Seeds Fincap Raises USD 8.5 Mn Led by Lok Capital and Matrix Partners to Boost MSME Lending and Tech Infrastructure The Gurugram-based lender provides secured and unsecured loans to MSMEs ranging from INR 1–5 lakhs in ticket size.
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The Non-Banking Financial Company (NBFC) Seeds Fincap has raised over USD 8.5 million in a Series A round led by Lok Capital and Matrix Partners India (aka Z47).
The funds will enable Seeds Fincap to expand its lending capabilities, enhance its technological infrastructure, and broaden its branch footprint.
Subhash Acharya, Managing Director and Co-founder, Seeds Fincap, said, "MSMEs in India continue to be underserved on credit, often overlooked by incumbent financial institutions. At Seeds Fincap, we've developed a unique credit evaluation framework supported by a tech-enabled sourcing-to-collections process designed to empower enterprises with tailored financial solutions.
"Our partnership with investors, Matrix Partners India and Lok Capital, signifies a shared dedication to unlocking the immense potential within the MSME segment. This funding will not only fuel our expansion efforts but, more importantly, empower the dreams of our clients—the gritty entrepreneurs propelling India's economic engine forward," Acharya added.
Established in 2021 by Subhash Acharya and Avishek Sarkar, Seeds Fincap aims to meet the financial needs of medium and small business owners with tailored credit products.
The Gurugram-based lender provides secured and unsecured loans to MSMEs ranging from INR 1–5 lakhs in ticket size.
The company employs a rigorous credit assessment process to evaluate cash flows and offer right-priced loans, while leveraging technology to monitor risk and lower operating expenses.
With a strong presence in UP, Bihar, Rajasthan, and Haryana, Seeds Fincap has established a network of 90 branches spanning eight states. In less than three years, Seeds Fincap says it has extended its loan book to more than INR 330 crore, served over 50,000 customers, and disbursed over INR 600 crore in loans.
Together with more than 35 lending partners, such as AU Small Finance Bank, Tata Capital, IDFC Bank, Yes Bank, and Vivriti Capital, the NBFC has also established a diverse liability base.
Avishek Sarkar, Co-founder of Seeds Fincap, added, "Our clients range from traders, small kirana shops, owners of micro-manufacturing units, and 9allied service providers, all of whom play a vital role in India's growth story. Most of them have working capital requirements and often struggle to access right-priced and timely credit. At Seeds Fincap, we provide a variety of credit products to meet these needs. Over the last three years, we have developed expertise in assessing their cash flows and underwriting these businesses."
