Pazy has raised $700K in total across 1 funding round.
Pazy's investors include Andreessen Horowitz, Better Capital, On Deck, Y Combinator, Akshay Kothari, Christian Oestlien, Cristina Cordova, David Peterson, Dylan Field, Girish Mathrubootham, Kevin Weil, Kunal Shah.
Pazy is a Bengaluru-based fintech startup founded in 2023 that builds an AI-powered, cloud-based platform for business spend management, automating accounts payable (AP) workflows in real-time.[1][2][3][4] It serves finance teams at growing businesses by simplifying invoice processing, approvals, vendor payments, employee reimbursements, petty cash via UPI, and accounting tasks like TDS/GST compliance and ERP syncing (e.g., Tally), solving the problem of manual, error-prone financial operations that waste time and reduce visibility into spending.[2][4][6] With 21 employees, pre-seed funding of $722.89K raised in June 2025 from investors like Gemba Capital and Inuka Capital, and positive early reviews highlighting reduced manual work, Pazy shows strong growth momentum including 18K monthly web traffic.[1][3]
Pazy was founded in 2023 in Bangalore, India, by Pratik Chhajed, a Computer Science graduate from SRM University who serves as CEO.[3] The idea emerged from recognizing the inefficiencies in traditional accounts payable—manual data entry, fragmented tools for bills, payments, and expenses—and a vision to empower finance leaders with real-time visibility into every rupee spent through seamless AI automation.[2][3][4] Early traction came quickly via its intuitive setup, with users praising WhatsApp-based invoice uploads that auto-sync to accounting software, leading to pre-seed funding in June 2025 and rapid adoption evidenced by 100% positive reviews on platforms like G2 and Software Advice.[1][2][6]
Pazy stands out in the crowded AP automation space through these key strengths:
Pazy rides the AI-driven fintech wave in emerging markets, particularly India's booming digital payments ecosystem fueled by UPI's dominance (over 50% of global transaction volume) and rising SMB digitization post-demonetization.[4] Timing is ideal amid regulatory pushes for GST compliance and real-time banking (e.g., NEFT/RTGS upgrades), where manual AP remains a pain point for 70%+ of Indian firms lacking automation.[1][4] Market forces like labor shortages in finance roles and ERP adoption (Tally's ubiquity) favor Pazy, positioning it to capture share from legacy tools in a $10B+ AP automation market growing 20% annually in Asia.[2] It influences the ecosystem by enabling faster, compliant scaling for startups and SMEs, much like how Razorpay transformed payments.
Pazy is primed for explosive growth, potentially hitting Series A in 2026 by expanding ERP integrations, internationalizing beyond India, and leveraging AI for predictive spend analytics amid rising enterprise demand for unified spend platforms.[1][3][4] Trends like embedded finance, zero-touch compliance via blockchain/GST 2.0, and generative AI for anomaly detection will shape its path, amplifying its edge in high-volume, regulated markets. As it evolves from AP specialist to full spend management powerhouse, Pazy could redefine fintech efficiency for India's 60M+ SMEs—turning every rupee's story into instant, actionable insight, just as its vision promised from day one.
Pazy has raised $700K across 1 funding round. Most recently, it raised $700K Seed in June 2025.
| Date | Round | Lead Investors | Other Investors |
|---|---|---|---|
| Jun 1, 2025 | $700K Seed | Andreessen Horowitz, Better Capital, On Deck, Y Combinator, Akshay Kothari, Christian Oestlien, Cristina Cordova, David Peterson, Dylan Field, Girish Mathrubootham, Kevin Weil, Kunal Shah |
