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- Paytm Debit cards will now be delivered via App. Paytm to touch $14 Bn GMV - January 19, 2018
- Angel List started their Syndicates Platform in India - January 17, 2018
- Razor Pay raises $20 Mn as Series B from Tiger Global and Y Combinator - January 16, 2018
Right after opening their office in Delhi, Matrix Partners have invested $3 Mn in Ziploan which is a SME lending Startup. The round also saw participation from WaterBridge Ventures, Whiteboard Capital and former Capital18 MD, Sarbvir Singh.
Matrix Partners which one of the fastest growing VC house which has invested much of their funds in FinTech, EdTech, Fashion and Taxi App such as Ola, Daily Hunt, RazorPay and mSwipe.
The FinTech Startup will focus more in reaching new geographical areas of operation especially in the non-metro cities and shall also increase its loan book size. Speaking on the development Matrix Partners India MD Vikram Vaidyanathan said, “With over 40 Mn SMEs, SME-lending is a large opportunity, but with tough execution challenges. We believe a cautious, technology-led approach can bring down underwriting and sourcing costs enough to serve the SMEs at smaller ticket sizes.”
Ziploan is speer headed by its founder and CEO Kshitij Puri who stated that, “We will invest in our proprietary risk assessment engine with digital data points, called ZipScore, which automates credit decisions.”
The Startup focusses on the ease of the process to apply Business loans from the loan lending Banking Institutions and also focusses on making Credit more accessible to small businesses.
Loan Lending FinTech Startups are on the Funding Spree
One of the hot segments seeing a huge surge in the interest of VC’s is Loan lending FinTech Startups. Some of the Startups which have received funds recently includes CrediFiable, Innoviti, Loan Tap, Capital Float, Money Tap and Early Salary.
Such Startups deal with a greater pain points of the consumer inability to understand comprehensive and often jargoned and lengthy processes to get into, before obtaining the loan. In addition to it the formalities for the loan seems to be time consuming which further adds agony to the end consumer who needs it. These Startups are trying to bridge in, to ease the process of obtaining loan from banking institutions which otherwise is a cumbersome task. Catering to the urgent and financial needs of consumers, these startups are getting popular amongst the users.
Xiaomi Technologies also enters FinTech
Recently Micro lending platform Krazybee has raised Series A equity and debt financing led by Xiaomi Technologies. Speaking on the development Director Shirley Mao said, “The Indian demography has a large population of urban young adults that spend a lot online & offline. For such an enormous ecosystem, the need for urgent personal finance for purchase requirements is highly underserved. An appropriate focus towards tech-based credit evaluation and compliant sourcing of funds can help capture and penetrate this market big time.”