Aiming to leapfrog in its next phase of growth, fintech start-up Khatabook has acquired Biz Analyst, a SaaS business management application, in a deal worth $10 million as a mix of cash and equity. With this acquisition, Khatabook will offer its customer base of over 10 million monthly active merchants an opportunity to scale up their businesses by utilizing premium value-added services. The startup is scouting for other such acquisitions in order to add more services to the platform.
Backed by marquee investors such as Facebook co-founder Eduardo Saverin, Cred’s Kunal Shah, and Snapdeal co-founders Kunal Bahl and Rohit Bansal, this acquisition is a part of Khatabook’s efforts on monetisation and growth. “We will continue to be on the lookout for good software companies which will add value to our MSME ecosystem,” said Ravish Naresh, CEO and Co-founder, Khatabook. The startup has been working towards digitising the workflow of micro entrepreneurs
It is looking to accelerate its payments stack in the second half of the year via strategic acquisitions. “We are also building offerings for larger retailers to manage their invoice creation, inventory management and automated GST filing. These are some of the modules after Pagarkhata that we intend to launch this year,” said Naresh.
Pagarkhata was rolled out in December last year to help MSMEs digitally manage workforce-related tasks such as monthly/hourly wages, attendance/leaves, payslips, salary calculation, and payment.
Launched in late 2016, Biz Analyst is a cash flow positive business providing solutions to SMEs using Tally accounting software to automate daily business operations and make data-driven decisions to manage sales, inventory, outstandings and productivity. WIth a current user base of 80,000 paid users, Biz Analyst as a part of Khatabook aims to double it this year.
The Biz Analyst team will continue to run independently, retaining Mumbai operations while maintaining synergies with the Khatabook headquarter in Bengaluru. The original co-founding team of Biz Analyst Vaibhav Vasa, Mehul Sutariya, and Nilesh Zaveri will now be a part of Khatabook’s leadership team.
“As the new chapter in our growth journey unfolds, we are excited to create bigger and better opportunities for our team, for our partners, and most importantly, for our customers, by bringing in products that cater towards solving day-to-day challenges faced by them,” Biz Analyst cofounders Vaibhav Vasa and Mehul Sutariya.