[Funding alert] Global and Indian fintech entrepreneurs back reconciliation software startup Recko
Bengaluru-based Recko, a fintech startup that enables AI-powered reconciliation of digital transactions, has raised additional capital from a clutch of global and Indian fintech angel investors.
The investors include Taavet Hinrikus (Co-founder of Transferwise), Ashish Gupta (Managing Director, Helion Ventures), Vaibhav Puranik (Financial product head for Carta), Shamir Karkal (Founder of Sila Money), Eric Kwan (Early Facebook engineer and Founding Engineer of Operator) and Locus Ventures.
Saurya Prakash Sinha, CEO and Co-founder, Recko, said,
“While our initial customers are in India, our vision for Recko was always go global. Over the past few months, we have validated the demand for our solution around the world. Getting these amazing stalwarts on our side means Recko can reach out for advice, product guidance, technology expertise, and connects to customers/investors and just good mentoring from time to time.”
The Founders of Recko: Saurya Prakash Sinha and Prashant Borde.
The follow-on funding round also saw participation from the company’s existing investor Prime Venture Partners that had invested $1 million seed funding in the startup in June this year.
Sanjay Swamy, Managing Partner, Prime Venture Partners, said,
“Recko is successfully solving exponentially a very complex problem that most companies are facing with digital transactions because of the volume and complexity. We are rapidly seeing newer and newer use cases for Recko, around the world.”
With this funding, the company is setting aggressive expansion targets and plans to enter international markets including the US, in the next six months. It is on track to grow at 10x in the next 12 months.
Founded in 2017 by serial entrepreneurs Saurya Prakash Sinha and Prashant Borde, Recko has built a SaaS-based reconciliation product that keeps track of the complete transaction lifecycle and commercial contracts for organizations. In the first 12 months since launch, the company claims to have reconciled transactions worth $2 billion with customers including Grofers, Meesho, and some of India’s top marketplaces across different industry sectors.
In July alone, it reconciled transactions worth $330 million.
Recko automates reconciliation and allows the data to be traced throughout the entire transaction cycle. It does so by getting connected to payment gateways, banks and merchant's order management system through APIs and helps the merchant in tracking receivables and identifying settlement discrepancies.
The company said it enables finance teams to ingest, enrich multiple data sources and reconcile millions of transactions in hours, instead of days, without writing a single line of code. Recko reduces manpower by 50 - 80 percent and keeps a watch over the transactions to ensure money moves between the right parties, at the right time with correct deductions, it added.
It has recently started working with various banks, NBFCs, and insurance companies, and is currently running pilots with them.
Recko is now building machine learning models to identify anomalies, risk, and intelligence around money flow.
(Edited by Teja Lele Desai)