Instamojo introduces ‘Credit Book’, aims to digitise records for 1M SMEs
MSME tech startup, Instamojo on Friday launched Instamojo Credit Book on its Android app, intending to digitise records, saving businesses the hassle of maintaining manual ledgers.
Outlining the features in a blog, Instamojo said that the ‘Credit Book’ will allow users to keep track of credit given to vendors, suppliers, and customers; monitor cash receivables from customers, vendors, and suppliers; send due payment reminders; save time by ditching the old ledger book, excel sheet, and calculator; and help in maintaining a centralised record of a business' cash flow.
The startup also highlighted that the feature fits in seamlessly with Instamojo users and into their account books. Additionally, payments are recorded in the sales and customers section, apart from being calculated in the credit book, ready to reconcile.
However, Instamojo isn’t the first startup to launch this feature to help small businesses digitise their records. Other online platforms which are digitising SMB records have also been attracting a lot of investor attention.
For instance, Bengaluru-based Khatabook, a mobile app which enables SMEs to record and track business transactions raised $25 million in Series A funding from partners of DST Global, GGV Capital, Sequoia India, Tencent and others, in October 2019.
Prominent investors like Kunal Shah, Founder, Cred; Kunal Bahl, Co-founder, Snapdeal; Jitendra Gupta, Head - LazyPay; and Anand Chandrasekharan, ex-Facebook; among others, also participated in the funding round.
Launched in 2018, Khatabook has raised about $29 million in total funding and has recorded over $3 billion worth of transactions on its platform, highlighting a need for the solution.
Another platform, OkCredit, also provides merchants with simple and reliable means of keeping credit and payments records. The Bengaluru-based startup has raised $83 million in funding between June to September this year, flaunting the likes of Tiger Global and Lightspeed (India and the US), as investors.
With India having close to 42.5 million SMEs, employing a total of 106 million individuals, looks like startups are finding a huge market in the SME economy.
(Edited by Suman Singh)