Emerging neo-bank and corporate card provider Karbon Card (Karbon) has raised ₹55 crore in a debt financing round from Northern Arc Capital, UC Inclusive Credit Private Limited (UCIC) and Oxyzo Financial Services. , the company announced.
Karbon will use the funds to empower and enable start-ups and SMEs to have corporate credit cards that they can use as flexible growth capital, he said.
UCIC, incubated by Unitus Capital, is an impact-focused non-bank finance company registered with the Bengaluru-based Reserve Bank of India, while Oxyzo is the lending arm of OfBusiness and is backed by Softbank.
This is the company’s first-ever debt financing round. So far, it has raised $32 million (approximately ₹240 crore) since inception, backed by investors including Ycombinator, Ramp, and Olive Tree Capital among others.
Founded in 2019 by Kartik Jain, Pei-fu Hsieh, Amit Jangir, and Sunil Kumar, Karbon is an enterprise payment platform and upcoming neobank for small businesses, enterprises, and start-ups.
Asset for the finance team
It provides visa-issued corporate cards (both virtual and physical) and enables the finance team to control and track company-wide expenses. It currently provides corporate cards and expense management solutions to over 2,000 start-ups and SMEs.
Kartik Jain, co-founder of Karbon, said, “We believe partnering with these stalwarts goes a long way in cementing our credibility and presence in the new-age banking ecosystem. We will allocate these funds to expand our customer base and become the preferred neo-banking partner for all start-ups and SMEs in India.
Managing Director of UC Inclusive Credit Private Limited (“UCIC”), Abhijit Ray, said: “Karbon, being a new era corporate bank, supports small and medium enterprises (SMEs) and start-ups in their entrepreneurial journey and SME/MSME financing is one of the areas targeted for impact as identified by UCIC.
Karbon also recently launched a small business banking product called Karbon PayOut to make supplier and salary payments easier and faster.
May 17, 2022