Indian B2B cross-border payments platform Xflow has successfully secured $16.6 million in a Series A funding round. The investment was led by General Catalyst and saw participation from existing backers and new investor PayPal Ventures, making Xflow the first Indian fintech supported by both Stripe and PayPal. This latest capital injection brings the company's total funds raised to over $32 million, solidifying its well-capitalized position in the market.
Propelled by a Breakout Year
The funding announcement follows a remarkable period of expansion for Xflow, which experienced a tenfold growth surge in 2025. During this breakout year, the company significantly expanded its product offerings and grew its customer base to nearly 15,000 users. Its clientele now spans diverse sectors, including SaaS companies, Global Capability Centers (GCCs), and both IT and goods exporters.
Beyond serving its direct customers, Xflow has also established itself as a crucial infrastructure provider within the fintech ecosystem. The company supplies its international payments technology to other prominent firms such as Drip Capital and Easebuzz. This dual approach highlights Xflow's robust capabilities and its integral role in powering India's cross-border commerce landscape.
Innovating International Transactions
Xflow's platform is designed to address long-standing complexities in B2B international payments, enabling businesses to receive funds from over 100 countries in more than 25 currencies. Users frequently praise the service for its faster payouts, transparent pricing models, and dedicated compliance support. These features provide businesses with greater speed, predictability, and control over their international financial operations.
A key differentiator for the company is its FX AI Analyst tool, which empowers businesses with data-driven insights for treasury management. This technology has reportedly helped clients earn an additional 8-10 paise per dollar on their transactions. By simplifying processes that were once opaque, Xflow is modernizing a sector that co-founder Anand Balaji noted was previously lagging behind domestic systems.
Strategic Backing and Regulatory Milestones
The new capital is strategically timed, coinciding with Xflow receiving crucial regulatory approvals from the Reserve Bank of India. The company is now one of a select few to hold both Payment Aggregator-Cross Border (PA-CB) licenses for imports and exports. This dual authorization significantly expands its operational scope and strengthens its competitive advantage in the market.
Investor confidence in Xflow's trajectory is high, with General Catalyst's Managing Director, Alex Tran, highlighting the company's role in building the next wave of global fintech infrastructure from India. Anand Balaji, Xflow's co-founder, described the Series A as a vote of confidence in the team's ability to innovate. The company has assembled a team of over 60 experts in payments, regulation, and risk management.
With its new funding, significant investor backing, and comprehensive regulatory licenses, Xflow is poised for its next phase of growth. The company plans to utilize the capital to scale its operations, expand into new geographies, and further enhance its product suite. This strategic positioning enables Xflow to capitalize on its recent momentum and solidify its leadership in the evolving global payments industry.