CreditEnable, an online marketplace for SME loans, is launching a $2m pre-Series A round.
With the fresh batch of capital, CreditEnable hopes to develop and launch the second-generation product for lenders and borrowers. It will also bolster its direct marketing outreach to SMEs and increase its traction.
CreditEnable is a marketplace for SME credit, helping to better connect lenders and borrowers. The UK-headquartered company uses AI technology to improve the creditworthiness of SMEs and improve their access to credit. It also enables lenders to ease the identification, assessment and onboarding of borrowers.
Prior to this round, the company raised $5m in its seed round, which was backed by investors including Alter, Floreat and Astia. Its seed capital was used to finish the development of the first-generation of its managed marketplace platform.
Furthermore, the capital was used to launch in India, acquire its first 20 paying lender customers and launch its demand generation strategy, which is responsible for over 5,000 SME loan application each month, it claims.
CreditEnable CEO and founder Nadia Sood said, “The SME credit market globally is notoriously inefficient, leaving millions of SMEs unable to unlock growth capital at a reasonable price.
“According to the World Bank, there is a $8.1tn of SME credit available every year, but $4.5tn doesn’t get issued to SMEs leaving an enormous credit gap that CreditEnable has been created to narrow. The demand and supply exist, but the market is not transacting efficiently. That is where CreditEnable comes in.â€
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