Chargebee raises $14 million led by Steadview Capital

Industry:    2019-08-29

Subscription management startup Chargebee said on Wednesday that it has raised $14 million funding in a round led by hedge fund Steadview Capital. Existing investors Insight Venture Partners and Accel Partners also participated in the round.

Chargebee, which was founded in 2011 by Krish Subramanian, K.P. Saravanan, Rajaraman S. and Thiyagarajan T., currently offers a payment subscription billing platform, which is compatible with other global payment networks and gateways such as Stripe and PayPal.

“Enterprises and rising startups recognize the value of subscription businesses. Unlike transactional revenue models, subscriptions require companies to evaluate longer-term metrics and redefine Key Performance Indicators for success,” said Krish Subramanian, co-founder, and CEO of Chargebee.

It raised $18.5 million from Insight, Accel and US-based Tiger Global Management last year, before which it raised $5 million in 2015 from Accel and Tiger.

Chargebee’s fundraise underlines two big themes in Indian startup funding this year- increased investor interest in software-as-a-service firms, and a sharp increase in dealmaking by Steadview Capital.

Mint reported on July 17 that after going slow on Indian investments between 2015 and 2018, Steadview plans to invest $500 million over the next two years, with about $20-40 million per deal. In its first avatar, Steadview bet on some of the country’s biggest startups including Flipkart and Ola.

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