Lummo raises $80M in Series C round

Lummo, previously known as BukuKas, on Wednesday, has raised $80 million in its Series C funding round led by Tiger Global and Sequoia Capital India. 

The funding round saw participation from a few global tech and e-commerce investors such as CapitalG, the independent growth fund of Google parent company Alphabet; NuvemShop CEO Santiago Sosa; and former Lazada CEO Max Bittner; also participated in this round. 

“We are delighted to welcome our new investors to support Lummo’s journey to digitize and accelerate the growth of MSMEs,” said Krishnan Menon, CEO and Founder of Lummo in a statement. “The backing we’ve secured shows the confidence investors have in our team and product to become the preferred partner to merchants and MSMEs, as well as their conviction in the region’s rapidly growing digital economy.”

Lummo is a software-as-a-service (SaaS) startup seeking to utilize the fund to accelerate the business growth of MSMEs in Indonesia and the rest of Southeast Asia. 

Launched in December 2019, as Bukukas, Lummo was founded by Krishnan and Lorenzo Peracchione. It is an app-based book-keeping software for small- and medium-sized enterprises (SME).

Later expanded its business by launching TOKKO, its flagship product, an online direct-to-consumer commerce builder in November 2020.

This has also been rebranded to LummoSHOP as it cements its status as a leading software solution to entrepreneurs and brands in unlocking and maximizing their business potential through online commerce. This product’s Gross Merchandise Value (GMV) grew 11 times from December 2020 to December 2021, said the company in a statement.

“We offer entrepreneurs and brands the opportunity to sell directly to their customers and enable them to build a strong and distinctive brand online using LummoSHOP,” said the founder. 

Indian-born Krishnan who is now based in Jakarta, Indonesia, added that the D2C approach enabled by the company’s SaaS stack will help merchants and MSMEs in establishing strong relationships with their customers and help them face the intense competition in the online market today.

As of May 2021, BukuKas has onboarded 6.3 million businesses and has three million monthly active users. According to the company, its annualized book-keeping transaction volume is $25.9 billion. By the end of 2022, BukuKas aims to touch more than 20 million SMEs in the region, said Krishnan at TechSparks 2021. 

It launched BukuKasPay in April 2021 for businesses to pay suppliers online, and also accept digital payments via different apps. It discontinued this service from November 2021. 

Lummo seems to have established a strong footprint in the market with its innovative solutions. I believe the company will soon emerge as a leading player in the market. My best wishes to the team of Lummo.

Shishir Gupta, Founder and CEO, StartupLanes

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