axiTrust Surety to Bag ₹22 Cr from General Catalysts
In a significant development in the Indian fintech landscape, axiTrust Surety, a startup that provides surety bonds to small and medium-sized enterprises (SMEs), is raising ₹22 crore in a seed round led by US-based venture capital firm General Catalyst. The funding round will also see participation from Veltis Capital, Good Capital, AngelList, among others.
axiTrust Surety, founded by Aditya Tulsian and Mukund Daga, aims to utilize the funds to expand its team, improve its technology, and scale its operations across the country. The startup has been working closely with SMEs, providing them with surety bonds that help them secure credit facilities and maintain cash flow.
In an increasingly competitive fintech space, axiTrust Surety’s innovative approach to providing surety bonds has resonated with SMEs, who have been struggling to access credit facilities from traditional lenders. The startup’s technology-based platform enables it to assess the credit risk of SMEs more accurately, making it easier for them to secure credit facilities.
The funding round, which is expected to be completed in the coming weeks, will help axiTrust Surety to expand its team and improve its technology infrastructure. The startup plans to use the funds to hire more talent, particularly in the areas of data science, product development, and sales. Additionally, it will use the funds to enhance its technology platform, making it more user-friendly and scalable.
axiTrust Surety’s success in securing a significant funding round is a testament to the growing interest in fintech startups in India. The Indian fintech industry has been growing rapidly in recent years, with startups in the space raising significant amounts of funding from investors. In 2020, Indian fintech startups raised a record $2.5 billion in funding, with many startups securing significant rounds of funding from investors.
The funding round led by General Catalyst is a significant milestone for axiTrust Surety, which is one of the few fintech startups in India to have secured funding from a global venture capital firm. General Catalyst, which has invested in several successful fintech startups globally, has a strong track record of identifying and investing in innovative fintech startups.
axiTrust Surety’s founders, Aditya Tulsian and Mukund Daga, have a strong background in finance and technology, which has enabled them to develop a platform that is tailored to the needs of SMEs. Tulsian, who has a degree in engineering from IIT Delhi, has worked in the finance industry for several years, while Daga, who has a degree in computer science from IIT Bombay, has a strong background in technology.
In a statement, Tulsian said, “We are thrilled to have secured funding from General Catalyst, Veltis Capital, Good Capital, and AngelList. This funding will enable us to scale our operations and expand our team, enabling us to provide more value to our customers.”
The funding round is expected to be completed in the coming weeks, with axiTrust Surety planning to use the funds to drive growth and expansion. The startup’s success is a testament to the growing interest in fintech startups in India, and its innovative approach to providing surety bonds to SMEs.
Source: https://inc42.com/buzz/axitrust-surety-to-bag-inr-22-cr-from-general-catalysts/
