Online lending platform ZipLoan has raised Rs 20 crore in an equity fund raise, from Matrix Partners and existing investors Waterbridge Ventures and Whiteboard Capital, reports The Economic Times. The company will reportedly use the money to enhance technology and its area of operations. The company is operational in Delhi and Indore currently, and is planning to expand to other tier-II cities over the next one year and build a Rs 200-crore loan book by that time, according to the publication.
The company had previously raised Rs 4.2 crore in pre-Series A funding round in June from WaterBridge Ventures. The startup was setup in September 2015 by Kshitij Puri and Shalabh Singhal toaddress funding needs of small businesses, and raised funding from angel investor Sarbvir Singh, in January 2016. In May last year, ZipLoan received RBI approval to commence business, followed by seed round of finding led by growX, with participation from Angel Investors like Sunil Kalra, Badal Malick and Arun Venkatachalam in August. The company claims on it website that it disbursed loans of INR 1 Cr as on Novemeber 2016. In March this year, ZipLoan tied-up with IDFC Bank as a Co-Lending partner for MSE loans.
A lot of technology platform has joined the lending space off lately. Ziploan competes with the likes of LendingKart, MoneyTap, LoanMeet amongst others. Also note that lending companies are commonly raising debt funding to replenish their loan books. Recently, CASHe, an app-only lending platform has secured debt funding of $3 million (Rs 20 crore) from IFMR Capital. While Ziploan has raised equity funding, it may raise debt funding to meet its target of Rs 200-crore book.