Finzy, a peer to peer (P2P) lending platform, announced that it received a first round of pre Series A funding worth $1.3 million from investors in the lending industry. The next round of this Series A funding is projected to complete with additional investments from a pre-selected group of investors in the coming 2 months.
The capital raised from the funding will serve the purpose of improving technology, simplifying and facilitating the process of lending money and building a good team for the company. However, it has been pre-decided that a major chunk of the funding will be used to expand the reach of the company especially in Tier 1 cities as Finzy is looking to provide its services to a larger client base.
Finzy is an online lending platform that specializes in providing easy, secure and quick process to those it lends assets to while charging at personalized rate of interest. The firm assists its borrowers by connecting their clients with investors. They also provide automated EMI collection and transfer. The company was founded in 2016 by Amit More who dreamt of revolutionizing the lending industry as he was himself a banker. He was passionate about the alternative financing industry, SME and consumer lending in particular.
“Our investors firmly believe in the team, our product positioning and scalability of solution that we offer to our lenders and borrowers. We have maintained a very focused customer centric approach while designing our products and processes, as a result in our first 10 months of operations we do not have a single default in any borrower EMI,” said Amit More, CEO and founder, Finzy.
Finzy was the first to apply for a P2P license as a Non-Banking Financial Company (NBFC) in late 2017 after the Reserve Bank of India (RBI) issued its master directions on the P2P lending sector.
“We are investing in newer technologies to scale the business and enhance customer experience. Our customers love us for the transparency and simplicity. We offer our borrowers complete flexibility of prepayments without any additional charges. We provide consistent 16 percent plus return to our lenders from their investment spread across granular loans,” said Abhinandan Sangam, co-founder and CTO, Finzy.