Fintech firm Cashfree has raised $35.3 million in series B funding led by growth stage financial services investor Apis Growth Fund II. Existing investor Y Combinator also participated in the funding round.
The firm’s total fund count now stands at $42 million. The Bengaluru-based company will deploy the funds to launch new products, it said in a statement.
Cashfree processes online payments for Indian businesses and claims to have processed over $12 billion in annualised payment volumes as of March 2020. The company said its product Payouts, which processes bulk disbursals, has been received well and grew to one lakh daily transactions within a year of its launch in 2016. The company said it has been profitable since its first year of operations. “We still see payments as an evolving industry with its own challenges and we would be investing in next-gen payments as well as banking tech to make payments processing easier and more reliable,” said CEO & co-founder Akash Sinha.
More recently, Cashfree introduced solutions such as an instant settlement offering on its payment gateway and a UPI Stack with 15 ready-to-use integrations for all business payment needs, including collections, disbursals, and verifications using UPI infrastructure. The company counts more than 50,000 businesses amongst its merchants, including BigBasket, Zomato and HDFC Ergo.