ImpactAlpha, March 6 – Mumbai-based lender SMEcorner has raised 90 crore ($12.8 million) in a round led by global fintech investor Quona Capital. Quona put in 35 crore ($5 million) from its Accion Frontier Inclusion Fund; existing investors, including Accion Venture Lab, invested the balance. The firm also raised an undisclosed amount of debt from financial institutions.
The small business lender specializes in small ticket loans. It has served more than 3000 kirana stores, electrical shops, garment sellers, pharmacies and other retailers in nine cities in three states in India. With its proprietary underwriting model, the firm has reduced the loan approval process to three days, from an average of two weeks at traditional banks.
With the new funding the firm aims to expand to 40 mid-sized cities across India, as well as simply its technology for customers. Accion Venture Lab first invested in the firm in 2015. SMEcorner has raised about 200 crore ($28.5 million) to date.
