Fintech Start-up FinAGG Raises $11 Million in Series A Funding from Tata Capital and BlueOrchard

• ByStartupStory     |    January 19, 2024

Mumbai-based fintech start-up FinAGG Technologies, specializing in cash-flow-based supply chain finance, announced the successful closure of its Series A funding round, securing $11 million. The funding round was co-led by global impact investment manager BlueOrchard and Tata Capital Limited. Small Industries Development Bank of India (SIDBI) and existing investor Prime Venture Partners also participated in the round.

In addition to this, FinAGG raised capital through non-convertible debentures (NCDs) from Gray Matter Capital.

The newly acquired capital will be utilized by FinAGG to expand its offline and online presence, strengthen global outreach, and fuel product innovation, as outlined in the official press release. Previously, the fintech company secured $3 million in its pre-Series A round led by BLinC Invest in September 2022.

Nipun Kohli, co-founder and CEO of FinAGG, shared insights into the company’s innovative approach, stating, “Our product and engineering department is currently working on bringing blockchain to an industry that worked on conventional pen and paper underwriting until recently. These new features will help us look at borrowers in a completely different light and make underwriting in this space more meaningful.”

Founded in 2019 by Nipun Kohli and R Srinivasan, FinAGG operates as a supply chain platform, offering closed-loop credit solutions to distributors, retailers, and MSMEs through its proprietary platform, Quick Cash Flow.

The company boasts a significant track record, having disbursed loans exceeding ₹5,230 crore to over 85,000 MSMEs to date, with approximately 20% of these businesses led by female entrepreneurs.

FinAGG’s loan disbursement platform, Quick Cash Flow, completed the RBI Sandbox for MSME lending in November 2023, providing low-cost loans. The platform integrates with India Stack’s Aadhaar, GSTN, UPI, and NACH, ensuring quick access to growth capital for lenders.

Since 2020, FinAGG has formed partnerships with major consumer brands, leading banks, NBFCs, and entities supporting MSME development in India. Marico, Pepsico, UGro, BluStar, Daikin, IDFC First Bank, HUL, and ITC are among the notable collaborators of FinAGG.

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