On-demand payments and e-commerce platform, Instamojo has secured an undisclosed amount of funding in pre-series B round from Anypay, a Japanese payments firm. Existing investor, Kalaari Capital also participated in the current round.
This latest round of funding marks Anypay’s foray into the Indian internet market. Prior to this round, the company has raised $2.6 million from Kalaari Capital, Blume Ventures, 500 Startups and others in November 2014.
The latest funding will allow Instamojo to expand its suite of offerings and introduce e-commerce enabling services such as cataloging, logistics, shipping and GST compliance assistance.The company will leverage big data and introduce financial services such as lending via third-party providers in the coming months. Instamojo plans to expand its leadership team to meet these goals.
Commenting on the development, Shinji Kimura, CEO, AnyPay said “For the first time, many Indian small businesses will be able to go digital, including themselves into the mainstream financial system.We are excited about the possibilities and the future of the Indian SME market, and hold confidence that Instamojo will be able to capture that often underserved market space.”
Based out of Bengaluru, Instamojo provides payments and e-commerce offerings for SMEs looking to digitize their business. It connects marketplace which connects small business owners with sellers who offer services such as content development, logo and web designing, translations, digital marketing, SEO analytics etc.
Founded in 2012, Instamojo enables over 3,00,000 SMEs to build, manage and grow their business online. The company has acquired 10% of the digitally-active SMEs in India and controls 30% of their annual turnover. Instamojo aims to extend its wallet share to 70% by 2019 and grow its merchant base by 400% in 2018.
It has features such as a shopping cart, optimized SEO links, advanced analytics, payment links for easy checkout, sales reports and other important apps like accounts and tax-related tools to offer a complete online business experience to merchants. The company claims that it adds over 20,000 products to the store on a monthly basis and the 5000+ stores have over 1,00,000 monthly visitors.
“We, at Instamojo understand the nuances of small businesses in India and leverage cutting-edge design and technology to deliver highly customizable solutions. With our vertical approach, we aim to cater to the end-to-end requirements of merchants and become an integral part of their growth story. We are inspired by Shinji Kimura’s intuitive ability to build scalable businesses and look forward to leveraging AnyPay’s expertize to further drive the adoption of online payments and e-commerce among SMEs.”, said Sampad Swain, Co-founder, and CEO, Instamojo.
In April 2017, Instamojo had announced that it aims to expand its current merchant base of 250,000 to 1 million by next year. Instamojo has successfully increased the number of merchant registrations on the platform by 106% and has witnessed a 150% growth in new merchant activations in the last financial year.
The company also announced the launch of a suite of strategic and powerful solutions that cater to the diverse business needs of merchants and enable them to build, manage and grow their business online with ease.