On the 12th of October, Razorpay announced that it had bagged $100M in series D funding led by GIC, along with Sequoia and existing investors Ribbit Capital, Tiger Global, Y-Combinator, and Matrix Partners. With this Razorpay makes its entry into the unicorn club of Indian Startups.
Razorpay has been one of the pioneers of Fintech startups in India. It has made constant efforts to ease the online transaction domain for small businesses and enterprises with its unique suite of products which includes online payments, QR based payments, self hosted pages, payment gateways, subscription-based payments, payment links, payment button to name a few. Razorpay has built a strong payment infrastructure which has become an integral part of the journey of many businesses.
Currently Razorpay has a long list of customers ranging from global giants such as Google, Facebook, Indian IT conglomerate Jio, Largest Indian Discount stock brokerage Firm Zerodha, India’s largest and highest-valued online food ordering app Swiggy and even recent startups. Its diverse suite of products is catering to the needs of varied businesses.
The recent COVID pandemic has pulled off a technology revolution in itself with a greater mass of industries shifting towards online options for their day to day commerce. With a country with such a large population and developing digitization in the domain of online transactions, Razorpay has played an integral role in providing flexible payment options to its customers.
Another interesting aspect from the Razorpay suite of products is their neo-banking platform, RazorpayX which allows customers to have a low-cost banking solution that serves all their businesses related things such as processing payrolls, paying for expenses through corporate cards, and paying vendors in real-time. This has essentially paved the path towards technology-based banking systems in India. Razorpay’s products are creating an ecosystem that allows emerging entrepreneurs to concentrate on their business growth and to bother less about their financial management which are duly taken care of by Razorpay.
GIC is a significant public market investor and they are major investors in marquee financial companies like Bandhan Bank, Bajaj Finance and many others. Other existing investors such as Ribbit capital have a significant interest in financial businesses and it is visible from their portfolio companies such as capital flow, BharatPe, Groww and many more companies. Being backed up by these companies adds a wide range of experience in the fintech market which can act as a major advantage for razorpay in the process of achieving its targets.With online payments constituting only 3% Indian economy Razorpay looks at this as a big opportunity for expansion within the country. As people have been more than welcoming towards online payment options in recent years, Razorpay thrives in the Indian fintech domain. RazorpayX will show the maximum growth in the coming times for its unique set of features as a Neo-bank. The funding will help the company to add more interesting products and innovations.