Clear’s Series C cycle was led by Kora Capital with participation from Alua Capital, Think Investments and some existing investors
Clear aims to use the funds to accelerate its expansion into the B2B credit and payments space, with expansion into international markets
The startup claims to have over 10% commercial invoicing market share in India, and with 5X growth in the past 18 months, it claims to serve 3K + large companies and 1 million + SMEs.
After marking its first acquisition with Recko, a payments reconciliation startup based in Bengaluru, global fintech giant Stripe announced its first investment in India. Delhi-based NCR-based ClearTax (formerly ClearTax) has announced that Stripe has backed it in its $ 75 million Series C round.
Led by Kora Capital, the round also saw participation from Alua Capital, Think Investments and some existing investors.
The fintech SaaS platform, best known for its online tax filing platform, will use the funds to accelerate its expansion into the B2B credit and payment space, with expansion into international markets.
Founded in 2011 by Archit Gupta, Raja Ram Gupta, Srivatsan Chari and Ankit Solanki, Clear offers a range of services to clients including tax preparation, electronic filing, accounting and investment planning solutions for individuals and businesses. It also offers wealth management solutions to individuals.
The startup counts Y Combinator, Composite Capital, Elevation Capital, Sequoia Capital and Founders Fund as its existing backers. To date, it has raised $ 140 million in equity and its last round was in October 2018. The current round values Clear somewhere between $ 700 million and $ 750 million.
The startup claims to have grown 5 times over the past 18 months, adding more than 3,000 large business customers. It has also seen an increase in usage with over 1 million small businesses on the platform. The Clear platform now claims to process over 10% of India’s commercial invoices with a GMV (gross value of goods) of $ 400 billion.
Clear aims to serve more than 10,000 large businesses and 10 million small businesses over the next two years.
India is currently one of the fastest growing countries in FinTech segment compared to the rest of the world. Globally, the country has the highest FinTech adoption rate at 87% compared to a global average of 64%.
Yet Stripe – a global fintech leader that primarily offers payment processing software and financial APIs – which has teams in the Southeast Asia region, has yet to take a substantial share of the market. fintech market.
Despite the first two waves of the Covid-19 pandemic which wreaked havoc in most sectors, innovations in the fintech space have helped India maintain its lead.
According to Inc42 Plus estimates, the fintech startup ecosystem saw 5.8 times the inflow of capital to reach $ 4.6 billion in funding across 160 deals during the January-August 2021 period. As major startups and BFSI companies in this industry like Paytm, Policybazaar, Pine Labs move towards public registrations, start-ups have carved out a significant share of funding in specific categories – led by digital payments.