RBF platform GetVantage launches Rs 250-crore SaaS Accelerator Fund II

GetVantage, a leading revenue-based financing platform, has announced its SaaS Accelerator Fund II to help B2B SaaS businesses scale without equity dilution. 

The Rs 250-crore Fund II is an extension of GetVantage’s SaaS Accelerator Fund I launched in 2022 (approximately Rs 65 crore) and is designed to supercharge the growing momentum of SaaS founders and businesses in India.

For this, GetVantage has its own licensed NBFC GetGrowth Capital, along with partnerships with Sebi-approved Varanium’s Debt Fund, and other leading NBFCs and AIF funds.

Ever since GetVantage sharpened its focus on the B2B SaaS sector 18 months ago, the start-up has fully deployed the original corpus of Rs 65 crore and has earmarked nearly 4x the amount for this follow-on fund given the strong inbound interest from hundreds of SaaS founders over the past 12-18 months.

The SaaS Accelerator Fund II will deploy Rs 250 crore over the next 12-18 months and help SaaS founders with fast, fair, non-dilutive capital to scale their businesses. 

GetVantage first launched its SaaS Runway Capital product in 2022, and has since been actively involved as a preferred funding partner to SaaS founders in India even during the Silicon Valley Bank crisis early last year where SaaS was one of the primary sectors to get impacted.

SaaS is one of the few sectors that continues to see strong 2.5 times YoY growth despite the economic headwinds. Further, the space witnessed an impressive 96 per cent of unicorns and soonicorns hiring extensively, indicating significant growth in the workforce and the businesses.

Interestingly, reports estimate the Indian SaaS market to reach $50 billion of ARR (Annual Recurring Revenue) by 2030, growing multiple-fold.

This assumes significance as during the last couple of years, SaaS businesses have learnt to operate efficiently, increasing their scope of profitability and higher gross margins -- estimated to be around 67 per cent.

Meanwhile, alternative financing (Alt-Fi) platforms aid in boosting these parameters for SaaS businesses. 

Leading global alternative-financing platform Capchase in its latest SaaS benchmark report has highlighted the reasons why SaaS businesses should explore Alt-Fi options that are cost-effective, non-dilutive, and give access to a line of credit to increase the runway.

Also Read: VC trends for 2024: Interest in AI startups, cutbacks on Customer Acquisition Cost