LendingKart Raises Rs. 205 Cr. funding in Series B Round!


LendingKart, an online Small and Medium Enterprise (SME) lending firm has raised Rs. 205 Crore ($32 million) in funding. The Series B round of funding was led by Bertelsmann India Investments (BII). The round also had participation from Darrin Capital Management as well as existing investors, namely, Mayfield India, Saama Capital, and India Quotient.

With this Series B Round, LendingKart has raised a total of Rs. 260 Crore. OF the $32 Million that LendingKart has raised, $20 Million has been raised as equity while the rest $12 Million has been raised in the form of debt.

Founded in 2014 by Harshvardhan Lunia, an ex-banker & an ISB Hyderabad alumnus and Mukul Sachan, an IIM Bangalore alumnus, the firm is looking to utilize the money raised for the following purposes:

  • Enhancing the technology platform
  • Strengthening the data science capabilities
  • Developing infrastructure for improved mobile capabilities

LendingKart offers loans to SMEs in the range of Rs. 50,000 to Rs. 10 Lakh. The loans are offered to SMEs working online or offline or both.

We have grown by 500 percent in our total employee strength. Currently, we have 45 partners which include platforms like Flipkart, Snapdeal, TradeIndia, Craftsvilla, Voonik, and Paytm. We are growing 20 per cent month-on-month.

In terms of the application process, the SME owner/founder can visit the LendingKart website, upload the documents inclusive of their background information. Once the documents are uploaded, LendingKart’s subsidiary – NBFC verifies the uploaded documents which are then transferred to the analytics team. The analytics team then determines the repaying capacity of the person as well as the intent of the applicant. The best part about the entire process is its integration with technology and easy disbursement of the loan within 72 hours from the time of application.

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LendingKart is currently present in 135 cities across 22 states with the expansion happening ever since its launch in 2014. The main traction for the loans comes in from the metro cities as well as from the cities of Bengaluru and Ahmedabad. The company is looking to expand to tier 3,4 and 5 cities as well.

Our proprietary algorithms use over 2200 variables to assess the applicant’s credit worthiness. With funds being transferred in as less as 24 hours, credit-on-demand is becoming a reality.

Given that the loan disbursement is pretty quick and the process of application to getting the loan is pretty transparent thanks to the use of technology, LendingKart has enough room to grow. Given the number of startups as well as SMEs the nation has, an idea like LendingKart can go a long way.

It will be interesting to see how LendingKart’s journey pans out. Till then, keep a check on this space for more.


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