Lendingkart, an online platform for lending to small businesses and entrepreneurs, has raised debt funding worth Rs 50 crore from Yes Bank Ltd. The company said that this is the first step towards eventually shifting from non-banking financial companies (NBFCs), who provide loans at a higher rate, to banks. According to this Livemint report, the company had previously raised an undisclosed amount in debt from DCB Bank Ltd, though it doesn't specify when this deal took place. It's worth noting that digital money remittance service MoneyOnMobile’s Indian subsidiary, My Mobile Payments Limited (MMPL) had secured $1.5 million in unsecured credit from YES Bank, in December last year. In June last year, Lendingkart had raised Rs 205 crore ($32 million) in a series B round of funding led by Bertelsmann India Investments (BII) and Darrin Capital Management, with participation from existing investors Mayfield India, Saama Capital and India Quotient. Of this, $20 million was raised through equity sale and remaining $12 million through debt financing. Lendingkart provides loans ranging from Rs 1 lakh to Rs 40 lakh on its platform and claims that they are sanctioned in a day and disbursed in three days. The loans are provided at an interest rate of 16-24%. It adds that it requires minimum documentation, especially for e-commerce vendors, and businesses and sellers are not required to provide collateral or net worth details. The company claims it has signed off on over 11,000 loans to more than 7500 SMEs till date. Lendingkart has tie-ups with CCAvenue, Paytm, Craftsvilla…
