New Delhi, June 15: Chat-based public accountant software as a service firm Inkle has made a foray into inter-company cross border payments for US-India startups which will help the firm log rapid growth in revenues in coming years.
Inkle on Thursday announced the launch of cross-border payments product for US-India startups. Inkle Transfer Pricing Payments product will enable such startups to send money to India compliantly, quickly and affordably.
“Customers have wired close to USD one million in transaction volumes over the last few weeks, and we’re expecting volumes (and hence revenues) to rise rapidly in line with this growth over the coming years,” a company statement said.
The product facilitates international fund transfer within just one business day via trusted large global banks, and with very competitive FX conversion fees and no hidden fees. This will significantly enhance the ease of doing business for thousands of VC-backed US startups with a subsidiary in India.
Since its beta launch last month, the Inkle Transfer Pricing Payments has enabled startups such as 91SquareFeet, Synth, and GoBillion, among others, to bring large sums to India. The product has already moved close to a million dollars in the last few weeks.
Currently, the US-India cross-border fund transfers are pretty cumbersome.
Anand Krishna, Founder & CEO of Inkle, said “We realised cross-border remittances between group companies for small startups is a critical but challenging function for thousands of startups in India.”
In most cases, the founders are confronted with extremely high forex rates, have no clue what will actually land in the destination bank account and do not know how to handle the accounting reconciliation and compliance, Krishna explained.
With Inkle’s product, customers will only have to pay a fixed markup of up to 0.50 per cent on the mid-market forex rate, the company stated.
Besides, startups will get free Foreign Inward Remittance Advice (FIRA) for each transfer, reconciliation on the software. This new feature is part of the broader intercompany stack Inkle is building for small cross-border multi-entity groups of companies. (PTI)
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