Get All Access for $5/mo

Eduvanz Raises $10 Mn In Debt Funding From Vivriti Capital, Others The company grew fourfold in customer base and threefold in monthly disbursal of loans

By Prabhjeet Bhatla

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Unsplash

Fintech non-banking finance company (NBFC) Eduvanz enables students to study-now-pay-later at zero per cent interest rates on Tuesday announced to have raised $10 million in debt funding from multiple financial institutions including InCred Financial Services, Vivriti Capital, and Northern Arc Capital.

The platform aims at changing the way India pays for education by enabling learners to apply for low-cost loans via its digital platform.

"During the pandemic, we have found that learners in India focused on learning and upskilling themselves. We are moving towards becoming a leader in the financing-lending market for education. The debt we have raised further strengthens our position and will help us reach out to many more who are looking to fund their education," said Varun Chopra, chief executive officer, and co-founder, Eduvanz.

It has already enabled more than 25,000 learners and has disbursed loans worth INR 300 crore. During the period of April-December 2020 when the pandemic hit the unique customer base of the company grew by four times and monthly disbursal of loans grew up three times, the statement said.

"As a technology-enabled debt platform, we are glad to associate with Eduvanz. We are aligned with Eduvanz in the belief that access to credit is a critical ingredient for development. We appreciate the company's effort to help the youth of the county by providing access to finance and counseling," shared Irfan Mohammed, CBO, Vivriti Capital.

They use proprietary artificial intelligence (AI) based algorithms and predictive analytics to provide loans based on the future employability of learners. Using the mobile app, end-to-end processing from Loan Application to Credit Assessment to Disbursal happens completely online in a matter of a few hours.

"Eduvanz has created a niche business model that supports skill development and employment. The company plays a crucial role in helping interested students secure funding, impacting their lives and livelihoods positively. We are excited to partner with such an institution that addresses a large untapped market and simultaneously creates a lasting impact," added Bama Balakrishnan, COO, Northern Arc Capital.

They have a presence across 20 states, over 240 cities, and cover over 25 skill industries.

The company co-founded in 2016 by IIT Madras alumni Varun Chopra, and IIM Ahmedabad alumni Raheel Shah, with the mission to make education accessible had raised $5 million in Series A funding from Sequoia and Unitus Ventures in August last year.

Prabhjeet Bhatla

Former Staff

Business News

Y Combinator Helped Launch Reddit, Airbnb and Dropbox. Here's What I Learned From Its Free Startup School.

The famed startup accelerator offers a free course on building a business — and answers five pressing questions for founders.

Business News

New Southwest Airlines Major Investor Wants to Force Out CEO, Slams Company's 'Stubborn Unwillingness to Evolve'

Elliot Investment Management announced a $1.9 billion stake in the Dallas-based Southwest Airlines on Monday and is urging shareholders to vote for new leadership.

Science & Technology

Why We Shouldn't Fear AI in Education (and How to Use It Effectively)

Facing resistance to new technologies in the educational process is nothing new, and AI is no exception. Yet, this powerful tool is set to overcome these challenges and revolutionize education, preparing students and professionals for a future of unparalleled efficiency and personalized learning.

Business News

A Former Corporate Lawyer Now Makes Six Figures on YouTube — Here's How She Does It

Here are the secrets to starting and growing a successful YouTube channel, according to a YouTuber with millions of subscribers.

Business News

Apple's AI Has a Catch — And It Could Help Boost Sales

Not every iPhone owner will get to use the new Apple Intelligence.