B2B Funding Surge as FlexiLoans Raises INR 290 Cr for MSME Lending Expansion

Tuesday, 10 September 2024, 11:29

B2B funding is witnessing a surge as FlexiLoans has secured INR 290 Cr from key investors to enhance its MSME lending efforts. This capital infusion aims to fuel growth, diversify products, and tap into the evolving supply chain financing market. As the manufacturing landscape in India transforms, FlexiLoans is well-positioned to seize opportunities in this dynamic sector, driving growth and access to finance for small and medium enterprises.
Inc42
B2B Funding Surge as FlexiLoans Raises INR 290 Cr for MSME Lending Expansion

B2B Funding Surge for MSME Lending

FlexiLoans, a non-banking financial company (NBFC), has successfully raised INR 290 Cr (approximately $34.5 Mn) in its Series C funding round. Key investors include Accion, Maj Invest, Nuveen, and Fundamentum. According to co-founder Deepak Jain, this new capital will significantly fuel the company’s growth ambitions, allowing it to expand its product offerings and explore supply chain financing partnerships with corporate finance platforms for vendor and dealer financing.

Transformative Potential in Supply Chain Financing

India is set to be a critical player in manufacturing, and the supply chain’s potential is anticipated to undergo profound changes in the next five to ten years. Jain emphasizes FlexiLoans' readiness to capitalize on this favorable trend, focusing on business expansion.

FlexiLoans Overview

Founded in 2016, FlexiLoans operates as an online lending platform primarily targeting small and medium enterprises (SMEs) alongside other underserved segments. The fintech startup has already disbursed over INR 7,000 Cr in loans across 2,100 towns and cities. In a previous funding round in 2022, the startup raised $90 Mn through a combination of equity and debt from various investors, further solidifying its market position.

Recent Funding Trends in MSME Lending

This latest funding round aligns with a broader trend, as numerous lending companies are currently raising capital to strengthen their MSME lending capabilities. Furthermore, the Reserve Bank of India (RBI) announced plans for the 'Unified Lending Interface' to meet the rising credit demand for rural and small businesses, especially within the agricultural and MSME sectors.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


Related posts


Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe