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Tech startup FloBiz, which offers a billing and accounting app targeted at small and medium businesses (SMB), has raised $10 million in a Series A round led by Elevation Capital.

The round also saw participation from existing investors Greenoaks Capital and Beenext. FloBiz had earlier raised $3 million in a seed round in 2019.

The startup plans to use the latest round of funding for team expansion, product development, and accelerating its sales and marketing initiatives.

FloBiz Founder and CEO Rahul Raj said: “With this additional funding we plan to grow our trader base at least 7X by 2022 through deeply focused product developments driven by user feedback and making myBillBook simple to use through personalisation.”

MyBillBook is the flagship product of the startup.

Founded in 2019, FloBiz has a headcount of more than 60 and has grown 12 times as much in the last six months, with over three million SMBs using its myBillBook platform. The startup said an annualised transaction volume of over $6 billion has been recorded on its platform.

MyBillBook offers WhatsApp integration, which makes it possible to share invoices, POs, business reports, etc. with other merchants, accountants, and staff members. It is available in English, Hindi, Gujarati and Tamil.

According to FloBiz, tailwinds such as internet penetration, goods and services tax compliance, and technology adoption by small businesses will boost its growth.

“We strongly believe that our product myBillBook empowers SMBs by automating their workflows, helps maintain inventory better, manage their receivables and payables, and download critical business reports for quick and efficient decision-making on the go,” said Rahul.

On investing in FloBiz, Elevation Capital Managing Director Mridul Arora said: “Digitisation of SMBs is an irreversible trend and we have been very impressed with FloBiz’s mobile-first, bottom-up product-led approach to capture this opportunity. We believe that myBillBook is building for foundational, deep use cases for this segment making the product indispensable to SMB owners.”