INR 500 Cr Funding Blast! Finnable Fuels India's Fintech Revolution – What's Next?

Finnable, a lending technology startup, has secured INR 500 crore ($56.5 million) in an equity funding round led by existing investors Z47 and TVS Capital. This capital aims to expand its product portfolio, enhance its technology stack, and grow its customer base, following earlier tranches totalling INR 250 crore.

Founded in 2015, Finnable offers quick, paperless personal loans ranging from INR 25,000 to INR 10 Lakh, primarily serving mid-income salaried professionals earning between INR 15,000 and INR 50,000 per month. Co-founder and CEO Amit Arora has ambitious plans to serve over one million customers and grow the loan book to INR 10,000 crore within the next four years.

The company demonstrated strong operational and financial growth. Its assets under management (AUM) stood at INR 2,924 crore by the end of the June quarter. Notably, Finnable achieved profitability in the fiscal year 2025, reporting a net profit of INR 6.7 crore, a significant turnaround from a net loss in the previous year. Its total income surged by 52% year-on-year, climbing to INR 278.5 crore from INR 183 crore.

This significant funding round underscores the burgeoning investor confidence in India's digital lending sector, which is the most funded segment within fintech. The growth trajectory is mirrored by peers like CredRight and Flexiloans, which have also secured fresh capital. With India's fintech sector projected to reach $250 billion in revenue by 2030, lending tech startups are expected to play a crucial role in this expansion.

**Impact** This news signals strong investor confidence in India's digital lending sector, potentially boosting further investment and innovation. It validates Finnable's strategy and profitability, influencing the competitive fintech landscape for mid-income earners. Rating: 7/10.

**Difficult Terms** * **Equity funding round**: Selling company shares to investors for capital. * **Product portfolio**: Range of products/services a company offers. * **Technology stack**: Set of technologies used for software development. * **Customer base**: Clients who buy products/services. * **Tranche**: A portion of a larger sum. * **Paperless loans**: Loans processed online without physical documents. * **Mid-income salaried professionals**: Employed individuals with moderate earnings. * **Assets under management (AUM)**: Total value of assets managed; for lenders, total value of outstanding loans. * **Loan ticket size**: Total amount borrowed in a single loan. * **Tenure**: Duration of a loan. * **Yield**: Return on investment; profit margin for lenders. * **Net profit**: Profit after all expenses and taxes. * **Total income**: Gross revenue. * **Year-on-year (YoY)**: Comparison to the same period last year. * **Fintech**: Financial technology companies. * **Digital lending**: Offering loans via online platforms.