LoanKuber, a digital mortgage platform for small and medium-sized enterprises, announced on Friday that it has raised $ 1.25 million in the current Pre-Series A round. LetsVenture, AngelList India and Accolade participated in the current round.
It aims to use the funds to build and expand the team, improve the existing technology stack and rapidly increase its assets under management to Rs 75 crore over the next 12 months.
Commenting on the fundraiser, Saurab Nagpal, CEO of LoanKuber, said:
“Funding will enable us to accelerate our mission to provide affordable and transparent mortgage finance to MSMEs, we will strive to achieve our social goals, balancing the growth and profitability required to create a major financial institution focused on results.”
Before this round, LoanKuber amassed a $ 1 million seed round in 2018.
Founded in 2016 by graduates of IIT Delhi. Saurab Nagpal, LoanKuber provides mortgage loans ranging from Rs 3,000 to 10,000 for small and medium enterprises, mid-level professionals and day-to-day business expansion services.
“Today, about 40 percent of the total demand for loans for MSMEs is still served by informal sources of credit. This underserved market offers enormous potential to serve MSME lending institutions such as LoanKuber with innovative business models tailored specifically to the needs and behavior of this segment. “ said Sunita Ramaswami, Early Life President, LetsVenture.
LoanKuber provides individual mortgage loans to low-income MSMEs based on proprietary underwriting algorithms.
The company plans to attract 10,000 MSMEs over the next 12 months as part of its expansion plan.