LoanTap's Bold Move: Fueling MSME Growth with Fresh Capital
June 6, 2025, 9:32 am
Location: Ecuador, Guayas, Puna
Employees: 201-500
Founded date: 2016
Total raised: $20.78M
In the bustling world of fintech, LoanTap has made headlines by securing INR 74 crore in a pre-Series C funding round. This infusion of capital is not just a number; it’s a lifeline for India’s micro, small, and medium enterprises (MSMEs). Led by July Ventures, this funding round also saw participation from notable investors like 3one4 Capital, Avaana Capital, Kae Capital, and the Swapurna Family Office. Additionally, the company raised INR 20 crore through venture debt, amplifying its capacity to support small retailers.
LoanTap is on a mission. The company aims to enhance its supply chain financing operations, a critical area for MSMEs struggling to access credit. With this new capital, LoanTap plans to expand its invoice financing and trade credit solutions. The focus is clear: empower over 4 lakh merchants through its AfterPay network.
Founded in 2016 by Satyam Kumar and Vikas Kumar, LoanTap has evolved into a comprehensive digital lending platform. It offers a range of financial products, from personal loans to business loans, and even loans against mutual funds. The recent acquisition of Unofin, a healthcare-focused fintech, further solidifies its commitment to broadening its reach in various sectors.
The MSME sector in India is a vast ocean, teeming with potential yet plagued by a significant credit gap. Currently, this gap stands at a staggering INR 33.2 lakh crore. LoanTap’s strategy is to bridge this divide through its proprietary LTFLoW platform. This platform is designed to streamline credit access for small businesses, particularly in the grocery and pharmacy sectors.
With over 50,000 retailers already onboarded, LoanTap has disbursed INR 1,000 crore against more than 4.5 lakh invoices. The company’s goal is ambitious: to fund 1 million invoices in the coming year, with average ticket sizes ranging from INR 8,000 to INR 15,000. This is not just about numbers; it’s about transforming lives and businesses.
At the heart of LoanTap’s strategy is the BICRI (Business Indicator for Credit Ratings in India) engine. This tool offers a transparent assessment of creditworthiness, integrating seamlessly with B2B platforms. It enables distributor-led financing, a crucial mechanism for addressing the credit needs of MSMEs. This innovative approach positions LoanTap as a key player in the fintech landscape, capable of tackling the challenges faced by small businesses.
The recent funding round reflects a growing confidence in LoanTap’s technology-first approach. Investors see the potential in its embedded credit model, which aligns with the broader trend of integrating financial services into everyday business operations. This is not just a trend; it’s a revolution in how credit is accessed and utilized.
The fintech landscape is evolving rapidly. Companies like LoanTap are at the forefront, driving change and innovation. They are not just lenders; they are partners in growth. By providing tailored financial solutions, they enable small businesses to thrive in a competitive environment.
As LoanTap gears up to deploy its newly acquired capital, the focus will be on scalability and sustainability. The company aims to create a robust ecosystem where small retailers can flourish. This is about more than just funding; it’s about fostering a culture of entrepreneurship and resilience.
The journey ahead is filled with challenges. The MSME sector is diverse, with varying needs and hurdles. However, LoanTap’s commitment to understanding these nuances sets it apart. By leveraging technology and data, the company can offer personalized solutions that resonate with its clients.
In a world where access to credit can be a daunting task, LoanTap is lighting the way. Its innovative solutions are not just filling a gap; they are reshaping the financial landscape for MSMEs. The company’s vision is clear: to empower small businesses with the tools they need to succeed.
As the fintech sector continues to grow, LoanTap’s role will be pivotal. The company is not just responding to market demands; it is anticipating them. By staying ahead of the curve, LoanTap is positioning itself as a leader in the digital lending space.
In conclusion, LoanTap’s recent funding round is a significant milestone in its journey. It reflects a commitment to innovation, growth, and empowerment. As the company continues to expand its offerings, it remains focused on its mission: to provide seamless credit access to India’s MSMEs. The road ahead is promising, and LoanTap is ready to navigate it with confidence and purpose.
LoanTap is on a mission. The company aims to enhance its supply chain financing operations, a critical area for MSMEs struggling to access credit. With this new capital, LoanTap plans to expand its invoice financing and trade credit solutions. The focus is clear: empower over 4 lakh merchants through its AfterPay network.
Founded in 2016 by Satyam Kumar and Vikas Kumar, LoanTap has evolved into a comprehensive digital lending platform. It offers a range of financial products, from personal loans to business loans, and even loans against mutual funds. The recent acquisition of Unofin, a healthcare-focused fintech, further solidifies its commitment to broadening its reach in various sectors.
The MSME sector in India is a vast ocean, teeming with potential yet plagued by a significant credit gap. Currently, this gap stands at a staggering INR 33.2 lakh crore. LoanTap’s strategy is to bridge this divide through its proprietary LTFLoW platform. This platform is designed to streamline credit access for small businesses, particularly in the grocery and pharmacy sectors.
With over 50,000 retailers already onboarded, LoanTap has disbursed INR 1,000 crore against more than 4.5 lakh invoices. The company’s goal is ambitious: to fund 1 million invoices in the coming year, with average ticket sizes ranging from INR 8,000 to INR 15,000. This is not just about numbers; it’s about transforming lives and businesses.
At the heart of LoanTap’s strategy is the BICRI (Business Indicator for Credit Ratings in India) engine. This tool offers a transparent assessment of creditworthiness, integrating seamlessly with B2B platforms. It enables distributor-led financing, a crucial mechanism for addressing the credit needs of MSMEs. This innovative approach positions LoanTap as a key player in the fintech landscape, capable of tackling the challenges faced by small businesses.
The recent funding round reflects a growing confidence in LoanTap’s technology-first approach. Investors see the potential in its embedded credit model, which aligns with the broader trend of integrating financial services into everyday business operations. This is not just a trend; it’s a revolution in how credit is accessed and utilized.
The fintech landscape is evolving rapidly. Companies like LoanTap are at the forefront, driving change and innovation. They are not just lenders; they are partners in growth. By providing tailored financial solutions, they enable small businesses to thrive in a competitive environment.
As LoanTap gears up to deploy its newly acquired capital, the focus will be on scalability and sustainability. The company aims to create a robust ecosystem where small retailers can flourish. This is about more than just funding; it’s about fostering a culture of entrepreneurship and resilience.
The journey ahead is filled with challenges. The MSME sector is diverse, with varying needs and hurdles. However, LoanTap’s commitment to understanding these nuances sets it apart. By leveraging technology and data, the company can offer personalized solutions that resonate with its clients.
In a world where access to credit can be a daunting task, LoanTap is lighting the way. Its innovative solutions are not just filling a gap; they are reshaping the financial landscape for MSMEs. The company’s vision is clear: to empower small businesses with the tools they need to succeed.
As the fintech sector continues to grow, LoanTap’s role will be pivotal. The company is not just responding to market demands; it is anticipating them. By staying ahead of the curve, LoanTap is positioning itself as a leader in the digital lending space.
In conclusion, LoanTap’s recent funding round is a significant milestone in its journey. It reflects a commitment to innovation, growth, and empowerment. As the company continues to expand its offerings, it remains focused on its mission: to provide seamless credit access to India’s MSMEs. The road ahead is promising, and LoanTap is ready to navigate it with confidence and purpose.