• Data Sutram raised $9 Mn in Series A funding co-led by Lightspeed Venture Partners and B Capital.
  • The startup’s net loss more than doubled to INR 10.83 Cr in FY24 despite a 23% rise in revenue.

Kolkata-based B2B SaaS startup Data Sutram has secured $9 Mn (INR 77 Cr) in a Series A funding round co-led by Lightspeed Venture Partners and B Capital. The round included both primary and secondary components, with early angel investors partially exiting.

The capital infusion will be channelled towards strengthening its fraud detection offerings and expanding the startup’s team, which currently stands at 65 employees.

From BFSI to Broader Risk Markets

Founded in 2018 by Rajit Bhattacharya, Ankit Das, and Aisik Paul, Data Sutram initially catered to the banking and lending sectors. With this new funding, it plans to extend its reach to other high-risk industries such as cryptocurrency, gaming, e-commerce, insurance, quick commerce, and real-time payments.

“There has been a growing number of fraud cases pertaining to mule accounts in the banking sector,”

said Bhattacharya, who is also the CEO.

“This investment will allow us to enhance our product offering, scale our customer base, and strengthen our presence globally to serve more institutions and businesses around the world.”

AI-Powered Risk Solutions

Data Sutram’s flagship product, DS Authenticate, uses AI and data from over 250 sources to help BFSI clients flag fraudulent activities during onboarding and loan disbursement. The platform also provides a ‘Trust Score’ to institutions.

The company claims its solutions have reduced fraud cases by 45% for clients such as HDFC Bank, Axis Bank, Tata Capital, and Amazon Pay. Other product lines include DS Find, DS Markets, and DS Collect, which aid in customer acquisition, market insights, and sales optimisation.

Despite a 23% increase in FY24 operating revenue to INR 5.4 Cr, net loss more than doubled to INR 10.83 Cr. Data Sutram last raised $3 Mn in 2023 and has now raised over $15 Mn in total. Bhattacharya stated the startup has begun reducing losses in FY25 and aims to break even within a year.

Edited by Annette George