KredX raises $6.25 million from Sequoia India, Prime Venture Partners
- Delhi HC reserves order on PSC extension between Cairn India and ONGC for Barmer block
- Hike’s Total app: Everything you need to know
- Star India is not chasing profits from the upcoming IPL season
- Hyderabad University bars media entry on Rohith Vemula’s death anniversary
- HP launches 3D printers in India for Rs2.5 crore
New Delhi: KredX, run by Minions Ventures Pvt. Ltd, a start-up that helps small businesses raise working capital by connecting them to individual investors, has secured $6.25 million in a series A funding round led by Sequoia India, with participation from its existing investor Prime Venture Partners.
The capital would be utilised to strengthen technology, data and sales functions within the country, the company said in a statement.
Founded in 2015 by Indian Institute of Technology (IIT) and Stanford alumni Manish Kumar, Anurag Jain and Puneet Agarwal, KredX helps businesses meet their short-term working capital needs by discounting their unpaid invoices (raised against blue-chip companies) to a network of buyers/financiers, including banks, non-financial banking companies, wealth managers and retail investors.
Bangalore-based KredX helps micro, small and medium enterprises (MSMEs) maintain their cash flow by unlocking the cash tied up in invoices that otherwise take 30-90 days to be cleared. It offers financiers access to risk mitigated, high yield and short-term investment opportunities that are not tied to the uncertainties of the stock market.
“We aim to connect financiers and businesses in a mutually beneficial manner by helping MSMEs unlock the value of their invoices and boost cash flow, while providing an investment opportunity for financiers to channelize their funds optimally,” said Anurag Jain, co-founder of KredX.
In April this year, KredX raised $750,000 from seed fund Prime Venture Partners, which usually follows a pattern of close to six investments a year.