Digital accounting app Khatabook announced Tuesday that it had raised $ 100 million in Series C funding valued at nearly $ 600 million. The US VC companies Tribe Capital and Moore Strategic Ventures (MSV) led the round.
The round was oversubscribed and saw participation from investors such as Alkeon Capital, B Capital Group, Sequoia Capital, Tencent, RTP Ventures, Unilever Ventures and Better Capital. Balaji Srinivasan, Sriram Krishnan participated as independent investors.
The company said it will buy back $ 10 million worth of ESOPs to recognize and reward its current and former employees, as well as early investors who have shown confidence in Khatabook. Eligible employees can sell up to 30 percent of their vested options. The company has expanded its ESOP pool to $ 50 million.
Khatabook added that it will accelerate its hiring drive, particularly in the areas of tech, product, design, analysis and data science.
It is said that it will now focus on paying out financial services through our technology platforms, which are widely accepted for MSMEs. It will digitally promote credit, payment and deposit efficiency in the MSME area.
The digital accounting app seeks out the right partnership opportunities to enable the seamless rollout of solutions for the economic endeavors of small businesses.
Co-founder Arjun Sethi said, “Khatabook has successfully built such a network by enabling this seismic shift among MSME companies to literally move from paper to digital.”
Khatabook was founded two and a half years ago and currently has an active user base of 10 million. In addition to the main product, they also have the Biz Analyst SaaS business management solution, Pagarkhata, the corporate human resources management platform, and Cashbook for those looking for a digital solution just for cash handling and tracking.
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