Capital Float Raises $ 15 Million in Equity from Existing Investors
Digital lending start-up Capital Float has announced that it has raised $ 15 million (₹ 110 crore) from its existing investors.
Participants in the round included Ribbit Capital, Amazon, SAIF Partners and Sequoia Capital India. The company will use these funds to strengthen its capital base and expand its lending operations to SMEs and consumers. With this new addition, the total capital raised by Capital Float to date stands at $ 125 million (₹ 800 crore). The company has also raised $ 300 million (2,200 crore) in debt financing to date.
“The last round of funding with the help of existing partners signaled strong support and confidence in Capital Float’s vision to expand digital financial inclusion in India. At a time when the industry faces multiple challenges, we are grateful for this strengthening and wish to continue to make lending effortless for SMEs and consumers across the country. We look forward to significantly increasing our lending capacity once the lockdown is lifted to enable SME growth and large-scale consumer spending, ”said Sashank Rishyasringa and Gaurav Hinduja, co-founders of Capital Float, in a statement. common.
Since its inception in 2013, Capital Float, headquartered in Bengaluru, has disbursed over $ 1.2 billion (8,800 crore) and has over five lakh clients in India. The company’s customer base is spread over 300 cities and includes both SMEs and private borrowers. In SME financing, Capital Float focuses on building its loan portfolio with its latest product called FAST Loans (Fully Automated Small Term Loans). This fully digital financing solution is designed to meet the working capital needs of SMEs in India, with a focus on Tier 2 and Tier 3 markets.
The company is also expanding its consumer finance vertical with the online payment finance product, of which Amazon is a major partner, and its personal finance management (PFM) app called Walnut. In addition to offering a personal line of credit, Walnut also recently launched a digital Covid-19 insurance product and a ‘Find a Store’ feature to help users during the current lockdown.