Fintech startup axiTrust is in talks to raise about US$5 million in Series A funding. Singapore-based Argor.vc is likely to lead the round with participation from existing investor General Catalyst. The company sells digital surety bonds that replace collateral-heavy bank guarantees.
Funding so far
The Series A talks come almost a year after axiTrust raised US$2.6 million in Seed funding. General Catalyst led that earlier round. Atrium Angels, YAN Network, and Supermorpheous are also on the cap table.
Company background
axiTrust was founded in 2024 by Aditya Tulsian, Rajeev Chari, and Mukund Daga. Aditya Tulsian is CEO, Rajeev Chari is COO, and Mukund Daga is CRO. The startup focuses on digital surety bonds for business transactions.
How surety bonds work
Surety bonds are insurance-backed guarantees that a business will meet its contractual obligations. Buyers pay a premium instead of blocking capital as collateral. axiTrust says more than ₹15 lakh crore of MSME working capital is locked up as collateral.
The fresh capital would help axiTrust build digital infrastructure for its surety bonds. That work is meant to accelerate adoption of the offering. The round remains in talks and has not closed.
Read more: inc42.com