Gurugram-based legaltech startup SpotDraft has raised $550K (INR 3.5 Cr) n a Seed funding round led by VC firm Hunch Ventures. The other investors that participated in the round include Japan-based Spiral Ventures, 500 Startups, Singapore Angel Network and Citrus Payments founder Satyen Kothari.
The platform has revealed plans to use this capital from Hunch Ventures and others for scaling the business and marketing the product locally. The capital will be further utilised to bolster the startup’s presence in the contract automation sector, which boasts a market potential of $80 Bn.
Operated by Draftspotting Technologies, SpotDraft is an AI-driven end-to-end contract lifecycle management platform that was launched in January this year by Harvard Law School graduate Shashank Bijapur and Ex Googler Madhav Bhagat.
Speaking about the idea behind the company, Shashank in a recent interaction with Inc42, said, “I am a lawyer. I have seen upfront what lawyers do and how they work. I realised that the process is too time-consuming and riddled with inefficiencies. I have sat down on the other side of the table with clients and seen them take long to do something very simple. Despite working on similar deals, we still have to create additional paperwork.”
SpotDraft’s technology is currently aimed at small businesses and freelancers to help them draft solid contracts, send automated invoices and payment reminders. But going forward, the AI platform will be able to read through contracts, organise, manage and analyse them.
The idea, according to co-founder Bhagat, is to help companies manage their legal work at a fraction of the cost and time. SpotDraft claims to not only let anyone create a contract in less than 10 seconds but also allows users to sign it online, send automated invoices which are GST compliant, and even send payment reminders.