Finance automation and payments platform CashFlo is set to acquire tax compliance management provider LogiTax, sources told Entrackr. The deal aims to help CashFlo expand into the enterprise business sector.
Founded in 2018 by Ankur Bhageria and Dushyant Agarwal, CashFlo assists vendors in accessing short-term capital and enables corporates to optimize working capital and improve topline by managing supply chain finances efficiently. In September 2022, CashFlo raised nearly $9 million led by General Catalyst, with participation from Elevation Capital, bringing its total funding to over $12 million.
Entrackr’s scoop confirmed!!
CashFlo acquires LogiTax
Story 👇https://t.co/zZ44MnTI5B pic.twitter.com/VCxSWNCS0W
— Harsh Upadhyay (@upadhyay_harsh1) May 22, 2024
LogiTax, based in Pune, offers an end-to-end tax compliance management solution for managing GST filing, auto-validating invoicing data, generating e-invoices, and keeping data audit-ready. Founded in 2017 by Aditya Kulkarni, LogiTax is a bootstrapped firm competing with Clear (formerly Cleartax), Treflo, myGSTcafe, myBillBook, and Vyapar.
Sources revealed that the term sheet has been signed, and an official announcement is expected soon. Neither CashFlo nor LogiTax responded to queries at the time of reporting. Updates will be provided if they do.
CashFlo’s growth has come at a high cost, as reflected in its financial performance in FY23. According to TheKredible, the company’s operating revenue doubled to Rs 6.73 crore in FY23, with losses amounting to Rs 21.52 crore. In contrast, LogiTax recorded Rs 2.12 crore in revenue and Rs 12.34 lakh in losses for FY23. Both companies have yet to file their FY24 financials.
