Ahmedabad-based SME lending startup Lendingkart Finance has raised $3.8 Mn (INR 25 Cr) in debt from the State Bank of India. The fundraise from SBI comes three months after the fintech platform secured $10.9 Mn (INR 70 Cr) funding from Sistema Asia Fund as well as existing investors Bertelsmann India Investment, Mayfield India, Saama Capital and others.
As per the official statement, the latest influx of funds will be utilised to bolster Lendingkart’s loan book. The fresh capital will also enable the startup to expand its geographical reach to over 950 cities.
Furthermore, a portion of the financing will come in handy to widen Lendingkart Finance’s offering to SMEs across the country.
Commenting on the fundraise from SBI, Lendingkart Technologies co-founder and CEO Harshvardhan Lunia said, “We feel extremely privileged to have partnered with India’s largest bank which also shares the same vision of supporting the unbanked SME sector. SBI, being one of the oldest and largest banks, has played a critical role in shaping India’s financial landscape for the last century.”
“Their rich experience and sound knowledge of the banking industry will enable us to bridge the gap between demand and supply of small business loans in the country. With the funds raised, we will further grow our loan books, expanding our reach to many more underserved SMEs,” Lunia added.
Lendingkart: Bringing SMEs Under The Umbrella Of Financial Inclusion
Founded in 2014 by ex-banker Harshvardhan Lunia and former ISRO scientist Mukul Sachan, Lendingkart is an instant working capital finance platform that provides SMEs with easy access to credit and working capital. Aligned with the government’s vision to achieve financial inclusion, the company focuses on providing short-term loans with small-ticket sizes.