FlexiLoans Secures INR 375 Crore in Series C Funding
Digital lending platform FlexiLoans has raised INR 375 crore in its Series C equity funding round, adding to the INR 290 crore secured in September 2024, bringing the total capital raised in the past six months to INR 665 crore, according to a company statement.
The funding round was spearheaded by existing investors such as Fundamentum, Accion Digital Transformation Fund, Nuveen, and Maj Invest, with British International Investment (BII), the UK’s development finance institution, joining as a new investor.
Established in 2016 by founders Deepak Jain, Ritesh Jain, and Manish Lunia, FlexiLoans is a digital-first non-banking financial company (NBFC) dedicated to supporting India’s underserved micro, small, and medium enterprises (MSMEs). The company plans to use the new funds to expand its operations, enhance its range of credit offerings, and bolster its technology platform, particularly targeting small businesses in non-metro regions.
With only about 10% of India’s estimated 60 million MSMEs having access to formal credit, FlexiLoans addresses this gap by focusing 66% of its loan portfolio on Tier II and Tier III cities. “We are thrilled to raise an additional INR 375 crore from our existing investors and to welcome BII as a new partner,” said Deepak Jain, co-founder of FlexiLoans. “This funding strengthens our ability to deliver fast and accessible financing to underserved MSMEs, enabling them to grow and succeed.”
Operating without physical branches, FlexiLoans leverages a fully digital model, using alternative data and partnerships to approve and disburse loans, often within 48 hours. The company has disbursed over INR 10,000 crore across more than 2,100 towns and cities, with assets under management (AUM) reaching INR 2,300 crore and a compound annual growth rate (CAGR) of 83% from FY22 to FY25.
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Srini Nagarajan, managing director and head of Asia at BII, commented, “We are excited to back FlexiLoans in its mission to empower MSMEs with its innovative digital lending approach. This investment aligns with our focus on financial inclusion and supporting underserved entrepreneurs across India.”
Unitus Capital served as the exclusive advisor for the deal.
Source – Entrepreneur
