Bangalore-based fin-tech startup Capital Float has raised $13 Mn in a Series A round of funding led by SAIF Partners, Sequoia Capital and Aspada.
This is third time Capital Float is raising funding in past one year. Last year, SAIF Partners has invested $1 Mn in August and prior to that, it had raised seed investment of US $2 Mn from the Aspada Investment Company. This takes the total funds raised by the company to amount $16 Mn. The startup plans to use the funds raised to expand into more cities, improve its tech platform, and launch new products.
Launched back in 2013 by Gaurav Hinduja and Sashank Rishyasringa, Capital Float works with SMEs across Bangalore, Mumbai, Delhi, and select other cities in India, with a focus on ecommerce merchants, small manufacturers, and early-stage B2B service providers.
It is an online platform that provides working capital finance to SMEs; it offer flexible, short-term loans that can be used to purchase inventory, service new orders or optimize cash cycles. Borrowers just need to apply online in minutes, select desired repayment terms and receive funds in their bank accounts in 7 days with minimal hassle.
Till date, Capital Float has transacted about INR 40 Cr. in loans to about 100 SMEs across 12 cities in India.
Further, it will also be investing capital into the platform’s back-end technology to take faster decisions on creditworthiness of borrowers.
The startup currently employee about 35 people in total.