B2B digital marketplace Solv has raised $40 million in funding round from marquee investor SBI Holdings, with participation from SC Ventures.
The startup plans to use the funds to launch additional high-margin product categories and expand to 300+ cities in India. The fresh capital will also boost the expansion of BNPL (Buy Now Pay Later) loans, especially in the NTC (New-to-Credit) segment.
The Bangalore-based Solv was founded in 2019 by Kishore A K, Rohit Dawer and Amit Bansal, It enables MSMEs to trade-in categories like Grocery & Fast-Moving Consumer Goods (FMCG), Readymade Apparel, Electronics & Accessories, Home Furnishing and Footwear & Accessories.
The company claims that it has become India’s fastest-growing B2B marketplace within 18 months of launch with over 220,000 KYC verified Micro, Small and Medium Enterprises (MSMEs) base.
“At Solv, we are passionate about improving livelihoods of millions of underserved MSMEs in India and globally. In a year ravaged by Covid-19, Solv has been able to establish itself as a dependable partner to 220,000+ MSMEs. The learnings in India, and the resultant development in product, technology, and platform, is also enabling us to create workable models for MSMEs in other geographies across the world. At this critical juncture of Solv’s journey, we are humbled to welcome on board SBI Holdings as a long-term partner. This strategic partnership and investment will give us significant tailwinds and help us become a dominant B2B player over the next 12-18 months”, said, Amit Bansal, CEO, Solv.
The company aims to achieve a GMV run-rate and positive unit economics of half a billion dollars by December 2022 from the Indian market alone.
“We are excited to lead Solv’s Series A fund raise, one of our largest investments in the region. We are confident that Solv will become a global technology powerhouse and play a defining role in turbo-charging the growth of underserved MSMEs. Its purpose deeply aligns with our philosophy of becoming the leader in creating and cultivating the core industries of the 21st century. Our investment in Solv is a reinforcement of our commitment to developing economies, especially India”, said, Yoshitaka Kitao, CEO, SBI Holdings.
Alex Manson, Head, SC Ventures, said “The team’s obsession for the customer and their discipline of execution is impressive. Solv’s rapid growth since launch demonstrates the huge market potential in the B2B space. The partnership with SBI Holdings will help us accelerate growth of Solv in India and expand its footprint globally.”
Solv’s B2B commerce platform offers India’s MSME sector an open and inclusive trade ecosystem across the entire value chain. The platform facilitates connections and negotiations with verified sellers and buyers, door-step pick-up and delivery of goods, timely and easy access to finance as well as simplified business support functions. These are critical elements that help expand market access, bring operational efficiencies, and shape success for millions of small businesses across the country.
Solv’s intuitive and user-friendly conversational commerce platform brings the power of technologies like blockchain, artificial intelligence and machine learning – to small businesses and helps them conduct their business with multiple stakeholders in a trusted environment.