RupeeRedee's NBFC Arm FincFriends Secures $7.8 Mn in Funding Round

Lucknow, Uttar Pradesh, India - FincFriends, the NBFC arm of digital lending platform RupeeRedee, has secured $7.8 million in a strategic funding round. This mixed debt and equity round was led by InCred Finance and Grow Money Capital.

Growth and Expansion Plans Fueled by Funding

The funding round signifies a significant development for FincFriends. The capital infusion of $3 million in equity from InCred Finance and Grow Money Capital, alongside an additional $2 million in equity and $2.8 million in debt from existing investor APV Management, will fuel the company's growth trajectory. FincFriends plans to leverage these funds to bolster its product portfolio, scale up operations in emerging markets, and significantly expand its customer base. This strategic investment will also allow FincFriends to "amplify" its credit offerings, catering to a wider range of borrowers.

Quotes Highlighting Strategic Partnership and Financial Inclusion Goals

Commenting on the funding round, RupeeRedee CEO Roman Aznabaev expressed his enthusiasm, stating, "As we focus on expanding our credit offerings, we are looking forward to leveraging this opportunity to create high value for our customers and stakeholders alike." This sentiment aligns with the vision of InCred Finance. Mohit Gandhi, Head of Financial Institution Lending at InCred Finance, chimed in, highlighting their commitment to supporting FincFriends' mission. He stated, "Through this partnership, we actively support FincFriends' mission of delivering socially responsible funding to underserved populations in India. Together, we are committed to shaping a more financially inclusive future."

FincFriends: Championing Digital Lending for Underserved Customers

Founded in 2017, FincFriends is a non-banking financial company (NBFC) that caters to the growing demand for digital lending solutions in India. As the captive arm of RupeeRedee, FincFriends offers instant, short-term personal loans specifically designed for underserved customers. This segment of the population often faces challenges in securing traditional loans from banks. FincFriends' digital platform bridges this gap by providing a convenient and accessible loan application process.

Continued Growth in the Digital Lending Landscape

The funding round for FincFriends underscores the continued attractiveness of the digital lending space in India, despite recent regulatory measures implemented by the Reserve Bank of India (RBI) to ensure responsible lending practices. This growth is further corroborated by the recent launch of ZeroPe, a healthcare-focused lending platform launched by entrepreneur Ashneer Grover. ZeroPe aims to provide loans to individuals facing medical emergencies.

Industry Insights and Market Projections

According to Inc42's State Of Indian Fintech Report Q4 2023, homegrown lending tech startups secured a staggering $141 million across eight deals in the last quarter of 2023 alone. Industry experts project that the lending technology segment is poised to capture a significant share, exceeding $1.3 trillion, of the total $2.1 trillion Indian fintech market opportunity by 2030.

FincFriends' successful funding round signifies the immense potential of the digital lending sector in India. With a focus on financial inclusion and responsible lending practices, FincFriends is well-positioned to capitalize on this growth trajectory and empower underserved customers with access to crucial financial resources. The strategic partnership with InCred Finance and Grow Money Capital further strengthens FincFriends' position as a key player in India's evolving digital lending landscape.