RazorpayX, the merchant banking platform of fintech firm Razorpay, announced on Monday its foray into a new product line called “FX Services for Start-ups.”

To date, the FX service has an annualized run rate of Rs 350 crore, and the company expects to expand 3-4 times in the next fiscal year.

Currently, Indian FX transfers to start-up funds are filled with several gaps and take more than two months, in addition to paying high late filing fees, which are increasing daily.

For example, if a founder raises $10 million in capital, compounding late fees can cost upwards of Rs 20,000 a month at least.

RazorpayX, the merchant banking platform of fintech firm Razorpay, announced on Monday its foray into a new product line called “FX Services for Start-ups.”

The FX service has an annualized run rate of Rs 350 crore, and the company expects to grow 3-4 times in the next financial year.

Currently, Indian FX transfers to start-up funds are filled with several gaps and take more than two months, in addition to paying high late filing fees, which are increasing daily.

For example, if a founder raised $10 million in funding, it would cost at least Rs 20,000+ per month in late fees.

Rahul Kothari said, “Through conversations with more than 50 founders and several global investors, we realized that to increase the influence of foreign funds in the Indian start-up ecosystem, we need to address intensive paperwork, compliance and constant These three problems are the cost of growth,” Razorpay Chief Commercial Officer.

Within three months of its beta launch, the service has enabled more than 15 start-ups, including Virohan, Tortoise and Coupl, to bring tens of millions of dollars to India.

The firm believes that foreign exchange services have the potential to influence and benefit from the more than 1,000 start-ups that are likely to raise foreign funding this year.

According to Razorpay research, 8 out of 10 founders find they could have gotten better foreign exchange rates.

According to VCs, about 2% to 4% of funds are sometimes leaked in management fees and conversion fees, in addition to foreign exchange rates.