SME-focused Khatabook makes first acquisition with purchase of Biz Analyst

By Narinder Kapur

  • 25 Mar 2021
Credit: 123RF.com

Khatabook, a fintech startup focused on SMEs, has acquired SaaS-based business management app Biz Analyst for $10 million (around Rs 72.6 crore).

Cashflow-positive Biz Analyst, set up in 2016 by Vaibhav Vasa and Mehul Sutariya, uses its Tally accounting software to help SMEs automate their daily business operations and make data-driven decisions regarding sales, inventory and productivity.

The firm, which claims to have more than 80,000 paid users, will continue to function independently, retaining its Mumbai operations while leveraging synergies with Khatabook at the latter’s Bengaluru headquarters.

“This deal is our first strategic acquisition,” Khatabook co-founder and CEO Ravish Naresh said.

Khatabook was set up in 2018 by Naresh, Dhanesh Kumar, Jaideep Poonia and Ashish Sonone. Its flagship application allows SME merchants to record and track business transactions.

It has also launched two other platforms – ecommerce-focused MyStore and staff and salary management platform Pagarkhata.

In May last year, the company raised $60 million (around Rs 454 crore) in a Series B round led by B Capital. Other participants included RTP Global, Hummingbird Ventures, Falcon Edge Capital, Rohit Bahl, Rocketship.vc, and Unilever Ventures.

Sequoia India, Partners of DST Global, Tencent and GGV Capital also contributed to the round.

In October 2019, Khatabook raised $25 million (around Rs 177 crore) in its Series A round from Tencent, US-based GGV, Sequoia India, Y Combinator, RTP Ventures and partners of DST Global.