Open, a neo-banking platform for SMEs, on Thursday announced the acquisition of Optobizz — a goods and services tax and financial automation startup for $5 million.
Open caters to over 10,00,000 SMEs and processes $24 billion in transactions annually. The acquisition will add 800,000 SMEs to its user base. Open will be setting up a development centre in Hyderabad, the company stated.
Commenting on the acquisition, Anish Achuthan, Co-founder and CEO, Open Financial Technologies Pvt. Ltd said,
“Adding the Optobizz team to the Open family has really strengthened our team. With close to 15 years of experience at product tech companies on the business finance side, their expertise will help us create more innovative solutions for small businesses across the country. Addition of tax filing to our platform will enable our merchants to not just manage banking, payments and automated accounting seamlessly but will also solve the major hassle of tax filing.”
Founded in late 2017 by Satya Prakash Buddhavarapu, Adi Sesha Gaddam, Kalyan Alla, Ravi Somayaji and Sachin Tyagi, Optobizz is a taxation platform that caters to over 30,000 tax practitioners across the country.
The startup had raised close to $1 million in an angel and seed round.
Satyaprakash Buddhavarapu, CEO, Optobizz added,
“We are super excited to join the Open family. Open has been raising the bar by helping more than 10,00,000 small businesses manage their finances. The synergies are tremendous.”
“As a part of Open, we will accelerate our vision to digitally transform business banking and making it a more meaningful experience with more value added features for not just SMEs but also tax practitioners operating in India. Our focus has been to empower the tax practitioner community and we will help them with end to end compliance and powerful business banking tools to help themselves and their clients,” he added.