Non-Banking Financial Company (NBFC) Saarathi Finance has completed its first funding round, raising INR 475 crore. The round was co-led by TVS Capital Funds, Lok Capital, Evolvence Equity Partners, Paragon Partners, and other angel investors, who together contributed about INR 350 crore.
Vivek Bansal and Sunil Daga invested the remaining amount. After this Series A funding, Saarathi Finance is now valued at more than INR 900 crore.
The new funding will help Saarathi Finance provide much-needed loans to small businesses (MSMEs), especially in smaller towns and rural areas in states like Tamil Nadu, Telangana, Andhra Pradesh, Karnataka, Rajasthan, and Uttar Pradesh, the company said in a press release.
Saarathi Finance uses technology along with personal support to offer loans that fit the specific needs of small businesses (MSMEs). They provide both secured and unsecured loans to help these businesses grow.
The company focuses on flexible ways to check income and speed up the loan process. This makes it easier for entrepreneurs, who often don’t get help from regular banks, to access the money they need.
Saarathi Finance helps small businesses in smaller towns and rural areas of India by giving them easy-to-get loans that fit their specific needs. They use new technology and know a lot about local markets to make sure their loans really help small business owners.
“We are committed to empowering Bharat’s entrepreneurs by providing more than just credit to a partnership that values and supports their growth. This funding milestone enables us to accelerate our mission ensuring every stakeholder from entrepreneurs to investors is valued and cared for in our journey. With heartfelt gratitude to our stakeholders, friends and family, we embark on this exciting journey,” said Vivek Bansal, founder & CEO of Saarathi Finance.
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