Bengaluru: Finzy, India’s fastest growing peer to peer lending platform, has raised USD 2.3 million in Pre-Series A round. This includes USD 1.3 million raised in the first tranche in March 2018.
Pre-Series A round has been funded by senior professionals from BFSI industry and successful entrepreneurs. The company plans to use the funding for geographical expansion, technology investment and stronger distribution networks.
Completing the Pre-Series A Fund Raise, Amit More, Founder & CEO, Finzy, said, “Finzy continues to grow at a stellar pace month on month in this nascent and exciting industry. Our seed investors also participated in this Pre-Series A round at more than 4 times valuation as compared to the seed round. This reflects our investor’s confidence in Finzy’s positioning, progress and potential. This round will help us scale our business closer towards break even. Currently, Finzy is a team of 60 passionate colleagues working towards a single minded objective of providing a hassle free experience to our borrowers and create a new sustainable asset class for our lenders. We are achieving this without compromising on our standards and we do not have even a single NPA till date.”
Finzy’s monthly loan disbursements have grown more than 2x in the last 6 months and is expected to grow by an additional 3x from here on by March 2019.
Finzy is planning to raise Series A round early next year.
RBI published P2P lending master directions in October 2017 and Finzy was the first to apply for the certification as NBFC – P2P company. Finzy is now one of the first few P2P companies in India to have received the NBFC-P2P certification from RBI.
Vishwas Dixit, Co-Founder & CMO, Finzy said “RBI regulations have ensured that only competent platforms continue to offer Peer to Peer Lending services. Lenders clearly understand the power of monthly returns at 15.5% per annum. The vacuum that Finzy’s new investment opportunity fills in between fixed deposits and equity is also a powerful value proposition to lenders on the platform. Lenders are loving the experience and returns offered on Finzy and more than 40% of these lenders are returning back to make repeat investments.”