Fintech company raising Funds - Investor Deck

Industry: Fintech
Accelerator - Startupbootcamp, London
Fund Raised - $100,000
Traction - $625,728 during July 2020-Mar 2021 despite Covid-19 impact

BACKGROUND:

• Our client (the” Company”) is a credit scoring analytics based digital lending platform for personal loan and small loan
• Founded in September 2016, the Company has develop end to end automated lending platform to provide personal loans, small loan and personal credit line to consumers with no prior formal credit history through its partner banks and NBFCs
• The Company provides qualified leads to banks by pre-screening customers to minimize the chances of later stage loan rejection. Borrowers benefit by applying only to those lenders willing to lend to them and lenders gain by having applications with higher approval rate, lower delinquency
• The Company has partnered with over 10+ top private Banks and NBFCs such as ICICI Bank, HDFC Bank, Yes Bank, IDFC First Bank, Bajaj Finserv, and Tata Capital to name a few as its lending partners
• Founders have combined experience of 28 years in entrepreneurship, consulting, software product development and banking experience
• The Company’s has a key advisor who is an Independent Director of stock exchange listed Suryoday Small Finance Bank

KEY STRENGTH:

• Proprietary QScore: The Company is developing proprietary QScore an alternate credit score underwriting model to assess the creditworthiness of 800M+ first-time borrowers who have been denied loans due to lack of credit history. The Company is using alternative data through mobile handset, bank statement and other sources
• Customer Acquisition Network: The Company is developing customer acquisition network with offline direct sales agents, Oppo, Mi mobile phone retailers, chartered accountants, taxation, gaming, online media, insurance, mutual fund and stock broking firms, retailers, third party payroll companies, start-up, hospitals and diagnostic centres to strike partnership to develop customer sourcing channels on success fee basis to get customers onboarded through its mobile app

KEY ACHIEVEMENTS:

• The Company has been recognised by StartupIndia, an initiative of the Government of India
• The Company has received seed funding in August 2017 from Startupbootcamp, a London based Accelerator who has a global presence
• The Company has raised $100,000 Angel funding from a clutch of Angel investors in November 2019
• The Company has partnered with Equifax Credit Bureau, Bank statement and e-KYC service providers
• The Company has Launched Mobile App with over 14K+ downloads between December 2020-Mar 2021
• Bank API Integration with over 5 Banks & NBFCs and more in the pipeline
• Loan disbursal of $625,728 between July 2020-Mar 2021 with average ticket size of $6,700 per customer despite the Covid situation

INVESTMENT HIGHLIGHTS

• India has the highest Fintech adoption rate of 87% as oppose to global average rate of 64%, which shows that India is a prime destination for digital lending and other financial activities
• 500M+ eligible people who are not getting a formal financial ecosystem and as per IFC 2018 report, the addressable credit gap is $898B
• Currently, India has a more than $35B micro-loan portfolio and 100M+ borrowers
• Mission is to digitize 1 million micro borrowers across India in 5 years with loan disbursal of $500M.
• Building scalable B2C customer centric products and digitizing the end users by making the applications user friendly and assistive
• Ambition to venture into B2B for micro lending to small merchants
• Automating micro-lending business with AI-powered mobile platform for local-language preferred first time borrowers
• Using analytics in solving the problems in meeting the credit requirements of the unserved / underserved sector
• The product and platform has a global market specifically in countries Bangladesh, Indonesia, Nigeria and similar               

FUTURE ROADMAP:

• Bringing institutional low-cost capital for co-lending through partner micro-lenders
• Offering value-added financial products such as healthcare financing, small merchant loan, education fee financing products
• Aggressively push for pan-India partnership and digitize network of microlenders in semi urban and rural locations
• Offer a platform to any institution to launch lending as a service. micro-lenders get entire services replacing any loan management software

CAPITAL RAISE:

The Company has a 2-step capital raise strategy:

1.     USD300,000 seed round to expand the team (software development, operational and business development) and achieve exponential revenue growth.

2.     The Company is planning to raise USD3 million Series A at a 9-12 months interval with operational profitability achieved in a 9-12 months’ timeline. Further, capital will be used for new products launch and market expansion, customer acquisition and rapid growth with potential for exit

REVENUE FORECAST:

BASED ON $3M  

   FUNDING

 TEAM