Delhi-based LivFin India Private Limited has raised US$ two million venture debt from BlackSoil, a NBFC and provider in the credit space.
Livfin,operational since January 2018, the Delhi-based fintech NBFC provides supply chain finance to mid-to-large corporates by setting up programs to lend to their suppliers/vendors and distributors/dealers/retailers through an ‘Anchor’-based financing model.
LivFin is backed by SAR Group promoters (a conglomerate established in 1988) and has attracted investments from German DFI – DEG. It has disbursed US$ 285+ million till date and there have been no write-offs as per them. The company has partnered with 15+ anchors and 200+ end borrowers.
Rahul Chander, LivFin CEO said, “We are delighted to partner with BlackSoil who have validated our processes that leverage technology to distribute credit and look forward to strengthening our relationship further with the years to come.”
The company has raised US$ 35+ million in debt from more than 15 lenders till date. According to an official statement, the startup NBFC plans to disburse US$ 85+ million in the financial year 2022-23.
“We are thoroughly impressed with LivFin’s end-to-end tech-enabled underwriting and collection processes supplemented with a unique Anchor-based business model and look forward to supporting them in growing their portfolio,” stated Ankur Bansal, Co-Founder, BlackSoil.
At present, the value of supply chain finance in India is INR 60,000 crore which is less than 10 per cent of the addressable market. The total market size is expected to be INR 18 lakh crore based on the value of invoices raised by the supplier. Livfin is targeting to seize this market opportunity.