Gurgaon-based OfBusiness, a startup that finances small and medium enterprises (SMEs), has raised Rs 200 crore (~ US$29.18 million) in series-C funding round led by US-based Creation Investments and Falcon Edge. Existing investors Matrix Partners and Zodius Capital also participated in the round.
The freshly raised funds will help the startup to shore up debt to boost its loan book, says OfBusiness co-founder and CEO Asish Mohapatra, to a daily news portal.
The startup had earlier raised Rs25 crors in debt lines from Kotak Mahindra Bank, Tata Capital, RBL Bank and Northern Arc, in October last year. Prior to which, it has raised Rs 75 Cr in Series B investment round led by Zodius Technology Opportunities Fund, in December 2016.
In total, Ofbusiness has racked up Rs 500 crore in equity and debt funding to date.
Founded in 2015 by IIT & FMS-Delhi graduates -- Asish Mohapatra, Bhuvan Gupta, Chandranshu Sinha, Nitin Jain, Ruchi Kalra, Ruchi Kalra, Srinath Ramakkrushnan, Vasant Sridhar, OfBusiness is a new age technology-driven fintech start up that serves as a single-window for SMEs in the manufacturing and infrastructure space to provide unsecured credit lines as an alternate to financing. SMEs can use this limit for cost-effective procurement of raw material (TMT bars, polymers, kraft paper, cement and building materials) which the platform aggregates, passing the aggregation benefits to the SMEs.
OfBusiness, which got NBFC status in 2016, had already turned profitable at the profit-after-tax level since December last year. Moreover, the startup has registered Rs 100 crore of monthly disbursals across 2,500 customers running businesses in sectors like metals, plastics and paper, among others.
The startup assists its customers with raw material fulfillment and a new opportunities platform -- BidAssist. It underwrites loans by evaluating financial data of the SME, and also by checking the proprietary data contributed by the SME community of buyers and sellers.
Creation has also invested in other lending companies like Capital Float and Equitas Holding. Vikram Vaidyanathan, MD at Matrix India, said, “OfBusiness captures the SME’s need for repetitive purchase finance with a unique business model. Their proprietary data advantage is reflected in the increasing efficacy of underwriting and support from marquee banking partners.
Recently, an another SME-focussed lending startup, Kinara Capita, has raised Rs 32 crore in non-convertible debentures from Zurich, Switzerland-based responsAbility Investments.
Source - Times of India
[Top Image - Ofbusiness Team via Facebook]
The freshly raised funds will help the startup to shore up debt to boost its loan book, says OfBusiness co-founder and CEO Asish Mohapatra, to a daily news portal.
The startup had earlier raised Rs25 crors in debt lines from Kotak Mahindra Bank, Tata Capital, RBL Bank and Northern Arc, in October last year. Prior to which, it has raised Rs 75 Cr in Series B investment round led by Zodius Technology Opportunities Fund, in December 2016.
In total, Ofbusiness has racked up Rs 500 crore in equity and debt funding to date.
Founded in 2015 by IIT & FMS-Delhi graduates -- Asish Mohapatra, Bhuvan Gupta, Chandranshu Sinha, Nitin Jain, Ruchi Kalra, Ruchi Kalra, Srinath Ramakkrushnan, Vasant Sridhar, OfBusiness is a new age technology-driven fintech start up that serves as a single-window for SMEs in the manufacturing and infrastructure space to provide unsecured credit lines as an alternate to financing. SMEs can use this limit for cost-effective procurement of raw material (TMT bars, polymers, kraft paper, cement and building materials) which the platform aggregates, passing the aggregation benefits to the SMEs.
OfBusiness, which got NBFC status in 2016, had already turned profitable at the profit-after-tax level since December last year. Moreover, the startup has registered Rs 100 crore of monthly disbursals across 2,500 customers running businesses in sectors like metals, plastics and paper, among others.
The startup assists its customers with raw material fulfillment and a new opportunities platform -- BidAssist. It underwrites loans by evaluating financial data of the SME, and also by checking the proprietary data contributed by the SME community of buyers and sellers.
Creation has also invested in other lending companies like Capital Float and Equitas Holding. Vikram Vaidyanathan, MD at Matrix India, said, “OfBusiness captures the SME’s need for repetitive purchase finance with a unique business model. Their proprietary data advantage is reflected in the increasing efficacy of underwriting and support from marquee banking partners.
Recently, an another SME-focussed lending startup, Kinara Capita, has raised Rs 32 crore in non-convertible debentures from Zurich, Switzerland-based responsAbility Investments.
Source - Times of India
[Top Image - Ofbusiness Team via Facebook]
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