FlexiLoans.com, a digital lending platform focused on providing capital to India's underserved micro, small, and medium enterprises (MSMEs), has raised $34.5 million (Rs 290 crore) in its Series C funding round. This round was led by prominent global and domestic investors, including Accion, Nuveen, Fundamentum, and existing investor Maj Invest.

The fresh infusion of capital will be used to expand FlexiLoans' operations, enhance product offerings, and bolster its technological infrastructure. The company aims to continue its mission of driving financial inclusion for MSMEs across India, especially in underserved areas such as tier 2 and tier 3 cities. By leveraging advanced technology and alternative data sources, FlexiLoans provides loans to businesses that typically lack conventional credit histories and have limited access to traditional financial institutions.

Founded in 2016 by Deepak Jain, Ritesh Jain, and Manish Lunia, FlexiLoans has developed a fully digital platform that enables small business owners to access loans in as little as 48 hours. The company has formed strategic partnerships with e-commerce platforms, payment tech companies, and other merchant ecosystems, significantly expanding its reach and improving its ability to assess and underwrite risk. This digital-first approach has helped democratize access to financial resources for millions of micro-entrepreneurs.

Deepak Jain, Co-Founder of FlexiLoans, expressed excitement about the funding round, stating, “We are pleased to have secured Rs 290 crore in our Series C round from such global blue-chip private equity funds who resonate with our vision to empower MSMEs across India. With this capital, we will further our mission of driving financial inclusion, expanding our reach, and enabling more underserved MSME businesses to access the funds they need to grow and succeed”.

India’s MSME sector, which contributes approximately 30% to the country's GDP, remains significantly underserved, with less than 10% of MSMEs having access to loans from traditional financial institutions. FlexiLoans aims to address this gap by focusing on regions where access to finance is limited, driving economic growth and unlocking new opportunities for small businesses.

To date, FlexiLoans has disbursed over Rs 7,000 crore in loans across more than 2,100 towns and cities, with an assets under management (AUM) of over Rs 2,000 crore.

Nethra Bhat, Partner at Accion Digital Transformation, praised FlexiLoans’ approach, saying, “FlexiLoans is connecting MSMEs across India to working capital so they can better serve their customers. They understand the Indian digital MSME space and their customer’s needs and have a strong tech platform. We’re excited to lead this round of equity investment to support their growth”.

This funding round marks a significant step forward for FlexiLoans as it continues to bridge the financing gap in India's SME sector, further strengthening its position in the digital lending space.