India is expected to stand at around $3.3 Bn to $3.4 Bn by 2022, with a 36% annual growth. As per the report, the growth can be attributed to cheaper workforce, abundant talent, mature sales ecosystem, and adoption of deeptech technologies in India.
A report by DataLabs by Inc42 also noted that the enterprise tech startups raised $3.01 Bn across 742 deals between 2014 and H1 2019. The funding spree is expected to reach $1 Bn by 2020.
In India, Finly competes against the likes of other SaaS startups such as Bengaluru-based expense management startup Fyle as well as Gurugram-based Numberz.in, which has been backed by Kae Capital and Khosla Impact.