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Fintech firm Karbon Card (Karbon), has raised $15 million in a Series A funding round led by Olive Tree Capital, Harmony and Avenir Growth Capital.
Existing investors Ramp, Mercury and Orios Venture Partners also participated in the current round.
The new round of funding comes in less than four months after the company, which offers corporate cards, raised a Pre-Series A of $12 million in September last year. With the current round, the total funding raised by Karbon stands at around $32 million.
Expansion plans
It will utilise the funds to step up product development, hiring plans and operations as it transitions into a corporate Neobank this year.
Founded in 2019 by Pei-fu Hsieh, Amit Jangir, Kartik Jain and Sunil Sinha, Karbon is an expense management platform for small businesses, enterprises, corporates and startups.
Karbon’s centralised platform helps businesses with small cash management, expense report automation, prepaid cards for business expenses, travel and expense management, employee flexible benefits, international travel cards to a digital marketing expense card.
Karbon’s Co-founder Amit Jangir said, “We are extremely delighted to close our Series A because it means we now have the resources to build an even more compelling product and service to all our current and future customers. We now have more than 2,000 companies as happy customers and are determined to grow this by many times this year.”
The company aims to become the largest player in the expense management segment. It recorded a monthly GTV (gross transaction value) of $30 million in 2021 and expects to grow the GTV to $200 million per month in 2022 as credit demand picks up pace.
Nick Eliovits, Managing Partner of Olive Tree Capital said, “Over the past five years, we have evaluated emerging corporate card players globally and ultimately backed Ramp in the US. With a world-class leadership team and remarkable traction to date, we are excited to lead Karbon’s Series A. The adoption for corporate cards in India is still nascent compared with developed markets, and as the market leader, we expect Karbon to introduce corporate cards to Indian companies in the near term and beyond.”
The Bengaluru headquartered company earns off of interchange fees and aims to solve a major problem for small businesses and startups by replacing the use of personal credit cards for company usage with corporate cards.
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