How This Bootstrapped Profitable Start-up Gives You An End-to-end CFO For Rs 10,000
Noida-based fintech startup Especia enables startups and SMEs to get financial services at par with BIG 4 on unique pricing models
The India Inc growth story began in the early 90s when the country was liberalized to the world and was opened up to foreign direct investment. After that, global companies started up their backend offices in India, and the country became the largest hotbed of outsourcing, especially for tech-enabled products and services. This was been absorbed young Harshil Goyal and Sajal Goyal, who are brothers & bonded as hostel mates in the early 2000s at Lakshmi Nagar, the hub of CA coaching classes in the national capital.
BIG 4 for startups
Other than being CA brothers and hostel mates, the common link between Sajal and Harshil was that they both were bitten by the entrepreneurial bug, and a strong urge to provide quality financial services to smaller companies.
The duo saw a lot of companies focusing on foreign subsidiaries and choosing niche markets for specific service verticals. This made the duo think that how could they ride on this wave and use their skills to make waves in their industry.
“We always thought to offer startups and SMEs a flavor of BIG 4 to offer one-stop solutions. That is the USP that nowadays startup founders love about us,” says Sajal Goyal, Co-Founder of Especia which the duo founded in 2010 with an aim to offer services at par with giants to smaller companies with smaller budgets, says Especia Co-founder Harshil Goyal.
Noida-based Especia is a startup that works as a finance partner for startups. Founded by brothers about a decade, the company is now a team of 50 people, catering to startups of all sizes.
While there are many platforms that help small companies to take care of their finance department by outsourcing the services, Especia stands out for being a one-stop finance outsourcing that understands new-age startups functioning in and out. “The way a startup function is way different than traditional small businesses, and we work with startups as their own teams, so we know how to fill the gaps,” says Harshil.
Working with Especial, according to its co-founders, helps any startup to save hassle, cost, and time. “Startup founders may need to coordinate with different firms for various services such as legal, valuations, secretarial, ESOPs, regular tax & compliance. At Especia, we offer these all the services under one-stop,” adds Sajal. He adds there is no need to coordinate with different firms for different services as apka finance department, ab humari tension (your finance department is now ours to handle).
Unique Business Model
Given that startups often function on lean budgets, Especia charges on the basis of the stage of the startup, as ‘there is no one size fits all in the startup world,’ says Harshil.
He tells that the initial outsourcing starts from Rs 10,000 per month, and it goes up as the startup grows or startups of large size uses the services.
Interestingly, Especia is also India’s first finance outsourcing firm to offer services against equity where it charges for equity for initial 12-24 months under the Hybrid Pricing model. “Objective of this is to support the startups for the initial stage as they don’t have much idea about the complexities involved in the finance department,” says Sajal.
Market size, bootstrapping, and plans
The profitable startup is bootstrapped and is now planning to strengthen its operation pan-India. Especia is also investing heavily in its tech to add more automation on its end-end platform.
Especia is catering to the ever-growing market size in India and globally. As the startup ecosystem is swelling in India, the efforts are further accelerated by the Indian government to build a robust startup ecosystem.
The government has undertaken several initiatives and introduced many schemes to promote and support entrepreneurs. As the ecosystem matures, there will be an increased focus on sustainable growth, with reduced burn and better unit economics, which offers even bigger opportunity for startups like Especia.
“We expect that this is the next big thing. Our Hybrid Pricing Model can grow this to more than 5,000 clients in a 2025 from currently 200 clients,” adds Harshil.
“The opportunity is huge and the stage is set for entrepreneurs to continue to innovate, do more with less, and build all-weather businesses that can deliver positive cash flows. If they manage to do that, there is no end in sight for the Indian startup juggernaut. And amidst this, the outsourcing the finance department can help startups to focus on their core business and increase their growth speed,” says Sajal.
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