Founders: Rajesh Gupta and Anoop Garg
Financing status: USD 2.7M
Delhi-based microlending platform Cash Suvidha has raised USD 2.7 million from six financial institutions, all of which remain unnamed. According to Cash Suvidha, the newly raised capital will be allocated toward replenishing the company’s loan boak, underwriting loans, pursuing product development, and increasing client acquisition, particularly within the cities of Delhi, Bangalore, Pune, Hyderabad, and Mumbai.
Cash Suvidha is a microlending platform specializing in four categories of lending: entrepreneur, SME (Small & Medium Enterprise), personal, and women’s loans. Women’s loans are intended to “inspire” and “uplift” women towards sustainable self-employment. Cash Suvidha’s loan interest rates range between 19% and 28%, and the startup claims that loans are disbursed within 72 hours (three days) of application. Loan applications average around USD 780.
The platform boasts its own credit scoring mechanism to determine the creditworthiness of each prospective applicant. This “Suvidha Score” system utilizes media portals to evaluate education and professional background, as well as consumer and financial behavior.
The platform claims to have disbursed more than USD 16 million in loans since its founding and claims to receive in excess of 15,000 loan applications on a monthly basis. The platform claims to have had over 27,000 borrowers to date.
Cash Suvida was founded in 2016 by Rajesh Gupta and Anoop Garg. Both University of Delhi alumni, Gupta and Garg have more than 25 years in experience in business & finance and more than 21 years in finance & operations, respectively.
Other microlending platforms in India’s fintech industry include Flexiloans, Creditmate, Prest Loans, and Paytm, all of which have recently received substantial funding as the fintech industry grows in size and popularity.
(Top Image from Pixabay.com)