InCred Financial Services, a fintech company that offers loans to individuals and businesses, has achieved the coveted unicorn status after raising $80 million in a Series E round of funding. The round was led by a global private equity fund and saw participation from corporate treasuries, family offices, and ultra-high net worth individuals (UHNIs).
InCred’s growth story and vision
InCred, which was founded in 2016 by former Deutsche Bank executive Bhupinder Singh, has grown rapidly in the past few years, expanding its product portfolio, customer base, and geographic presence. The company offers personal loans, education loans, home loans, business loans, and healthcare loans, catering to the underserved segments of the market.
The company claims to have disbursed over Rs 10,000 crore of loans to more than 10 lakh customers across 25 states in India. It also claims to have a low non-performing asset (NPA) ratio of less than 1%, thanks to its data-driven underwriting and risk management processes.
InCred’s vision is to become a full-stack digital financial services platform that can offer a range of products and services to its customers, such as insurance, wealth management, payments, and credit cards. The company also plans to leverage its technology and data capabilities to partner with banks, NBFCs, and fintech players to create innovative solutions for the Indian market.
How the new funds will be used
The new funds will be used by InCred to fuel its growth plans, invest in technology and innovation, and strengthen its balance sheet. The company will also use the funds to explore new opportunities in the fintech space, such as acquisitions, strategic partnerships, and international expansion.
The company has already made four acquisitions in the past year, namely Qbera (a digital lending platform), LendenClub (a peer-to-peer lending platform), FintechLabs (a software-as-a-service provider for lenders), and Kudos Finance (a micro-enterprise lender).
The company also has a presence in Dubai, where it offers personal loans to non-resident Indians (NRIs). The company aims to enter other markets in the Middle East and Southeast Asia in the future.
What the investors and founders have to say
The investors who participated in the Series E round expressed their confidence in InCred’s business model, team, and vision. They said that InCred has demonstrated strong growth, profitability, and scalability in a challenging environment. They also praised InCred’s ability to leverage technology and data to create value for its customers and partners.
The founder and CEO of InCred, Bhupinder Singh, said that the company is delighted to join the unicorn club and thanked the investors for their support and trust. He said that the company is on a mission to make credit accessible and affordable for millions of Indians who are underserved by the traditional financial system. He also said that the company will continue to innovate and collaborate with the fintech ecosystem to create a positive impact on the society and the economy.
With this funding round, InCred has become the second unicorn in the fintech space in 2023, after Zepto, a neobank that raised $100 million in a Series B round in January. InCred is also the 44th unicorn in India in 2023, joining the likes of MamaEarth, GreyOrange, VideoVerse, and BharatPe.