Arthan Finance, an NBFC focused on loans for self-employed nano and micro entrepreneurs, has secured Rs 50 crore in Series B funding from Incofin India Progress Fund and the Michael & Susan Dell Foundation.
The company said it will use the funding to grow its assets under management, expand its geographic footprint, and invest in AI and ML-based underwriting systems.
“This funding is crucial for our next phase of growth. We are committed to enhancing our technological capabilities and expanding our reach to serve more micro and small enterprises in underserved regions. Our partnership with esteemed investors such as Incofin and the Michael & Susan Dell Foundation reinforces our mission to drive financial inclusion in India,” Kunal Mehta, Founder and Director of Arthan Finance, said in a statement.
Arthan Finance operates in Maharashtra, Odisha, Andhra Pradesh, and Telangana, providing growth capital to self-employed nano and micro enterprises in small towns. The company has disbursed over Rs 500 crore to more than 20,000 borrowers, with loan amounts ranging from Rs 2,000 to Rs 20 lakh.
Its AI and ML-based underwriting ensures efficient risk discovery and loan disbursement, catering to an acutely underbanked population of more than 11 million nano enterprises with an estimated credit demand of more than $25 billion. The small businesses that Arthan is empowering represent a big opportunity for the future of India,” Geeta Goel, India Country Director, Michael & Susan Dell Foundation, added.
Edited by Megha Reddy
