BukuKas, the Indonesian startup that aims to digitize the country’s small enterprises, said on Tuesday that it bagged USD 50 million in an oversubscribed Series B round, joined by angel investors such as Doordash executive Gokul Rajaram and TransferWise co-founder Taavet Hinrikus. It comes after a USD 10 million injection from Sequoia India in January, which brings the total amount of funding raised to USD 72 million.
Founded only two years ago, the firm claims it has already registered 6.3 million small merchants and retailers, reaching 3 million monthly active users. It aims to hit 20 million customers by the end of next year.
Just last month, the company introduced its payment feature, BukuKasPay, which operates with various channels, such as virtual accounts created by traditional banks, QR codes, and e-wallet apps from Ovo, Dana, GoPay, LinkAja, and ShopeePay.
“We will continue to build trust with our merchants and support them with full suite banking and commerce solutions in the near future,” said COO and co-founder Lorenzo Peracchione in a statement.
CEO and co-founder Krishnan M. Menon told KrASIA last year that BukuKas helps its users trim off about 40 minutes each day from tasks related to bookkeeping. The app includes an expense analytics feature, which lists the type of costs that are affecting profits, and a tool to generate invoices that can be shared easily. Its platform Tokko helps merchants set up online stores and reach social commerce channels.
The potential market is huge. A report from Indonesia’s Ministry of Communication and Information Technology found that out of the country’s 59.2 million SMEs, only 8% have adopted services like online order forms, built e-commerce storefronts, or use SaaS products. Indonesia’s SMEs contribute 60.3% of the country’s GDP and employ 97% of its workforce, according to Indonesia’s central bank.
