The number of non-US based founders with registered companies in the US has grown substantially recently. Inkle is already serving hundreds of such companies and aims to be their go-to solution.
Inkle, a chat-based CPA SaaS startup, has unveiled its game-changing product, Transfer Pricing Payments, designed to revolutionise intercompany cross-border payments for US-India startups. This groundbreaking solution enables startups with subsidiaries in India to send money to their Indian counterparts in a compliant, efficient, and cost-effective manner.
Delaware, US, and Bengaluru, India - June 15, 2023: Inkle's Transfer Pricing Payments promises to enhance the ease of business for numerous venture capital-backed US startups. By allowing these companies to transfer funds to India within a single business day and without fees, Inkle aims to eliminate the complexities traditionally associated with intercompany cross-border transactions.
Since its launch in April, Inkle Transfer Pricing Payments has already facilitated large-scale fund transfers to India for prominent startups like 91SquareFeet, Synth, and GoBillion.
The product has moved close to a million dollars in just a few weeks, showcasing its remarkable success and potential. Although currently serving only US startups with an Indian subsidiary, Inkle has plans to expand its services globally, catering to the needs of cross-border companies worldwide.
Cross-border fund transfers to and from India have long been a challenging process. Startup founders face exorbitant USD/INR forex conversion fees, need more information regarding compliance requirements, and often require more visibility into their intercompany transactions and money movement. Up to 2%-4% of the transferred amount can be lost to fees and forex conversion charges, creating a substantial burden for startups.
Enter Inkle, the chat-based tax, compliance, and bookkeeping SaaS product. Inkle's software offers a seamless solution for cross-border multi-entity startups, streamlining accounting processes and simplifying US state and federal tax filings and compliance requirements.
Inkle empowers startups to manage their financial and regulatory obligations with user-friendly dashboards, timely deadline alerts, a secure document vault, human-assisted chat support, and cost-effective filings.
Inkle has already significantly impacted the US-India corridor and is poised for global expansion.
Currently trusted by more than 4% of Y Combinator (YC) companies worldwide, Inkle is gaining recognition for its exceptional ability to support cross-border operations and provide unparalleled value to startups.
Anand Krishna, Founder & CEO of Inkle, said, "We realised cross-border remittances between group companies for small startups is a critical but challenging function for thousands of startups in India. In most cases, the founders are confronted with extremely high forex rates, have no clue what will land in the destination bank account and do not know how to handle the accounting reconciliation and compliance. Inkle Transfer Pricing Payments helps US-India startups by enabling affordable, seamless and fully compliant payments. The funds (which never touch Inkle's accounts) move via the world's largest banks, and we ensure end-to-end safety and security of funds."
Affordability, transparency and regulatory compliance are key features of Inkle's Transfer Pricing Payments product that have found an immediate liking among US-India corridor startup founders. Customers will only have to pay a fixed markup of up to 0.50% on the mid-market forex rate. Besides, startups will get free Foreign Inward Remittance Advice (FIRA) for each transfer within 24 hours and reconciliation on the software. Also, the funds get credited to the recipient's bank account without the usual numerous phone calls from their banker. This new feature is part of the broader intercompany stack Inkle is building for small cross-border multi-entity groups of companies. Customers will also get access to an intercompany ledger to log and monitor all intercompany transactions, an intercompany document vault, and other intercompany compliance and accounting tools.
Amit Mishra, Co-Founder 91SquareFeet, said, "Inkle TP Payments platform is a great value add for companies with flip structure with a holding entity outside India and subsidiary in India with monthly TP invoicing. We have been using the platform for the last few months, and it saves at least INR 0.7-0.8 per USD transfer. The platform is super user friendly, and settlement gets done daily without hassle."
Since its launch, Inkle has been growing aggressively, with its revenues rising 7x last year. Inkle has ambitious plans to scale the product globally, extending its benefits to cross-border startup founders in all major corridors.
As Inkle paves the way for seamless cross-border payments and comprehensive financial management, the startup ecosystem can look forward to a future where borders are no longer barriers. With its innovative solutions, Inkle sets a new standard for startups worldwide, ensuring their growth and success in an increasingly interconnected global economy.