Indian RegTech startup Data Sutram raises $9m in Series A funding

By Gloria Methri

Data Sutram, a B2B SaaS startup focused on AI-driven risk intelligence, has raised $9 million (₹77 crore) in a Series A funding round. B Capital and Lightspeed co-led the round, which also included existing investors 3one4 Capital, Venture Catalysts++, and DCI. The company, which operates at the intersection of artificial intelligence and financial risk, plans to use the fresh capital to scale its fraud intelligence solutions and expand its footprint across key international markets.

Founded in 2019, the Mumbai-based company helps financial institutions such as banks, NBFCs, insurers, and FinTechs underwrite and monitor credit by leveraging alternative data sources. These include geospatial, demographic, and economic datasets to assess the risk profiles of consumers and businesses with limited formal data.

With the new capital, Data Sutram plans to strengthen its AI-powered fraud detection and risk assessment offerings and expand its presence across international markets, including Southeast Asia, the Middle East, and Africa. The funds will also support product development and team expansion.

This fundraise marks a significant growth milestone for the startup, which claims to have witnessed a 300% year-on-year revenue increase and over 1.5 billion data points processed through its platform. Its clientele spans more than 50 financial institutions, including top-tier banks, digital lenders, and credit bureaus. With rising concerns around digital lending fraud and regulatory pushback on non-compliant underwriting, solutions like those offered by Data Sutram are increasingly in demand.

With this raise, the company’s total funding now stands at around $11 million, including earlier investments from Indian Angel Network and 100X.VC.