Noida-based fintech startup FinAGG Technologies, on Tuesday said it has secured pre-Series A funding of $3 million (around Rs 23 crore) led by venture capital firm BLinC Invest, with participation from existing investor Prime Venture Partners.
The firm plans to deploy the fresh proceeds to roll out new products, strengthen lending ties and invest in technology.
Founded by Nipun Kohli and Srinivasan R in 2020, FinAGG Technologies is a supply chain firm focused on offering credit solutions to distributors, retailers and MSMEs through its proprietary platform Quick Cash Flow.
“We are geared to set out on the next chapter of our journey with BLinC Invest. We hope to take advantage of their combined experience and unique partnership led philosophy to create fintech products that will fill the many gaps in MSME financing today and cater to the companies that comprise the backbone of the Indian economy,” said Nipun Kohli, Co-Founder and CEO of FinAGG.
“FinAGG team have a strong pedigree and are well poised to create unique financing solutions for the ecosystem at large. FinAGG’s world class technology with deep anchor integration will enable the MSME to obtain working capital cash flow at the click of a button. We are also excited to join Prime Venture in this journey,” said Amit Ratanpal, Founder and managing director, BLinC Invest.
BLinC was founded in 2014. Its proprietary fund invested in education loan startup Eduvanz Financing, equity crowdfunding platform 1Crowd and edtech startups Imarticus and GenNext Students. In May, BLinC announced the final close of its Fund II at Rs 100 crore. The Mumbai-based firm aims to make 5-7 investments across edtech and fintech startups, with an average cheque size of Rs 10-20 crore.
Fintech startups have been attracting both early stage and growth funding in recent weeks despite the liquidity squeeze in the market.
According to a report by angel platform Connexdoor, fintech startups have raised $3.4 billion in funding as of July 2022 with 191 recorded deals. Some of the larger deals include CredAvenue, Pine Labs, Ozyzo who have raised over $100 million in the first quarter of 2021.