In an attempts to strengthen its supply chain financing offering, Mumbai-based startup FlexiLoans acquires CreditPeriod for an undisclosed amount. Post the transaction, Venkatesh Viswanathan, co-founder at CreditPeriod will join the FlexiLoans team and be responsible for management of the supply chain finance initiatives.
CreditPeriod was co-founded by Venkatesh Viswanathan, Ajinkya Kulkarni and Abhik Patel in 2015. Initially, the company was running as a B2B e-commerce platform catering to the raw material procurement needs of SMEs. Later, the company was pivoted into a FinTech startup, which enables SME buyers to procure goods or services on credit while ensuring the sellers get their money upfront, thereby eliminating credit risk and enabling instant liquidity.
Commenting on the acquisition, Abhishek Kothari, co-founder, FlexiLoans said “This acquisition will enable us to underwrite loans using real-time ERP integrations with SMEs to solve the credit trust problem, thereby helping SMEs procure goods/services at significantly cheaper costs. The acquisition gives us access to technology that is custom built for supply chain financing”
FlexiLoans, The Mumbai-based startup was founded by four Indian School of Business alumni, Ritesh Jain, the ex-CFO at Housing.com; Deepak Jain, an ex-investment banker at Axis Capital; Manish Lunia, the former executive at Aditya Birla Group and Abhishek Kothari, an ex-VP of Fractal Analytics. The company offers working capital to the unserved or underserved SME’s across the country.
In October last year, FlexiLoans raised about 100 crores from Sanjay Nayar, CEO of KKR India; Vikram Sud, former Head of Operations and Technology at Citibank; Anil Jaggia, Chief Investment Officer at HDFC Bank; and Narayan Seshadri, former MD at KPMG’s advisory business.