Charles Schwab Backs Singapore’s Qapita, A Carta Challenger

Qapita, a Singapore-based equity guidance platform, has raised $26.5 cardinal successful a Series B information led by Charles Schwab.

As portion of nan deal, Charles Schwab has introduced a caller level called Schwab Private Issuer Equity Services — powered by Qapita — which let’s U.S. startups negociate their headdress tables, administer banal plans, and hole for nationalist listings.

Founded successful 2019 by erstwhile banker Ravi Ravulaparthi (CEO) pinch Lakshman Gupta (COO) and Vamsee Mohan (CTO) (pictured above, from near to right), Qapita helps backstage companies way ownership, negociate worker equity, and facilitate secondary stock sales. The startup serves backstage companies crossed Southeast Asia and nan U.S., and besides provides its level for listed firms successful India to negociate equity aft going public.

Qapita began arsenic a level to negociate headdress tables aft Ravulaparthi, during his earlier banking career, noticed that galore companies still relied connected spreadsheets. When nan startup launched successful January 2021, it expanded nan level based connected early customer feedback to see an equity guidance instrumentality for worker banal plans, initially released successful beta. Competitor Carta later entered nan Indian marketplace but exited successful 2023, giving Qapita room to fortify its position.

The startup presently has astir 2,700 companies utilizing its platform, it says. Roughly 70% are based successful India and 20% successful Southeast Asia, including Singapore and Indonesia. Qapita counts astir half of India’s unicorns among its customers, Ravulaparthi said successful an interview.

While Qapita offers free entree to its level for early-stage companies, astir half of its users — astir 1,400 firms — salary for astatine slightest 1 of its services, Ravulaparthi told TechCrunch.

In summation to India and Southeast Asia, nan startup has a fewer users successful nan U.S. arsenic portion of its early marketplace testing. However, this business will importantly grow its beingness successful nan U.S.

“Of course, nan U.S. is simply a very ample market. There are a fewer options successful nan backstage marketplace abstraction successful nan U.S., but they are excessively fewer for a marketplace of that size,” Ravulaparthi said of competitors.

Charles Schwab already handles banal plans for awesome nationalist companies. However, this woody gives it a foothold pinch backstage companies letting it compete for startups pinch Carta, Pulley, aliases Morgan Stanley’s Shareworks.

The level will supply equity guidance devices to automate headdress array processes, nutrient reports and dashboards, and nexus pinch different financial systems. It will besides necktie into Schwab’s wealthiness guidance network, enabling companies and their labor to negociate banal plans and hole for IPOs.

Qapita’s Series B besides included information from its existing investors, Citi and MassMutual Ventures. This backing will besides thief nan startup heighten its level by launching a money admin merchandise crossed aggregate markets.

To date, nan startup has raised much than $80 cardinal successful backing and has a headcount of 300 employees.