Revenue-based financing platform, GetVantage Tech Pvt. Ltd said on Thursday it has raised $36 million (around Rs 277 crore) in a growth round led by Varanium Nexgen Fintech Fund and DMI Sparkle Fund.
The round also saw participation from existing investors Chiratae Ventures and Dream Incubator Japan, with Sony Innovation Fund, Incred Capital and Haldiram’s family office.
Combined with the $5 million seed round announced in 2020, this brings GetVantage’s total funding raising to over $40 million so far, including multiple debt lines with leading NBFC (non-banking financial company) partners to scale its all-in-one finance and growth platform.
As part of the transaction, Aparajit Bhandarkar, partner at Varanium Capital, will join GetVantage’s board of directors.
The fresh capital will be used to scale its product offerings, enhance technology infrastructure, scale its product suite to meet the needs of digital businesses, expand its portfolio of B2B SaaS (software-as-a-service) and subscription-driven businesses, it said in a statement.
“We’re seeing thousands of new businesses and homegrown brands eager to scale up and we are excited to work with incredible investors and funding partners like DMI Finance and Incred to provide founder-friendly capital to supercharge growth for over 1,000+ businesses in the next year,” Bhavik Vasa, Founder and Chief Executive Officer, GetVantage.
Revenue-based financing (RBF) is an alternative investment model wherein a company raises capital from an investor based on a data-driven projection of its future revenues. RBF is non-equity financing, meaning the model doesn’t require founders to dilute equity and/or control in their business.
Neither does it ask founders to put up collateral or personal guarantees. The investor recovers the amount invested as a share of the business's future revenues. That amount typically includes the principal amount plus a flat fee.
GetVantage was founded by Bhavik Vasa, who was a former chief growth officer of the financial services firm EbixCash. The company is a revenue-based financing platform that provides growth capital to digital brands without founders having to dilute equity.
GetVantage offers loans in the range of $10,000-$500,000. In 2021, GetVantage claims to have witnessed 300% year-on-year (YoY) growth and helped brands achieve 1.8X revenue growth post-funding on average, it said without divulging into specifics.
GetVantage, through its revenue-based financing marketplace, has funded over $270 million in gross merchandise value for over 350 brands across 18 categories, ranging from B2B SaaS and subscription businesses, D2C, ecommerce, edtech, healthtech, cloud kitchens, and nutrition, among others.
The company has invested in firms like Arata, Boldcare, Eat Better, Jade Forest, Naagin, Nua Wellness, Rage Coffee, Sid Farms, Zymrat, among others.