Total amount raised
$23.5 Millions
Latest funding date
11/01/2022
Location
M1xchange has successfully raised funds through multiple rounds, with notable investors including Jindal Stainless and Jindal Stainless Steelway. The platform offers a digital solution for invoice discounting, facilitating early payments for MSMEs through a seamless, 100% digital process.
Keep reading to explore the intricacies of M1xchange's fundraising journey and the investors backing this innovative platform.
What Is M1xchange?
M1xchange, founded on April 1, 2017, is headquartered in Gurgaon, Haryana, India. The company operates in the finance, financial exchanges, financial services, and fintech industries. It was established by Sundeep Mohindru and has a workforce ranging between 1001-5000 employees.
As an online exchange approved by the Reserve Bank of India (RBI) under the Trade Receivables Discounting System (TReDS), M1xchange facilitates the discounting of invoices across India. The platform offers a fully digital process, providing financial solutions to MSMEs through a network of over 60 financiers.
How Much Funding Has M1xchange Raised?
- Round Name: Series A
- Amount Raised: Not publicly disclosed
- Date: January 2019
- Lead Investors: Mayfield Fund, SIDBI Venture Capital
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To solve the challenge of delayed payments to MSMEs and enhance the cause of MSME supply chain finance.
- Round Name: Venture Round
- Amount Raised: $4.5M
- Date: December 2020
- Lead Investors: BEENEXT
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand M1xchange's reach and integrate with government digital initiatives.
- Round Name: Venture Round
- Amount Raised: $10M
- Date: April 2021
- Lead Investors: Amazon
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To expand M1xchange's reach beyond the 352 cities it currently serves and support the large ecosystem of vendors built by Amazon in India.
- Round Name: Secondary Market
- Amount Raised: ₹324M
- Date: November 2021
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To increase business volume and expand operations.
- Round Name: Secondary Market
- Amount Raised: ₹380M
- Date: November 2022
- Lead Investors: Not publicly disclosed
- Valuation at Round: Not publicly disclosed
- Motivation Behind the Round: To double business volumes in the next fiscal year.
Total Amount Raised: $14.5M + ₹704M
Current Valuation: Not publicly disclosed
Key Investors
- Amazon
- Details: Amazon is a global technology company known for its e-commerce platform, cloud computing services, and various other technology-driven services.
- Investment Focus Areas: Technology, e-commerce, cloud computing, digital transformation.
- Notable Investments: Not explicitly mentioned.
- BEENEXT
- Details: BEENEXT is a venture capital firm that invests in early-stage technology startups.
- Investment Focus Areas: Technology-driven companies, fintech, e-commerce, SaaS.
- Notable Investments: Not explicitly mentioned.
- Mayfield Fund
- Details: Mayfield is a global venture capital firm with a focus on early-stage investments.
- Investment Focus Areas: Technology, consumer companies, enterprise software, health tech, consumer internet.
- Notable Investments: Not explicitly mentioned.
- SIDBI Venture Capital
- Details: SIDBI Venture Capital is the venture capital arm of the Small Industries Development Bank of India (SIDBI), focusing on MSMEs.
- Investment Focus Areas: MSMEs, sectors driving economic growth and development.
- Notable Investments: Maharashtra State Social Venture Fund, Indian Opportunities Fund.
What's Next for M1xchange?
As M1xchange looks to the future, the opportunities for growth are vast. The platform aims to expand its reach beyond the current 352 cities, integrating with government digital initiatives and enhancing user experience through technological advancements like mobile apps. With the potential to digitize 10 million MSMEs by 2025, the scope for growth is immense.
Future fundraising opportunities seem promising, especially with the backing of major investors like Amazon, BEENEXT, and Mayfield. These investments will likely support further expansion and technological enhancements, positioning M1xchange for continued success. However, challenges such as ensuring continuous technological innovation and managing the risk of fraudulent bills remain. Maintaining a low turnaround time and competitive interest rates will be crucial as the platform scales.
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