Financial Solutions startup, Xtracap Fintech has raised $1million in angel funding round. The company had launched its mobile app, Bridge2Capital in October 2018 for micro entrepreneurs to pay their GST supplier bills. The startup began with less than hundred shopkeepers and now has grown to over 1000 shopkeepers. They have crossed 30K registrations all over India.
They are currently operating in Rajasthan, Punjab and Telangana and have managed Rs 70 crore worth of invoice financing providing credible financial integrity to small shopkeepers. Despite the current economic pressure, the company claims that they have been doing fairly well and have recorded stable revenue generation.
The company allows its users to choose GST suppliers and releases funds to the suppliers for the invoices financed. The new investment will be used by the company to expand its product catalogue and widen its reach by exploring new markets.
Xtracap Fintech also provides other services like QR based online payment solution, order management logistic payment solution, online insurance, digital gold saving scheme and digital ledger. Currently, the users do not have access to everything to all of these but by March 2021 company plans to make all the services available for its users.
Xtracap founder Mohammed Riaz said,
“With increase in digital adoption, this time period will shrink in the future due to the unprecedented COVID-19 situation”.
It aims to reach 2 million retailers in a serviceable market out of 14 million over 1500 locations. The company expects a fast paced digitization in the country post the Reliance and Facebook deal.