[ad_1]
Indifi Technologies Raises $35 Million in Funding Round
Indifi Technologies, a digital lending startup in India, has recently raised $35 million in a funding round led by ICICI Venture, the investment arm of ICICI Bank. The eight-year-old startup aims to address the issue of a significant credit gap for small and medium-sized businesses, which contribute over 30% to India’s gross domestic product and provide employment to over 113 million individuals.
Background
India has a significant gap in credit access for small and medium-sized businesses, which was highlighted in the Reserve Bank of India’s December 2018 report. The report estimated a credit gap ranging from $243 billion to $303 billion for the MSME sector.
To address this issue, Indifi Technologies was founded by Alok Mittal and Siddharth Mahanot in 2015. The startup offers different types of loans to businesses in various sectors, providing unsecured loans tailored to their unique needs.
The Funding Round and Investors
The all-equity Series E funding round for Indifi Technologies was led by ICICI Venture, which has a strong history of investing in innovative startups. The round also had participation from existing investors, including British International Investment, OP Finnfund Global Impact Fund I, Omidyar Network India, Flourish Ventures and CX Partners.
Indifi’s Offerings
Currently, Indifi Technologies enables businesses with a turnaround of between $36,400 – $1.21 million a year to secure unsecured loans. The startup has disbursed over 73,000 loans across 400 cities, with a total disbursement value of over $497 million.
Additionally, Indifi Technologies clients are inclusive of approximately 30% of customers who have been in business for less than two years. Also, over 20% of Indifi’s customers are women entrepreneurs.
Future Plans and Growth
The company aims to continue looking for new segments in the markets it exists. Indifi Technologies is currently making instant loans and enabling working capital finance for direct-to-consumer brands and software businesses.
The company has been profitable for six consecutive quarters since February 2022. Indifi Technologies plans to utilize the fresh funds to introduce new products, improve technology infrastructure, and expand its customer base. The company has developed segment-specific models to ensure accurate risk assessment of particular models instead of relying on broad criteria, such as three years of vintage.
Competitors
Indifi Technologies competes against the likes of Mayfield-backed LendingKart, Inclusive Fintech 50-invested FlexiLoans, and Progcap, which counts Google and Tiger Global among its key investors.
Conclusion
Indifi Technologies is a digital lending startup that aims to provide loans to small and medium-sized businesses in India. The company provides unsecured loans tailored to the unique needs of businesses in various sectors. With $35 million in recent funding, Indifi Technologies plans to introduce new products, improve technology infrastructure, and expand its customer base.
FAQs
What is Indifi Technologies?
Indifi Technologies is an Indian startup that offers digital lending to small and medium-sized businesses.
What is the investment arm of ICICI Bank?
ICICI Venture is the investment arm of ICICI Bank, one of India’s largest banks.
What is the credit gap in India for small and medium-sized businesses?
The credit gap ranging from $243 billion to $303 billion (20-25 lakh crore Indian rupees) was reported in a December 2018 Reserve Bank of India report for the MSME sector.
What types of loans does Indifi Technologies offer?
Indifi Technologies offers different types of loans to businesses in various sectors, providing unsecured loans tailored to their unique needs. The loans are available for businesses with a turnaround of between $36,400 – $1.21 million a year.
What is Indifi Technologies’ client base like?
Approximately 30% of Indifi Technologies clients are new businesses. Over 20% of the company’s customers are women entrepreneurs.
What are Indifi Technologies’ future plans?
Indifi Technologies plans to utilize the fresh funds to introduce new products, improve technology infrastructure, and expand its customer base. The company aims to continue looking for new segments in the markets it exists.
[ad_2]
For more information, please refer this link