Flexmoney, a full-lifecycle digital credit network platform for lenders and merchants to offer frictionless, secure checkout finance, has raised $4.8 million in its Series A funding, the company said in a statement. The round was led by Pravega Ventures and saw participation from Silicon Valley-based Z5 Capital.
The round also saw participation from several individual investors.
“Flexmoney’s vision is to Simplify and Democratize Consumer Credit, by enabling trusted banks and NBFCs to easily offer branded, ‘sachet-sized’, ‘cardless’, digital credit lines to their customers, as well as address customer segments that are otherwise unviable to service via legacy bank offerings such as credit cards or personal loans,” as per the statement.
InstaCredTM, Flexmoney’s EMI, and BNPL (buy now pay later) digital credit infrastructure enables any bank or NBFC to quickly offer branded, instant, ‘Cardless’ point-of-sale credit across Flexmoney’s partner network of over 3,800 online merchants, including a majority of the leading e-commerce merchants and brands in the country, the company said.
“Flexmoney’s digital credit platform provides a seamless and secure ‘plug and play’ proposition for trusted lenders and merchants to offer the widest set of options for frictionless, secure, instant checkout finance to their customers and is transforming their purchase experience. With this funding, we are one step closer to achieving our vision of Simplifying and Democratising Consumer Credit in India,” said Yezdi Lashkari, founder and CEO of Flexmoney Technologies.
Flexmoney aims to use the funds to scale its credit network footprint to many more lenders and merchants, as well as launch multiple additional products and consolidate its position as the leading digital credit and BNPL infrastructure in India. It had previously raised seed funding from multiple global and domestic angel investors.
“Traditional credit instruments have failed to create a significant impression in the Indian market with credit card penetration standing only at 3% v/s 42% in China. Flexmoney’s InstaCred BNPL credit platform is leveraging technology to democratize credit access by enabling consumers and small businesses to instantly avail short-term digital credit at the point of purchase, without the need for credit cards or robust credit history. We are extremely impressed with the network that Flexmoney has built in a short span and are excited to participate in their mission to revolutionize the Indian credit landscape,” said a spokesperson for Pravega Ventures.
“Buy Now, Pay Later” platform in India, and the need and potential for this internet credit infrastructure spans across even more global markets. We’re proud and excited to partner with Flexmoney to scale up and revolutionize the credit ecosystem in India and across the globe,” said Nanda Krish, General Partner at Z5 Capital.
This article was first published on livemint.com