Mumbai-based fintech startup CredAble has recently closed a $10 million funding round, with Equentia Natural Resources of Singapore leading the investment charge. This injection of capital marks a significant milestone for CredAble, especially considering a hiatus of 15 months since its last funding endeavor. Entrackr’s report indicates that this latest round brings the total raised capital for the company to over $55 million since its inception in 2017.
The allocation of the freshly acquired funds is set to fortify CredAble’s working capital reserves, bolster its growth and expansion initiatives, and cover general corporate expenses. Notably, the startup has experienced remarkable growth in operational revenue, more than doubling its figures. In FY23, CredAble reported a substantial increase of 2.78 times, reaching Rs 13.94 crore compared to Rs 4.92 crore in FY22. However, this aggressive expansion hasn’t been without its challenges, as evidenced by a noteworthy surge in losses.
FY23 saw losses spike to Rs 22.40 crore, a significant leap from Rs 6.53 crore in FY22. Despite these challenges, CredAble has solidified its position in the working capital finance sector. Boasting a clientele of over 125 enterprise customers and serving more than 300,000 small business borrowers, the startup has emerged as a prominent player in the industry. Its partnerships with over 35 large financial institutions further underline its influence.
Notably, 2023 witnessed a remarkable 100% growth in working capital disbursement, totaling Rs 45,000 crore. Looking ahead, CredAble is actively engaged in discussions regarding its Series C funding round, aiming to secure an additional $50-70 million. This potential influx of capital holds the promise of propelling CredAble even further along its growth trajectory, expanding its presence and impact within the fintech sector.