Drip Capital, a California and Bengaluru-based fintech company that offers working capital to cross-border traders, said that it had raised $15 million of equity funding from Accel, Sequoia India and Wing VC in a Series A round.
Existing investors, including Y-Combinator and others, who had invested $5 million in a previous seed round, also participated in this round.
The company said it had also raised an undisclosed amount of debt capital from Silicon Valley Bank and others.
“The working capital gap is quite pronounced in India, where SMEs contribute to 40% of exports,” Pushkar Mukewar, co-founder and co-CEO of Drip, said in a statement.
Drip said it started with India as the first exporter market and experienced strong demand, having funded over $100 million of trade flows across industries in the last 18 months of operation. Drip now plans to use this funding to scale up operations in India and replicate the model in other geographies.
“With a partner like Drip Capital, emerging market exporters now never need to say no to a new order due to working capital constraints,” said Mohit Bhatnagar, managing director, Sequoia Capital India Advisors.
