Prosperr.io Raises $4 Mn To Simplify Tax Management

SUMMARY

The seed funding round led by Jungle Ventures, with participation from Yatra Angel Network, Sadev Ventures, and other unnamed “strategic” investors

The Bengaluru-based startup plans to deploy the capital to accelerate product development and bolster its B2B sales infrastructure

Founded in 2022, Prosperr.io offers a subscription-based service to simplify the process of managing and paying taxes for individuals and enterprises in India

Fintech SaaS startup Prosperr.io has raised $4 Mn (around INR 36 Cr) in its seed funding round led by Jungle Ventures, with participation from Yatra Angel Network, Sadev Ventures, and other unnamed “strategic” investors.

The Bengaluru-based startup plans to deploy the capital to accelerate product development, bolster its B2B sales infrastructure, and expand into adjacent verticals like wealth management.

Founded in 2022 by Manas Gond and Dev Kumar, Prosperr.io offers a subscription-based service to simplify the process of managing and paying taxes for individuals and enterprises in India. The SaaS platform automates tax compliance and unlocks deductions for individuals by leveraging AI. It is also building a goal-driven tax management platform for salaried professionals.

It also provides tax management solutions for enterprises, and recently expanded its enterprise product suite with an AI-powered reimbursement solution to address the complexity of corporate tax operations. The startup claims to offer tax-saving employee allowances and simplified employee reimbursement for enterprises.

In June 2024, Prosperr.io raised INR 12.9 Cr in its pre-seed funding round to build its AI-first tax advisor and a tax optimisation platform. Including the fresh funding, the startup has raised a total of $5.6 Mn since its inception.

It claims to have seen 5X revenue growth since its previous funding round and have a retention rate of 80% across its consumer business and 100% across enterprise clients.

With advances in AI over the past few years, several startups are using the technology to build solutions for the fintech sector. These startups have been bagging funding from investors who are looking to capitalise on the Indian fintech market opportunity, which is expected to reach attract a revenue of $250 Bn by 2030.

For instance, AI-led fintech startup Oolka raised $7 Mn (around INR 62 Cr) in September to help users improve their credit score. In the same month, OnFinance raised $4.2 Mn (about INR 37 Cr) to provide compliance, risk and audit solutions to the BFSI sector.