Mumbai headquartered Mintifi raises $2 million (Rs 13 crore) in a seed funding round led by VC firm Lok Capital. Apart from Lok Capital, no other VC firms or individual investors participated in this round.
As per the information filed with the Registrar of Companies, the funding round was concluded barely few months. Both Mintifi and Lok Capital refused to comment on the news report.
Founded by Anup Agarwal last year, Mintifi is today one of the several Fintech startups that is working in the area of providing easy loans/credits to SME’s. The startup offers loans in the range of Rs 5 Lakhs to 25 lakhs in the lieu of bare minimum documentation and hassles. All that the potential credit borrower has to do is upload the necessary documents and await for approval that takes barely few minutes.
With small and medium companies still finding it difficult to secure credit from big banks, Fintech startups like Mintifi are looking to address these loan starved companies. In fact, the SME loan market is so huge that over the year’s scores of Fintech startups have popped up to solely address this untapped market.
Aiding these startups in quick loan disbursal process is the unprecedented growth in technology during recent years. While the proliferation of internet and smartphone has certainly helped, the emergence of breakthrough technologies like artificial intelligence and machine learning has equally made things immensely easy for Fintech startups.
However, over the few years the competition in Fintech space has become so intense that it is pretty evident that not everyone with able to survive. Industry experts claim that only those startups will be able to survive that not only perfectly adapt new technologies but also keep a tab on their NPA’s (non-performing assets).