Online loan market FinBucket obtains funding from Impanix Capital
FinBucket Pvt. Ltd, which operates an eponymous online marketplace for loans and investments, raised 12 crore rupees ($ 1.8 million) from Delhi-based start-up venture capital firm Impanix Capital.
The startup plans to use the funds to increase its workforce to 200 people and expand its operations, FinBucket said in a statement. The funds will also be used to strengthen the tech backbone, expand its physical presence in subways and for customer acquisition efforts, he said.
A spokesperson for Finbucket said this was the company’s first round of external funding since its inception.
“We aim to invest this money in building our technological and operational team. We will focus on the unserved segment of the market, which is people who are not getting loans due to poor or no credit rating, ”said Heena Jain, co-founder of FinBucket.
The company also incorporated RK Jain, who has over 25 years of experience with ICICI Bank, HDFC and Bajaj Finserv, among others, to shape its business strategy.
Founded in 2014 by Jain and Parit Garg, FinBucket is an online marketplace that connects clients looking for loans, financial instruments and investment options with suppliers. Once the client submits an application online, FinBucket uses a proprietary algorithm to put the borrower in touch with the right lender, thus increasing the chances of loan approval.
The three-year-old startup helps clients access a personal loan, home loan, business loan, credit card, and mutual funds. He also plans to make a foray into the insurance business, including life, health and auto insurance.
Jain is an alumnus of IMT Ghaziabad while Garg is a chartered accountant and previously worked with Varsha Industries, according to their LinkedIn profiles.
For Impanix Capital, FinBucket is the fourth known investment. He had earlier invested in the legal services provider Legal Raasta. He has also invested in online bakery CakeCity and ed-tech startup Skillofy.
FinSeau joined a growing list of fintech startups in the loan, payments and personal finance segments that have raised funds.
Earlier this month, digital SME lending platform FlexiLoans raised 45 crore rupees ($ 6.98 million) in debt.
In November, CreditMate, which operates an online lending platform for two-wheeler loans, raised an undisclosed amount from Paytm.