POWERED BY
Presenting
OkCredit
Disrupting the way small businesses do accounting
Through digitisation, OkCredit reduces the merchant’s burden of maintaining and accounting paper account books. It also allows them to send collection notifications to customers in case of delayed or missed payments. To solve the trust problem, once a merchant registers a transaction on the platform against a customer, they are immediately informed through text or WhatsApp. OkCredit’s app launched on Google PlayStore in November 2017. Co-founder Harsh Pokharna said they built the app while sitting with the owner of their neighbourhood grocery store and observing the challenges he faced with accounting on a daily basis. Eventually, the startup became a part of YCombinator’s 2018 summer batch and raised money from the US-based seed accelerator during its $1.7 million pre-Series A round. The round saw participation from LightSpeed India Partners, Venture Highway, Y Combinator, along with other angels. In January 2018, OkCredit picked up a seed investment of $300,000 from Lightspeed India Partners. Post the June 2019 Series A funding, the founders said the capital will be used primarily for scaling up the team and hiring across functions, including product and technology. Further, OkCredit will use the funds to grow its customer base by focussing on aspects of customer stickiness.
  • Fintech
    HEADQUARTERS
    Bangalore, Karnataka, India
    COMPANY SIZE
    41 to 60
    FOUNDED
    Apr 2017

    Awards

    Awards and Recognitions
    08
    A YourStory list of startups in 2019 with groundbreaking ideas that are creating a deep impact.
    It was 2017 when serial entrepreneurs Harsh Pokharna, Gaurav Kumar, and Aditya Prasad realised that despite the proliferation of digital payment instruments and point of sale machines, most customers purchase goods on credit recorded in a notebook. Small businesses are yet to completely digitise their bookkeeping processes. Their interactions with daily grocery stores helped them understand that most of the accounting and credit given by these shopkeepers were recorded on paper; small pieces that could easily be misplaced. This system meant that it took longer to calculate and also lacked the aspect of ‘trust’ since there was no way to verify the accounts. This is what led them to start a digital-based credit balance recording solution for small business owners later that year. As of September 2019, OkCredit claims a registered base of seven million merchants. The startup claims to be witnessing nearly four million monthly active sessions on the app in recent months. This is a considerable growth since June when the startup had a download base of 1.3 million merchants, 900,000 of whom were monthly active merchants. Investors have taken notice of the startup’s success. In June 2019, OkCredit stated that it had raised $15.5 million as a part of its Series A round led by Tiger Global Management. The round also saw participation from new investor Morningside Venture Capital as well as existing investors Lightspeed India Partners, Venture Highway, and Y Combinator. Lightspeed had also made an initial seed investment in the company. Just three months later, OkCredit raised $67 million as part of its Series B fundraise from Lightspeed (India and US) as well as Tiger Global. This round took OkCredit’s total fundraise from June 2019 to September 2019 to $83 million.

    Funding

    Funding Rounds and Investors
    SERIES-B
    $67M
    Investors
    Lightspeed India Partners, Tiger Global Management
    Sep 2019
    SERIES-A
    $15.5M
    Investors
    Morningside Venture Capital, Lightspeed India Partners, Tiger Global Management, Y Combinator, Venture Highway
    Jun 2019
    SEED
    $1.7M
    Investors
    Y Combinator, Lightspeed India Partners, Venture Highway
    Aug 2018
    SEED
    $300k
    Investors
    Lightspeed India Partners
    Jan 2018