CredRight, a non-banking financial company that lends to India’s smallest business owners, has raised $10 million in a Series B round led by Abler Nordic, with participation from existing investors Michael & Susan Dell Foundation and Unleash Capital. The investment is Abler Nordic’s first from its new Fund V.
CredRight said it will use the capital to expand its loan book, upgrade its technology platform, and extend its reach across Tier II to Tier IV towns. Abler Nordic will become the company’s largest equity investor and “work with the management to scale operations, strengthen governance, and deepen impact,” according to the company.
“Micro enterprises will play a significant role in India’s journey to a $10 trillion GDP. Access to institutional capital accelerates their growth and resilience. This fundraise, despite industry headwinds, is a testament to CredRight’s business model,” said Neeraj Bansal, co-founder of CredRight.
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Founded in 2016 in Hyderabad by Bansal and co-founder Vineet Jawa, CredRight serves more than 20,000 micro-enterprises, including shopkeepers and traders that are often excluded from formal credit. Other backers include YourNest Venture Capital, 100Unicorns and Accion Venture Lab.
“This first investment from Fund V reflects both our confidence in CredRight’s model and our strong commitment to India as a priority market. By supporting CredRight with patient capital and active ownership, we aim to back a locally-rooted solution that effectively addresses this gap,” said Arthur Sletteberg, Managing Director at Abler Nordic.
“Nano or micro entrepreneurs form the backbone of India’s economy, yet most lack access to fair and flexible capital. CredRight is changing that by blending technology with community reach, helping thousands of small businesses boost income, create jobs and achieve financial security,” said Rakesh Goyal, Head – Financial Services, Michael & Susan Dell Foundation India.
Edited by Jyoti Narayan
