Mumbai, May 2025 Saarathi Finance and Credit Private Limited, a newly licensed Greenfield Non-Banking Financial Company (NBFC) focused on empowering India's micro, small, and medium enterprises (MSMEs), has successfully closed its inaugural funding round, raising a total of ₹475 crores in equity capital. The Series A round values Saarathi Finance at over ₹900 crores.
The round was co-led by marquee institutional investors TVS Capital Funds, Lok Capital, Evolvence Equity Partners, and Paragon Partners along with prominent angel investors, collectively contributing approximately ₹350 crores. The remaining capital was infused by Vivek Bansal, Founder & CEO, and Sunil Daga, Co-Founder, reflecting their deep personal commitment to the venture.
The fresh capital will be deployed to expand Saarathi Finance's lending operations across six states Tamil Nadu, Telangana, Andhra Pradesh, Karnataka, Rajasthan, and Uttar Pradesh with a sharp focus on semi-urban and rural India, where access to formal credit remains severely limited.
Founded in 2024 by Vivek Bansal (formerly of InCred) and Sunil Daga (formerly of Kotak Bank), Saarathi Finance commenced NBFC lending operations in April 2025. The company offers both secured business loans (₹3–25 lakh) and unsecured business loans (₹0.5–3 lakh), with a differentiated approach built on flexible income assessment, rapid loan processing, and deep customer engagement. Its guiding philosophy — "Aap Akele Nahi Hai" (You Are Not Alone) reflects its commitment to being a true financial partner for grassroots entrepreneurs.
India's MSME sector faces a persistent formal credit gap estimated at ₹44 lakh crore, with millions of micro and nano business owners unable to access institutional finance. Saarathi Finance aims to address this structural gap through a technology-powered, customer-first lending model.
Vivek Bansal, Founder & CEO, Saarathi Finance, said: "We are committed to empowering Bharat's entrepreneurs by providing more than just credit — a partnership that values and supports their growth. This funding milestone enables us to accelerate our mission, ensuring every stakeholder, from entrepreneurs to investors, is valued and cared for in our journey."
Gopal Srinivasan, Chairman & MD, TVS Capital Funds, commented: "Saarathi Finance embodies the spirit of inclusive growth aligned with our vision of supporting micro and nano businesses crucial to India's journey towards a $10 trillion economy."
Rajat Bansal, MD, Lok Capital, added: "We are excited to partner with Saarathi as the next generation of market leaders in the secured micro-enterprise lending space."
Abhishek Chandra, Partner, Evolvence Equity Partners, said: "With an exceptional founding team and the right capital support, Saarathi is well positioned to build a high-quality, enduring lending franchise."
Siddharth Parekh, Senior Partner & Co-Founder, Paragon Partners, noted: "With Vivek Bansal's proven leadership and Sunil Daga's deep experience in secured lending, Saarathi has built a high-calibre team poised to drive financial inclusion."
About Saarathi Finance and Credit Private Limited:
Saarathi Finance is a Greenfield NBFC focused on providing accessible and tailored credit solutions to MSMEs across semi-urban and rural India. With a mission to bridge the ₹44 lakh crore credit gap in the MSME sector, Saarathi combines technological innovation with deep local market understanding. The company operates with the guiding principle: "Aap Akele Nahi Hai" You Are Not Alone.
Corporate Office:
Unit 62, 6th Floor, Sakhar Bhavan, Nariman Point, Mumbai – 400021
Contact:
📞 +91 9833880000