Fintech lending startup KreditBee raises INR 60 Crore (About $8 million) in equity and debt from SIDBI’s India SME investment. This investment comes in the form of a mix of debt and equity funding.
The funding is part of series C funding concluded in February with the funding amount of $145 million from the Mirae Asset Ventures, TPG-backed NewQuest Capital Partner, Premji ventures and Motilal Oswal Private Equity. In 2019 India SME has invested INR 28.4 crores as debt in Krazybee Services private Ltd, NBFC-ND-SI which is part of the holding company of Kreditbee.
Founded in May 2018 Bengaluru based Kreditbee, is a fintech lending platform focused on providing inclusion in India through their Digital lending solutions in the form of personal loans. Kreditbee specializes in offering personal loans to blue-collar people and self-employees through their digital platform. It competes with startups such as EarlySalary, MoneyTap and co-founder Sachin Bansal’s Navi. In its previous series B funding, it has raised $8 million.
The company is looking forward to expanding its lending portfolio with the introduction of financial services like BNPL (Buy-Now-Pay-later) and insurance policy among others. Its current user base is more than 20 million; out of this some four million have been availed from loan products of the companies. Kreditbee is now looking forward to diversifying its credit policy product line and offer digital secured loans and home loans. With an employee base of more than 1200 people, it plans to target Indian over 180 million new-to-credit customers.
Whereas, Small Industries Development Bank of India (SIDBI)- backed the India Small Medium Enterprises Investment focuses on early-growth companies, primarily based in Tier 2/3 cities and targeting the middle and lower-income segments of the society. Its other investment includes the Value-retailer CityKart and snacking company Priniti Foods as well as jewellery brand Kushal’s.
India SME has been associated with Kreditbee for more than 24 months, and it believes that the team has got a deep-rooted understanding of the fintech space. Whereas, it has scaled its business more than five times on the back of seasoned credit analytics, prudent product selection, and optimal control on CAC.