AI-led fintech startup AbleCredit is in talks to raise $5 Mn in its Series A funding round, sources told Inc42.
The funding round will be led by a top Indian VC firm, the sources said, adding that existing investors Merak Venture and Venture Catalysts will also participate in the Series A round.
“They are in active discussions with a couple of tier I investors and a major strategic investor to participate in the round,” one of the sources said, without disclosing the names of the potential investors.
The startup will use the fresh funds to further improve its credit underwriting model, the sources added.
A detailed questionnaire sent to AbleCredit didn’t elicit any response till the time of publishing the story.
Founded by Utkarsh Apoorva, Harshad Saykhedkar, Ashwini Prabhu and Anubhab Bandyopadhyay in 2023, AbleCredit provides an AI copilot for lending workflows.
Bandyopadhyay left the startup in November last year, as per his LinkedIn profile.
AbleCredit last raised $1.25 Mn in its seed funding round in May 2024. The round was led by Merak Ventures, and saw participation from Venture Catalysts and Helios Holding.
The startup claims to provide credit appraisal memos for each loan case based on a financial institution’s policies, thereby streamlining the lending process.
It also helps teams conduct cashflow verification, personalise loan terms, analyse collateral documents, automate rules and deviations, and more. Besides the credit team, AbleCredit claims that its products can also be used by sales and risk teams of financial institutions.
Currently, the startup is also piloting AbleCash – a platform for MSME owners to help them make financial decisions. Going ahead, AbleCredit plans to add new products and features to AbleCash.
The development comes at a time when the use of AI is on the rise in the BFSI (banking, financial services and insurance) sector.
Fintechs such as Lendingkart, RING (erstwhile Kissht), KreditBee, among others, are also leveraging AI and ML and data analytics to disburse loans and check creditworthiness.
In a survey conducted by Inc42 last year, 57% of the 50 VCs said fintech-focussed vertical GenAI solutions was their top interest area. Arya.ai, OnFinance, Rezolv are among the key Indian startups providing vertical solutions for the fintech and financial services sector.
The post Exclusive: AI-Led Fintech Startup AbleCredit In Talks To Raise $5 Mn appeared first on Inc42 Media.
Original Article
(Disclaimer – This post is auto-fetched from publicly available RSS feeds. Original source: Inc42. All rights belong to the respective publisher.)
