Aye Finance picks up $10.3m to expand small business lending

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fintech insurtech wealthtech regtech ai cybertech esg news

Small business lender Aye Finance has raised $10.3m in a Series B round led by LGT IV.

Existing backers SAIF Partners and Accion also contributed to the round.

The Indian firm offers loans to profitable micro, small and medium enterprises (MSMEs) around the region.

Aye Finance offers loans of between $732 and $36,600 to MSMEs that are profitable but locked out of from traditional financing.

It assesses customers’ creditworthiness using its own cloud-based technology platform.

The new funding will in part be used to further develop its underwriting technology and set up a dedicated data warehouse this year.

The investment will also be used to expand the New Delhi-based company’s presence into southern and western parts of India.

It currently operates 33 branches in the country’s northern states and 2 in the south.

To date Aye Finance has distributed more than $15m to more than 10,000 MSMEs and aims to reach more than $300m over the next five years.

The new funding brings the total raised by Aye Finance to more than $14m and it says it aims to raise as much as $300m in debt funding by the end of March 2018.

Copyright © 2016 FINTECH GLOBAL

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