InCred posts 55% YoY growth in loan book to reach Rs 8000 cr in Dec’23; business loan AUM up 80% YoY in FY24

InCred Financial Services Limited (InCred Finance), a diversified NBFC in India that recently achieved Unicorn status, has been posting healthy growth across its verticals of consumer loans, education loans and business loans with a 55 per cent growth in its loan book that reached Rs 8,000 crore in December 2023.

The company’s Digital Business Loans vertical has specifically made its mark in catering to the needs of early-stage businesses, providing them with quick and timely access to capital. “With India boasting the world’s third-largest startup ecosystem which continues to grow rapidly, InCred has played a significant role in promoting this ecosystem by financing nearly 600 of these early-stage companies in the previous year. Interestingly, more than 30 of these companies have been featured on the very popular TV show ‘Shark Tank India’,” the company said in a statement.

InCred focuses on bridging the funding gap for early and mid-stage startups by providing tailor made debt financing solutions for high-growth companies and democratizing access to capital for founders, thereby creating a new era of startup-funding in India.

InCred Finance has supported 750+ new age startups in the D2C and SAAS businesses space. InCred’s Business Loan AUM has grown at a rate of 80 per cent YoY in FY24 and the firm plans to further increase its momentum over the next 12 months and is looking to finance over 1,000 D2C and SAAS businesses by providing short-term and long-term business loans.

Per the details shared by the company, over 70 per cent of InCred Finance’s digital business lending borrowers have reported a minimum 50 per cent growth in revenues after financing from InCred Finance, with 40 per cent achieving 100 per cent top line growth. It further stated that 25 per cent of these borrowers have gone on to successfully raise equity, further propelling their expansion. Also, 30 per cent of these businesses, InCred Finance said, have at least one woman co-founder/ director and 26 per cent have at least one young entrepreneur under 30 years old.

Nishith Maheshwari, Head- Digital Business Loans, InCred Finance, said, “We are thrilled to reach this milestone, affirming our steadfast commitment to empower India’s early-stage businesses, D2C Brands, SAAS companies, amongst others. Digitization and automation enhance the process efficiency and ensure quick disbursals for the borrowers, while alternative data sources help us predict revenue growth, repeat orders, etc., thus helping us better underwrite new age companies and provide them with more customized debt financing solutions. Various new-age brands can now solve their working capital needs without equity dilution.”