[Funding alert] Fintech startup Karbon Card raises $1.2M in pre-Series A round

KarbonCard, a fintech startup which provides corporate credit card services, has raised $1.2 million in a pre-series A round of funding that saw participation of existing investors Orios Venture Partners along with MyAsiaVC.

In a statement, Karbon Card said the funding will be used to launch full fledged Neo bank for corporates providing services to not only manage cards but also bank accounts, investments and forex.

Karbon card closed its seed round of $2 million last year in March with Orios Venture Partners, Whiteboard Capital, Jitendra Gupta, Kunal Shah, Amrish Rau, and several global angel investors.

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Founded in 2019 by Pei-fu Hsieh (from Taiwan) Amit Jangir and Sunil Kumar, Karbon Card is a business credit card startup based in Bengaluru that is focused on small businesses and startups, enabling them to access corporate credit card within 24 hours without any fixed deposits or guarantees.

Karbon Card claimed that it has crossed Rs 500 crore annualised volume run rate on cards, and has CRED, Unacademy, MyGate, Pharmeasy, Nazara (IPO recently), BlackBuck, and Bizongo among its thousand plus customers.

Speaking about investing into Karbon Card, Anup Jain, Managing Partner, Orios Venture Partners, said,

“India and South East Asia represent a market of almost $20 billion in corporate spending by tech startups and SMEs who find it unproductive to navigate the world of corporate banking for their all round needs. Karbon offers them a rafter of services that they need without the hassle of traditional banks.”

According to Karbon Card, it offers rewards and cashback where clients can save up to Rs 50 lakh based on spends. Currently, all users have saved Rs 10 lakh per annum at a minimum, it claimed. Karbon Card has partnered with Mastercard for powering the credit card services on the platform.

Md Sajidur Rahman, Partner, MyAsiaVC, said,

“Karboncard is solving a fundamental challenge for startups - managing cash flow better while continuing to grow.”