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Fintech Startup FinAGG Technologies Raises $11 Million in Series A Funding Led by BlueOrchard and Tata Capital

Fintech startup FinAGG Technologies has successfully raised $11 million in its Series A funding round, with co-leadership from global impact investment manager BlueOrchard and Tata Capital Limited. The investment aims to support FinAGG's expansion plans, both offline and online, as well as drive product innovation and enhance its global outreach. The company specializes in cash-flow based supply chain finance and previously secured $3 million in its pre-Series A round led by BLinC Invest in September 2022. FinAGG, founded in 2020, focuses on providing closed-loop credit solutions to distributors, retailers, and MSMEs through its proprietary platform, Quick Cash Flow.



According to Nipun Kohli, Co-founder and CEO of FinAGG, the company is working on introducing blockchain to an industry that traditionally relied on conventional pen and paper underwriting. These new features aim to revolutionize the underwriting process in the supply chain finance space. The firm claims to have disbursed over Rs 5,230 crore in loans to more than 85,000 MSMEs, with approximately 20% of these enterprises led by women entrepreneurs. FinAGG's loan disbursement platform, Quick Cash Flow, completed the RBI Sandbox for MSME lending in November 2023, providing low-cost loans.


FinAGG has integrated its platform with India Stack's Aadhaar, GSTN, UPI, and NACH to ensure lenders have access to quick growth capital. Notable partners of FinAGG include major consumer brands such as Marico, Pepsico, Daikin, UGro, and leading banks and NBFCs like IDFC First Bank and HUL. The company's revenues from operations grew to Rs 11.96 crore in the fiscal year ending March 2023, compared to Rs 3.69 crore in FY22. However, its profit decreased to Rs 8.56 lakh in FY23 from Rs 23.81 lakh in the previous fiscal year.


The latest funding round saw participation from Small Industries Development Bank of India (SIDBI) and existing investor Prime Venture Partners. Additionally, Gray Matter Capital provided capital through Non-Convertible Debentures (NCDs). The new funds will help FinAGG strengthen its position in the market, expand its footprint, and continue serving MSMEs with innovative financial solutions.



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