DigiKhata Increases $2 Million to Boost Small Businesses' Competitiveness.
ByShehryar Makhdoom | Published date:
(Image credit: DigiKhata)
The worldwide seed round closed for $2 million by Faisalabad, headquartered in fintech Digi Chata. MSA Capital (a VC firm headquartered in China) and Shorooq Partners (the country's most established MENAP based VC firm) are in charge of launching the company alongside a group of other notable investors, including +92 Ventures and angels.
Adnan Aslam founded DigiKhata in 2020 with the mission of assisting small and medium-sized enterprises (SMEs) to save time and avoid credit losses by aiding them to recall and recover their finances through automatic warnings. Another helpful feature is tracking both cash and credit transactions, which cuts down on the hassle of using physical registers/diaries called Khata.
Small and medium-sized enterprises (MSMEs) are crucial in helping the Pakistani economy grow in GDP, trade, and industry. They can make an enormous contribution to the economy if they have the necessary tools and resources at their disposal. Now that we have received this investment round, we are planning to increase our team size to continue providing world-class utility solutions that assist micro-enterprises in generating real economic benefit and growth.
DigiKhata expects to record over $1 billion in transactions in 2020. More than a million registered firms have already been reported on the platform.
PKR 10 million ($10,000,000) was recently awarded to DigiKhata as part of the Karandaaz Pakistan PKR 10 million Grant, which was granted to them for their substantial efforts toward financial inclusion. For the first time this year, it will participate in the Telenor Velocity accelerator programme. Adnan stated, "These strategic agreements would enable DigiKhata to reach scales in the fields of payments, retail networks, lending, etc.
DigiDokaan, another recent innovation from DigiKhata, provides an easy-to-use Shopify in the Pakistani language. Over 50,000 online businesses around the world are successfully using the intuitive interface to launch their e-commerce sites.
Usability is key to what we build here at DigiKhata. E-commerce use has been rising and fuelled by the 2020 pandemic, which compels us to help our small-business clients set up their online presence.
In Pakistan, MSMEs, or small and medium-sized enterprises, think that they are the most excellent transactional sector of the country, and DigiKhata is establishing an essential suite of technologies to increase their effectiveness and scalability. The execution expertise of the team helped them to build the most significant user base on a platform domestically, and their vision enables a continual pipeline of new goods and revenue models to be implemented."
According to Shane Shin, Founder and Managing Partner of Shorooq Partners, DigiKhata is poised to disrupt the MSME ecosystem throughout the MENAPT region. "We see a global trend to bring MSMEs online and empower them digitally, and DigiKhata is at the forefront of this movement," he says about the company. Like Founders' Partners, we are happy to be working with Digikhata and believe we can contribute to Adnan and the team's growth by helping them across the GCC and MENA region.