Finova Capital has raised $65 million from Norwest Venture Partners, Maj Invest and Faering Capital. The micro, small and medium enterprises (MSMEs) will use the funds to grow their loan book, invest in technology, expand geographically and enable financial inclusion at scale. The company manages customer segments like micro-entrepreneurs and semi-skilled professionals who have limited access to lending from formal financing institutions. The loans are customised to the needs of its target segment of small service providers, manufacturers and retailers.
Founded in 2016 by Mohit Sahney and Sunita Sahney, Finova Capital has 180 branches across eight states. It has 20,000 plus customers and over Rs 1,000 crore loan book. “Finova plans to expand to its neighbouring regions, using and building its internal domain knowledge and processes,” the company said.
“We will continue to invest heavily in our tech capabilities and operations to enhance our goal of helping millions of small entrepreneurs over the next decade. Our processes combined with disciplined underwriting have assured our strength in the pandemic while keeping the growth and portfolio quality intact,” Mohit Sahney, Founder and CEO of Finova, said.