Pune-based fintech startup LoanTap has successfully raised INR 74 crore (approximately $8.6 million) in its Pre-Series C funding round, signaling strong investor confidence in the company’s mission to simplify lending for individuals and small businesses in India. The funding round includes a combination of INR 54 crore ($6.3 million) in equity and INR 20 crore ($2.3 million) in venture debt, aimed at fueling product innovation and expanding LoanTap’s offerings.
Equity Infusion Led by July Ventures
The equity portion of the funding was led by July Ventures, a firm known for backing high-growth startups in the Indian fintech ecosystem. Existing investors such as 3one4 Capital, Avaana Capital, Kae Capital, and the Swapurna Family Office also participated in this round, reaffirming their continued support for LoanTap’s growth trajectory.
This significant capital infusion is expected to help LoanTap accelerate its digital lending capabilities, improve customer experience, and further develop its proprietary credit assessment technology.
INR 20 Cr Venture Debt for Supply Chain Financing
In addition to equity, LoanTap raised INR 20 crore via venture debt to support its plans to expand supply chain financing for small retailers. This move comes at a critical time when MSMEs (Micro, Small, and Medium Enterprises) across India are seeking easier and more flexible access to credit to sustain and grow their businesses.
Supply chain financing has become an increasingly vital area in the fintech space, especially post-COVID, where liquidity remains a concern for many small vendors and retailers. With this new capital, LoanTap aims to strengthen its position in this segment by offering customized working capital solutions.
A Vision Rooted in Innovation and Inclusion
Founded in 2016 by Satyam Kumar and the late Vikas Kumar, LoanTap was created to address the lending needs of underserved segments in India. The platform offers a wide range of digital lending products, including personal loans, business loans, and special-purpose loans, using a completely paperless process.
One of LoanTap’s key differentiators is its in-house credit assessment tool, BICRI (Business Indicator for Credit Ratings in India). This proprietary engine leverages multiple data points to evaluate a borrower’s creditworthiness, enabling faster decision-making and better risk management.
The Road Ahead
With this latest round of funding, LoanTap is poised to scale its operations, enhance product offerings, and expand its geographical reach. The company’s focus remains on financial inclusion, helping both salaried individuals and small business owners gain timely access to credit through a simplified and transparent process.
As the Indian fintech sector continues to grow rapidly, LoanTap’s innovative approach and strong investor backing place it in a promising position to become a leader in the digital lending ecosystem.
