Latest news with #SatyamKumar
Entrepreneur
2 days ago
- Business
- Entrepreneur
LoanTap Raises INR 74 Cr to Expand MSME Supply Chain Financing
The pre-Series C round was led by July Ventures with support from existing investors, and INR 20 crore was additionally raised through venture debt. You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Fintech lender LoanTap has raised INR 74 crore in a pre-series C funding round to strengthen its supply chain financing operations. The round includes INR 54 crore in equity funding led by July Ventures, with continued support from existing investors including 3one4 Capital, Avaana Capital, Kae Capital, and the Swapurna Family Office. An additional INR 20 crore was raised through venture debt to accelerate the company's offerings for small retailers. The newly raised capital will be deployed to expand LoanTap's invoice financing and trade credit solutions across India's MSME sector. These funds will be channeled through its proprietary LTFLoW platform, supporting LoanTap's mission to provide seamless credit access to over 4 lakh merchants via its AfterPay network. Satyam Kumar, CEO and Co-founder of LoanTap, commented, "India's MSME sector is undergoing a massive transformation, and we plan to use this momentum to double down on invoice financing, an area we see as a powerful enabler for MSME growth across India. Our proprietary BICRI tool enables distributors to assess and extend business credit, creating a dual engine of capital access and credit readiness." Founded in 2016 by Satyam Kumar and Vikas Kumar, LoanTap has evolved into a full-stack digital lending platform offering a wide array of financial products including personal loans, business loans, gold loans, home loans, and loans against mutual funds. In 2023, it acquired Unofin, a healthcare-focused fintech, to enhance its reach in healthcare financing and also raised INR 24 crore in debt from Lighthouse Canton. The firm's focus on supply chain financing has made LT Credit a key player in providing trade credit to small retailers, particularly in grocery and pharmacy sectors. With over 50,000 retailers onboarded and INR 1,000 crore disbursed against more than 4.5 lakh invoices, LoanTap now aims to fund 1 million invoices over the next year with average ticket sizes between INR 8,000–INR 15,000. LoanTap's BICRI (Business Indicator for Credit Ratings in India) engine is at the core of this strategy. It delivers an alternative, transparent creditworthiness assessment by integrating with B2B platforms and enabling distributor-led financing—critical for closing India's INR 33.2 lakh crore MSME credit gap. A spokesperson from July Ventures said, "LoanTap's technology-first, embedded credit approach aligns perfectly with our thesis of backing category-defining platforms. Their integration of ecosystem knowledge with BICRI makes them a strong contender to address India's vast MSME credit shortfall." With this capital infusion, LoanTap is poised to continue empowering India's small businesses through smart, scalable credit solutions.
Time of India
2 days ago
- Business
- Time of India
Loantap secures $6.2 million in fresh funding from July Ventures and existing investors
With this, the total capital raised by the company stands at around $45 million. The fundraise comes at a time when the broader digital lending sector is facing headwinds due to regulatory tightening and a cautious stance from banks and large non-banking finance companies. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Pune-based digital lending platform Loantap has raised $6.2 million in fresh equity funding led by July Ventures . Existing investors 3one4 Capital, Avaana Capital, Kae Capital and the Swapurna Family Office also participated in the this, the total capital raised by the company stands at around $45 fundraise comes at a time when the broader digital lending sector is facing headwinds due to regulatory tightening and a cautious stance from banks and large non-banking finance company has pivoted from consumer lending to serving small businesses, such as pharmacies and neighbourhood stationery stores. Over the past two years, it has significantly scaled down its unsecured consumer lending book. At its peak in FY23, the company managed a portfolio of Rs 340 crore, which has since been halved.'We have stopped doing balance-sheet based consumer loans. We are only sourcing consumer loans for our NBFC partners and are primarily focused on small merchant loans,' said Satyam Kumar, cofounder of Loantap. According to Kumar, the company's consumer loan book, currently managed by partner lenders, stands at approximately Rs 350 was founded in 2016 by Kumar, a former senior executive at IndusInd Bank , and Vikas Kumar, who previously cofounded SME Kumar, who was also Loantap's chief technology officer, reportedly passed away in an accident in Bengaluru on April 30. The company is now looking to elevate a senior executive to the role of cofounder and appoint a new CTO from within the existing technology is currently focused on offering credit lines to small retailers, most of whom have annual turnovers below Rs 20 lakh. These credit lines are typically used to pay distributors. The company uses short-form video content and social media outreach to acquire these merchants, and now operates across 26 cities.'We are currently disbursing around Rs 600 crore in loans annually, with about 50,000 active retail customers. Our target is to reach Rs 900 crore in disbursements by FY26,' Kumar lending, the company has developed a proprietary software stack to help financial institutions originate and service small retailers. This middleware solution is already being used by three partner closed FY24 with revenue of Rs 67.5 crore and a net loss of Rs 12.7 crore.
