The fresh fund will allow Khatabook to ramp up its products and services for Indian merchants.

Digital credit lender Khatabook raised $60 million in Series B funding round led by Facebook co-founder Eduardo Saverin's B Capital. The round also has seen the participation from a clutch of existing investors, including Sequoia India and Partners of DST Global, Tencent, GGV Capital, RTP Global, along with a number of prominent angel investors.

The company will deploy the fresh funds to expand the size of its technology team as it looks to build more. The latest capital infusion brings Khatabook's total funding to $87 million.

Ravish Naresh, Chief Executive, Khatabook, said: “Started with a vision of transforming India′s small shops, today we are the biggest player in the small business segment digitising a sector that forms the backbone of our economy. We are looking to work closely with the government and financial institutions to strengthen our market leadership and help MSMEs increase their income while making them more efficient and competitive.”