PYMNTS-MonitorEdge-May-2024

Surging eCommerce Demands Guide Investors’ B2B Startup Funding

While it may not have been the most lucrative week in venture capital (VC) funding for the B2B arena, two key trends did emerge.

Small business FinTech is heating up in Asia, this week’s B2B VC Investments roundup reveals, while the biggest funding rounds went to companies helping other businesses sell online and manage logistics. In all, investors poured $119 million into B2B startups.

Osome

Based in Singapore, Osome operates a small business FinTech app to automate accounting, payroll and tax compliance. The company recently raised $3 million as an extension of its seed round, according to TechCrunch, with the latest investment led by XA Network and AltaIR Capital. Osome operates across Singapore, Hong Kong and the U.K., and as the company prepares for its Series A fundraising next year, the startup will explore geographic expansion, with a focus on Australia.

Statrys

Also operating in Hong Kong is Statrys, similarly focused on small- to medium-sized businesses (SMBs) with its financial technology. The company secured a $5 million funding round, although the company only noted that the investment came from an unnamed angel investor. Statrys offers SMBs and startups payments and foreign exchange technology, focusing on SMBs that operate on a global scale. The investment will fuel Statrys’ growth trajectory as it looks to expand throughout Asia and introduce new products and services for SMBs, including more integrations (the company currently integrates with Xero) as well as a debit card for entrepreneurs.

Onfleet

Last-mile delivery service provider Onfleet, based in San Francisco, announced a $14 million investment round. The startup offers a software platform to businesses that manages last-mile delivery, with the company’s CEO and Co-Founder Khaled Naim pointing to the global pandemic as a factor driving up demand for the product as shoppers turn online to purchase goods. The Series A investment will be used to expand the company’s team and strengthen its platform offering as it responds to shifting needs among its retailer clients. The company’s announcement noted Kennet Partners led the investment.

inRiver

Product information management (PIM) company inRiver received $32 million in an investment round this week, with funding provided by Lugard Road Capital, according to an announcement. Existing investors Verdane, Industrifonden, Zobito and RoosGruppen also participated, and inRiver will use the funding to meet growing customer demand, invest in product development, and expand into new markets around the world. The company offers businesses that sell online technology to manage product information to meet increasingly complex buyer demands for an optimal eCommerce experience. The company’s Software-as-a-Service (SaaS) product can also integrate into a range of other eCommerce solutions, it noted.

Outrider

Logistics technology startup Outrider has secured a $65 million Series B investment round, a report in Robotics and Automation News said. The company provides autonomous yard operation systems for logistics firms to streamline and automate the process of moving goods from the warehouse to the road. Investors at Koch Disruptive Technologies led the round, while existing backers NEA, 8VC and Prologis Ventures also participated. New investors also showed up, including Evolv Ventures, which is Kraft Heinz’s investment unit, and Henry Crown and Company. Outrider said it will use the investment to focus on scaling up its technology that automates processes like hitching and unhitching trailers, connecting and disconnecting trailer brake lines and more via robotics and autonomous systems.

PYMNTS-MonitorEdge-May-2024