Cashless payment solutions seem to be becoming the centrepiece in India’s VC ecosystem these days. After RazorPay’s Y-Combinator backing yesterday, Mosambee, a Mumbai based mPOS solution provider has raised an undisclosed amount of funding in its Series B round. The funding comes from existing investors – Rajasthan Venture Capital Fund (RVCF) and SIDBI Venture Capital. Looks like Cashless Payment startups are getting cosier with Rajasthan’s glorious heritage.
With this freshly raised capital, Mosambee intends to use the funds to complete its products range and enhance their capabilities to enable it to provide a sound foundation from which its growth can be built. The company is also expanding in overseas markets where it can leverage its technology and enable the local partners to enhance their market presence and connections.
The strategy has already been implemented in four additional geographies and Mosambee is looking at addressing even more geographies.
Founded in 2008 by Alok Arora, Bhushan Thaker and Sameer Chugh, Mosambee offers a mobile Point-Of-Sale system of payment for vendors, wherein merchants can sync their smartphones with a Mosambee EMV device to send/receive payments. The platform is currently available only for Android, and rightly so, considering India’s major chunk of smartphone audience’s allegiance to Google’s OS.
Mosambee thus helps merchants to use their Android smartphones for card-reading and real-time billing, rather than using those out-dated payment terminals.
Alok Arora, the founder and CEO of Mosambee, said,
Our services support all major global card schemes including Mastercard, VISA, American Express, Diners and JCB. The company also leverages the products created by NPCI to provide its users a complete payments experience.
Mosambee claims to have over 10,000 users across India, which is a big number for a startup coming out into a field of which Indian consumers are generally sceptical.
Cashless payment has been gaining increasing popularity in India, thans to the country’s surging e-commerce space. Apart from that, entry of services such as Uber, PayTm etc. have diversified the areas where cashless payment methods could be used.
Although financials of the deal have not revealed, Girish Gupta of RVCF mentioned that Rajasthan Venture Capital has invested little more than SIDBI VC. The investors has already released the first tranche of the total investment in the company. The deal will be closed within six months.
Taking into account the $1 Million Mosambee raised in February last year, you can expect the current round to a be a bigger affair.