Saarathi Finance Raises INR 475 Cr to Empower Bharat's Micro and Nano Entrepreneurs The round was led by marquee investors including TVS Capital Funds, Lok Capital, Evolvence Equity Partners, Paragon Partners, and prominent angel investors, who together contributed INR 350 crores.
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Saarathi Finance, a Greenfield NBFC founded in 2024 by Vivek Bansal (Founder and CEO) and Sunil Daga (Co-founder), has raised INR 475 crores in equity capital to support micro and nano businesses across India's underserved regions.
The round was led by marquee investors including TVS Capital Funds, Lok Capital, Evolvence Equity Partners, Paragon Partners, and prominent angel investors, who together contributed INR 350 crores. The remaining infusion came from the founders themselves, underscoring their deep conviction and commitment. The funding round values Saarathi Finance at over INR 900 crores.
Headquartered in Mumbai, Saarathi Finance is on a mission to bridge the vast INR 44 lakh crore credit gap in the MSME sector, focusing particularly on semi-urban and rural regions of Tamil Nadu, Telangana, Andhra Pradesh, Karnataka, Rajasthan, and Uttar Pradesh.
The raised capital will be deployed to expand Saarathi's footprint, scale its tech-enabled lending platform, and build a high-quality secured and unsecured loan book tailored to MSMEs. Saarathi aims to provide flexible, fast, and personalized credit solutions, combining data-driven insights with a local understanding of its customers.
Vivek Bansal shared, "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."
Saarathi's core offering includes secured and unsecured business loans, with a strong emphasis on flexible income assessment and rapid processing. By leveraging technology and deep customer engagement, Saarathi's philosophy—"Aap Akele Nahi Hai" (You are not alone)—is central to its promise of inclusive growth.
Backing the vision, Gopal Srinivasan of TVS Capital Funds stated, "Saarathi Finance embodies the spirit of inclusive growth… crucial to India's journey towards a USD 10 trillion economy."
With an experienced founding team and the confidence of seasoned investors, Saarathi Finance is poised to transform the credit landscape for India's grassroots entrepreneurs.
