Flexprice has raised $1.5 million in a seed funding round led by Shastra VC and co-led by People Group Founder Anupam Mittal and TDV Partners, which also increased its existing investment in the company.
The fresh funding will support Flexprice’s expansion across the US and Europe, while also accelerating development of AI-native finance products spanning metering, revenue recognition and financial reporting workflows. Flexprice is the open-source usage billing infrastructure built for AI-native and API-first enterprises.
Company scales rapidly amid AI adoption
Founded in late 2024 and headquartered in New Delhi with teams across San Francisco and Bengaluru, Flexprice provides open-source usage billing infrastructure designed for AI-native and API-first enterprises.
Following its initial funding round in July 2025, the company focused on strengthening its engineering team, expanding integrations with payment gateways and deepening its open-source ecosystem. Since then, Flexprice reported a 6X growth in revenue in the last quarter, while event processing volumes increased 20X over the past year to more than 20 billion events per month.
Its infrastructure currently supports usage-based billing for fast-growing AI companies globally, processing real-time data across token consumption, API calls, GPU hours and hybrid pricing models.
Focus on AI-era revenue infrastructure
The company said traditional billing systems were built for flat-rate subscription models and are increasingly unable to support AI-driven software businesses that operate on dynamic usage and outcome-based pricing.
Revenue infrastructure currently accounts for nearly 7-10% of the cost of goods sold (COGS) for software companies, making it one of the largest cost centres in the sector.
Flexprice’s platform was built to address these challenges by enabling real-time usage ingestion, entitlement management and evolving pricing logic without rigid workflows.
Investors back open-source billing platform vision
Shastra VC Managing Partner Avijeet Alagathi, said, “In our conversations with AI companies, one theme came up repeatedly: traditional billing systems are breaking under new AI business models. Software pricing is rapidly shifting from seat-based subscriptions to usage-based and increasingly outcome-based pricing, creating a level of complexity most existing infrastructure wasn’t designed to handle.”
He added, “What stood out about Flexprice was the strength of the engineering vision — an open-source, real-time billing platform purpose-built for modern AI products, while integrating cleanly into existing systems. The early traction reinforced how urgent and universal this need is.”
TDV Partners, General Partner, Ujwal Sutaria, said, “We’re seeing a generational shift in how software is priced and delivered, driven by AI and usage-based models. Flexprice is building the foundational infrastructure required for this new paradigm.”
Platform supports multiple pricing models
Flexprice currently offers an open-source and self-hostable architecture built in Go, with ClickHouse for high-throughput metering, Kafka for event-driven pipelines and Temporal for workflow orchestration.
The platform supports multiple pricing models including pay-as-you-go, prepaid credits, volume tiers, seat-based pricing and hybrid billing structures. The company also plans to introduce outcome-based pricing capabilities.
The infrastructure includes developer-focused APIs and SDKs for real-time usage tracking, quota management and event instrumentation, along with integrations with Stripe, Adyen and Razorpay.
Company eyes larger revenue automation opportunity
Flexprice CEO Manish Choudhary, said, “Billing is the hardest layer to get right, and the most consequential when you get it wrong, so that’s where we started. But billing is just the foundation of a much larger stack that every software company runs on.”
He added, “The bigger picture is full revenue automation — from the first usage event to the last dollar recognized, giving AI companies the infrastructure to experiment, iterate and scale their monetization in real time without being held back by systems that were never built for them.”
Market opportunity expected to grow rapidly
The company estimates the modern AI billing infrastructure market at nearly $4 billion, growing at a CAGR of 20%, while the broader SaaS billing market is projected to reach $20.3 billion by 2033.
Flexprice aims to serve both AI-native startups and enterprises transitioning towards AI-driven monetisation models globally.