fbpx

Spenmo, a Singapore-based fintech, has raised $34 million in a round led by Insight Partners

Spenmo began as an expenditure management tool, but creator and CEO Mohandass Kalaichelvan told TechCrunch that costs “represent just a tiny fraction” of a company’s payables. Financial teams must also manage vendor payments, supplier payments, payroll, and bank account reconciliations, frequently across many countries, resulting in an enormous amount of labour. Spenmo was developed to help small businesses consolidate their accounts payment processes. The Singapore-based startup said today that it has secured $34 million in a Series A round headed by Insight Partners, a New York-based venture capital firm known for its ScaleUp programme.

Spenmo says this is one of the largest Series A rounds ever raised by a Singaporean startup. It included participation from Lee Fixel’s investment firm Addition, Salesforce Ventures, Alpha JWC, Global Founders’ Capital, Broadhaven, Operator Partners and Commerce Ventures, along with angels like Plaid co-founder William Hockey, Grab Financial Group senior managing director Reuben Lai and head of Stripe Indonesia Ongki Kurniawan.

A Y Combinator alum, Spenmo was launched last year and has now raised a total of $36 million.

“We stopped branding ourselves as expense management and focused on building a payables experience because we want to be at the heart of everything a company pays out,” Kalaichelvan told TechCrunch. “Right now companies don’t have that one source of truth. They use a tool for expense management, which is a silo, something else for vendor payments, something else for payroll and all these bank accounts they have to manage. We quickly realized that gave us an opportunity to bring all of these things into one place and reduce the silos that teams have to manage.”

Since one of Spenmo’s products is corporate cards, it is often compared to Brex or Aspire. But Kalaichelvan said the company has no desire to build a neobank. Instead, its aim is to help businesses manage the bank accounts they already have. Spenmo also doesn’t want to replace accounting software and, in fact, it integrates with solutions like Xero and QuickBooks.

About 80% of Spenmo’s customers perform cross-border payments and have multiple bank accounts across Southeast Asia. If a company has 500 invoices and bank accounts in Singapore and Indonesia, Spenmo helps its finance team manage which ones to send payments from.

“One thing we found about Southeast Asia is that cross-border is super important. Your workforce is remote, so very early on you have to send salaries abroad,” said Kalaichelvan. “Secondly, your supply chain is international as well, so there’s a lot of cross-border trades and services you want to account for.”

Spenmo can integrate with FX wallets in addition to bank accounts, so its clients can find the best rates. I think this will create a great strategy and will give a good customer experience.All my best wishes to them.

Shishir Gupta, Founder and CEO, StartupLanes

Don’t keep wondering about funding, you can also raise funds. Learn how to raise funds here: Yes I want to raise funds.

If you are an emerging startup and are looking for investors to raise funds, StartupLanes has its own angel network and investment banking services and is connected to angel investors and VCs in 15 countries that ensure that our member startups have easy access to external funds to scale up constantly.

You can subscribe to our news posts by entering your email in the box on the right side of this page.

Check out our YouTube channel for insightful content from the Indian startup ecosystem.

Or join our Whatsapp group to interact with other founders: Yes, I want to join the Whatsapp group.

The right investment is key to beating inflation and growing your wealth. Do you wish to become an angel investor? Yes, I want to be an angel investor.

Are you a startup and facing challenges in your business? Do you want to grow your business? It is not as difficult as it sounds. Learn how to grow your business here- Yes, I want to grow my business.

For publishing an advertorial article about your company on our website, drop an email at taniya@startuplanes.com

Tags

top