Mumbai-based consumer lending startup Kissht has raised $2 Mn from early-stage venture capital firm Endiya Partners and Ventureast. Furthermore, the company is also in the process of raising the Series-B round of investment. Previously, the company had also raised angel funding so the total funds raised by the company stands at $2.7 million.
Commenting on the release of funding, Sateesh Andra, MD, Endiya Partners said, “We have a large population, a decent number of smartphones, and bank accounts. However, while we have about 600 Mn debit cards, credit cards are only about 30 Mn in India, which is a huge gap underlining the opportunity for consumer lending companies.”
Founded by Krishnan Vishwanathan in 2015, Kissht runs through the web and mobile app, offers collateral-free loans to users for purchasing mobiles, laptops, jewelry, and electronic goods. Users can avail this facility during the checkout by linking his/her Aadhar number, an OTP will be sent to the linked mobile number for the validation. They can avail flexible return tenures of up to 60 months to repay loans in installments at a fixed Interest rate.
Besides this, the company also provides cash loans that can be used for house renovation, holidays, purchase of consumer durables, education, short-term loan for equipment purchase, short-term working capital, etc.
In July 2015, Kissht began piloting its service by keeping an inventory of products, like smartphones, that consumers would quickly buy and apply for finance. Companies like Caratlane.com and Edupristine signed up with Kissht to deliver services and let users apply for loans to avail services.
By the end of 2016, the app had 78,000 downloads by users looking to buy services through these collateral-free loans. The company says that 19 percent of the app users were repeat customers.
“Going forward, we will be a data and analytics company enabling consumers to get loans from banks and NBFCs working with us as lending partners,” Krishnan Vishwanathan, CEO of Kissht said.
Earlier this month, FinTech Startup MoneyTap has raised $12.3 million in its Series A round of funding led by Sequoia India along with existing investors New Enterprise Associates (NEA) and Prime Venture Partners.