Cornerstone Ventures Backs OfBusiness with INR 100 Cr Investment Round The funds will be used to enhance digital adoption and extend financing access for small and medium enterprises (SMEs).
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Industrial goods and services procurement platform OfBusiness has raised INR 100 crore (approximately USD 11.7 million) in fresh funding, led by Cornerstone Ventures, ahead of its planned IPO in the second half of 2025.
The funds will be used to enhance digital adoption and extend financing access for small and medium enterprises (SMEs), the company announced.
The investment marks the first late-stage bet from Cornerstone Ventures' new USD 200 million second fund, which had its first close at USD 40 million in January 2025. "This fund has a hybrid strategy to back both early-growth companies and late-stage scaled B2B businesses. OfBusiness is our first investment in the latter category and one we've been excited about for a long time," said Abhishek Prasad, Managing Partner at Cornerstone Ventures. "We are delighted to become part of its journey as India's leading commerce and supply chain platform for SMEs."
Founded in 2015 by Asish Mohapatra, Ruchi Kalra, and Bhuvan Gupta, OfBusiness operates a tech-enabled B2B marketplace that offers raw material procurement, supply chain support, and financial services. The company caters to SMEs in core industrial sectors like manufacturing, infrastructure, and textiles. Its digital platform allows businesses to discover suppliers, access transparent pricing, and transact efficiently.
OfBusiness also runs Oxyzo, its financial services arm, which provides data-driven, non-collateral loans tailored to the needs of SMEs. Combined with AI-powered tools for procurement and risk management, OfBusiness creates an end-to-end, vertically integrated ecosystem that supports India's fragmented SME market.
"To us, the Indian SME sector represents a massive and largely untapped opportunity," said Vatsal Bavishi, Partner at Cornerstone, who led the deal. "OfBusiness, with its integrated commerce and financing model, has demonstrated the ability to aggregate demand and supply at scale and organize this highly fragmented market."
Prior to this round, OfBusiness had raised over USD 650 million, including a USD 325 million round from Alpha Wave, Tiger Global, and SoftBank, achieving a valuation of USD 5 billion.
With over 45,000 suppliers and a customer base of 1.3 million SMEs, OfBusiness is currently growing at 25–30% year-over-year. As it gears up for its IPO, the company aims to further deepen its footprint across key industrial value chains in India, positioning itself as a transformative force in B2B commerce and SME financing.
