StrideOne, a tech-led financial services platform for start-ups, from the founders of India’s award-winning venture debt fund Stride Ventures, has raised INR 250 crores via a mix of equity (led by Elevar Equity) and debt (including top Indian banks). The fast-growing company focuses on providing smartly designed customised financial solutions to MSMEs and supply chain partners of start-ups (anchors). This enables a win-win distribution model that provides access to intelligently customised growth capital for MSMEs and also enables risk efficient penetration into untapped borrower segments for StrideOne’s lending partners.
Elevar Equity invests early-stage capital in entrepreneurs delivering essential products and services to underserved customer segments across India and Latin America. The teams at Elevar and StrideOne found alignment in the unique credit distribution model designed to address the capital demand of start-up supply chains, an MSME segment that remains deeply overlooked and underserved.
In addition to the fundraise, StrideOne has unlocked tremendous growth momentum, becoming profitable within just six months of operations and accumulating an AUM of `200 crore across more than 20 anchor companies.
StrideOne offers an end-to-end digitised experience to its partners and borrowers alike. Within just six months of operations, StrideOne has also acquired EzCred platform - a leading tech firm functional for over five years and used by renowned financial institutions - to bolster its tech interface. There are plans to make more tech-focused acquisitions in 2022.
Ishpreet Singh Gandhi, Founder, StrideOne said, “We at Stride Ventures have been constantly trying to innovate newer and better structures that would be further conducive to start-ups who are looking to expand and grow their businesses. The idea of StrideOne and the mission of empowering MSMEs with smartly designed, tailored credit offerings, is another significant shift in that direction. It has been a supremely gratifying journey for us already and with Elevar’s deep expertise in democratising access to capital for underserved customer segments, we look forward to doubling down on our milestones in FY’23 and beyond.”
Abhinav Suri, Co-Founder, StrideOne, said “We are passionate about helping startups in their growth journeys across life cycles and sectors. Through StrideOne we aim to go deeper into the startup ecosystem and provide financial products and services which help in day-to-day financial management. We have started with credit products for the supply chain and are investing towards building multiple offerings delivered through our technology platform that will be launched over the course of the year.”
Jyotsna Krishnan, Managing Partner, Elevar Equity, added, “We are very selective about the business models and founders we back - in Ishpreet and Abhinav, we found two people who have deep execution experience in financial services, understand the startup ecosystem well, and are very sharp in how they have designed distribution into a massive, underserved market. They have a unique vision and a super-efficient profitable distribution model that lends itself to exponential growth. The accelerated scale displayed by StrideOne reiterates the massive opportunity waiting to be unlocked in the extended startup ecosystem and we are excited to partner with them to bring it to life.”