Qapita Secures $26.5M Series B Led by Charles Schwab
Singapore-based equity management platform Qapita has closed a $26.5 million Series B funding round led by financial services giant Charles Schwab. The investment marks Schwab’s strategic entry into the private market equity management space for U.S. startups. As part of the partnership, Charles Schwab has introduced Schwab Private Issuer Equity Services, a new platform powered by Qapita, designed to help U.S.-based private companies manage cap tables, administer stock plans, and streamline preparations for public listings.Qapita’s Origin and Market Footprint
Founded in 2019 by former banker Ravi Ravulaparthi (CEO), along with COO Lakshman Gupta and CTO Vamsee Mohan, Qapita was created to address the widespread reliance on spreadsheets for cap table management. The platform has since expanded to provide comprehensive equity management solutions, including employee stock plan administration and secondary share sales facilitation. Qapita’s client base spans approximately 2,700 companies, with around 70% located in India and 20% across Southeast Asia, including Singapore and Indonesia. Notably, about half of India’s unicorn companies utilize Qapita’s platform. The startup also serves publicly listed companies in India, assisting with post-IPO equity management. Its early-stage U.S. presence is set to expand significantly through this latest collaboration with Charles Schwab.Platform Capabilities and Competitive Positioning
Qapita’s platform automates cap table processes, generates detailed reports and dashboards, and integrates seamlessly with other financial systems. Through Schwab’s wealth management network, the platform will enable companies and employees to manage equity plans and prepare for IPOs more effectively. This partnership positions Charles Schwab as a direct competitor to established private market equity management providers such as Carta, Pulley, and Morgan Stanley’s Shareworks, particularly in the underserved U.S. startup ecosystem.“Of course, the U.S. is a very large market. There are a few options in the private market space in the U.S., but they are too few for a market of that size,” said Qapita CEO Ravi Ravulaparthi.
Contents
Funding Utilization and Growth Outlook
In addition to Charles Schwab, existing investors Citi and MassMutual Ventures participated in the Series B round. The fresh capital will support Qapita’s development of a fund administration product across multiple markets and bolster its global expansion efforts. To date, Qapita has raised over $80 million and employs approximately 300 staff members. The company offers free platform access to early-stage startups, with roughly half of its 2,700 users subscribing to paid services.FinOracleAI — Market View
Qapita’s Series B funding and strategic partnership with Charles Schwab signal a significant push into the U.S. private equity market, an area with growing demand for sophisticated cap table and stock plan management solutions. The integration with Schwab’s wealth management network provides a competitive edge against incumbents.- Opportunities: Expansion into the large and underserved U.S. startup market; leveraging Schwab’s financial ecosystem; development of fund administration products to diversify offerings.
- Risks: Intense competition from established players like Carta and Morgan Stanley; challenges in scaling operations across diverse regulatory environments; potential integration complexities.
Impact: Positive — This partnership enhances Qapita’s growth trajectory and positions Charles Schwab as a formidable player in private market equity management, likely accelerating innovation and competition in the sector.
