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The two-year-old startup, which is backed by $1-million VC funding from an undisclosed investor from India, focuses on emerging and mid-sized companies with an annual turnover of between Rs 50 crore and Rs 1,500 crore. Currently, it caters to eight SMBs in India.
Vikram Dham, founder and chief executive officer, Emkor Solutions, said, “An SME invests 80 per cent of its resources in non-core business processes. This phenomena is changing, as they have started deploying cloud services to bring down cost by 20 per cent.”
Focusing on five verticals including manufacturing, retail, realty and logistics, its BFaaS offers a subscriber pay as go on demand service, where businesses can leverage to outsource end-to-end all non-core business functions such as HR, payroll, taxation and IT. The start-up charges around Rs 60 lakh on average for five years for a company with 200 employees. "We charge between Rs 4,500 and Rs 9,000 per IT user per month in a organisation. In a 200-employee company, we target around 15 people in the finance, system and administrative front, which costs around Rs 20 lakh per annum," he said.
SMEs, which make up 22 per cent of the IT market, are one of the fastest growing segments in India. Currently, around 12 per cent of the SMEs use computers and 90 per cent use it just for document processing and spend only 30 percent of the country’s total IT spending.
“With the fast paced adoption of cloud, over 5,000 large enterprises and over 10 million SMBs are ready to consume IT,” he said.
It is present in Haryana, Punjab, Himachal Pradesh (Baddi), Rajasthan, Uttar Pradesh, Uttarakhand, Gujarat and Maharashtra.
