According to reports, business-to-business (B2B) banking tech startup Gravity raises $1 million in a funding round led by early-stage venture fund Kettleborough VC.

“The funds will be employed to enhance our engineering strength to build the product and take it to the next version, offering the best in product engineering we can,” says cofounder and chief executive Satish Krishnaswamy.

“Whilst we are engaging with banks on version 1.0, we will have to start product engineering efforts for version 2.0, the next version of Gravity. As a banking tech company, we need to be at least 2 to 3 years ahead of what the industry will demand,” adds Krishnaswamy.

Founded by Krishnaswamy and Rohit Maroon in March 2024, the platform enables interoperability between different banking software systems, such as core banking systems, and payment and lending systems, allowing banks to develop customized and context-based products for customer needs.

Krishnaswamy says, “We've engaged with around 18 commercial banks in the country. From these, we have completed proof of concept (POCs) with about five. We are in the procurement stage with one or two banks, and we have closed an order with one commercial bank.”

The Mumbai-based startup is prioritizing tying up 4-5 Indian banks with Gravity this year before considering international expansion. The platform aims to reach $2 million in annual recurring revenue (ARR) by the end of this year.

“We will be signing MOUs in the next one to two quarters with several partners in our targeted regions overseas. Hopefully, next year we will have sizable banks from across these regions on the Gravity platform. Predominantly, our focus will be on the UAE for now. Vietnam, Indonesia, and the Philippines will be other focus areas. The UK will be our primary focus within Europe,” Krishnaswamy says.

Nisarg Shah, founder and managing partner, Kettleborough VC says, “Gravity falls exactly in our investment strategy of backing domain specialists…We are confident in its potential of becoming a category-creator, as an early entrant to solve the challenge of soloed banking systems and revolutionize the banking industry.”