Can you tell me why the Bengaluru based start-up Cashfree has raised funding in the market?

Fintech start-up, Cashfree, raised $35.3 million via Series B funding from Apis Growth Fund II. Cashfree, based out of the Silicon city of Bengaluru, will use these funds to further scale Cashfree payments offering and to develop new product verticals.

In the post pandemic scenario, Cashfree has seen rapid growth and the sharp spike in ecommerce penetration led to better business growth. Cashfree was founded by Akash Sinha and Reeju Datta back in 2014. The start-up rocesses online payments for thousands of small and medium-sized Indian businesses.

In 2020, Cashfree had introduced solutions such as an instant settlement offering on its payment gateway and a UPI Stack which also offered 15 ready-to-use integrations for all business payment needs. This was conceived as a one-stop shop for the small business to handle their payment cycle and audit trail.

There is something much more to their value proposition. This feature helps small and mid-sized companies to access funds within 15 minutes of payment capture via its payment gateway as compared to the industry standard of 2-3 business days. This avoids the huge working challenges faced by small businesses.

Cash free boasts of some marquee customers like Cred, Big Basket, Zomato, HDFC Ergo, Zoomcar and Delhivery. They all ride the Cashfree payment ecosystem.