Consumer Credit Startup BharatX Raises $4.5 Million from YC, others

The funds will be used to build and expand the team, enhance and develop the product further and for market expansion

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Consumer credit startup BharatX has raised $4.5 million in a seed round from Y Combinator, 8i Ventures, Multiply Ventures, Soma Capital and other investors to enable embedded credit in the Indian market. Existing investor Java Capital also participated in the round. The round also saw participation from many marquee Angels including Arash Ferdowsi, co-founder, Dropbox, Harshil Mathur, CEO & co-Founder, Razorpay, Shashank Kumar, founder, Razorpay, Varun Alagh, co-founder & CEO, Mamaearth, Kunal Shah, founder and CEO, CRED, among others. 

Company Handout

BharatX, a consumer credit venture, provides embedded credit by partnering with brands and websites to provide a credit feature in their apps to serve customers. It operates white-labeled Buy Now Pay Later and other credit products on more than 50 consumer-facing platforms via its APIs and SDK. It aims to deliver seamless embedded credit experiences on several consumer-facing platforms across India, with zero credit risk and zero operational hurdles for the brands it partners with.

BharatX was founded in 2019 by Mehul Nath Jindal, Eeshan Sharma, and Shyam Murugan and has been working with 50+ brands in India.

“Consumers of India deserve a better class of Credit products out there. Today, if you look at the landscape, most players have low Credit Eligibility approval rates, long documentation sign-up processes and unethical collection practices. We want to give the Middle Class of India easy access to credit products that they deserve yet are not able to access today, while setting the bar for world-class UX and customer service while doing so," said Mehul Jindal, co-founder and CEO, BharatX. 

The funds raised will be used to build and expand the team, enhance and develop the product further and for market expansion. The startup aims to increase the credit stack on offer by launching new product verticals such as UPI credit, pay in 3 and 15/30 day cycle products like credit cards.

“We committed to invest in the seed round of BharatX within our first meeting with the founders. It's rare to find this combination of clarity of vision and flawless execution at such an early stage of a venture. Mehul and his co-founders are carving out a whole new white label BNPL category for India's brands. We are delighted to partner with them as they pursue their audacious vision of building India's largest BNPL platform,” said Vikram Chachra, Founding Partner, 8i Ventures.