Bengaluru, Oct 16 (IANS) Micro-lending start-up KrazyBee on Monday said it raised $8 million (Rs 5.2 crore) in its first round of funding (Series A) from Xiaomi Technologies and Shunwei Capital.
"The latest fund will be used to strengthen our risk model and algorithm, catering to new market segment, focus on product diversification and geographical expansion," said the city-based micro-lender in a statement here.
E-city Ventures and RK Group also participated in the funding, which is a mix of unspecified equity and debt ratio.
With a seed fund of $2 million and a pre-series A funding of $3 million, the start-up has raised $13 million capital till date.
"Our company's mission is to make credit for young professionals and college students in India accessible and affordable. We realized very early that to grow and sustain in this industry, having a steady source and lower cost of funds is quintessential," said its CEO Madhusudhan E. in the statement.
The firm, founded in May 2016, provides under-graduate/post-graduate students under the age of 30 with cash credit, two-wheeler credit, college semester/tuition fees credit among others.
It currently has over three lakh registered users on its application and processes nearly 1700 loan applications each day.
The micro-lending platform has been operating across Bengaluru, Hyderabad, Pune, Mysore (Karnataka) and Vellore (Tamil Nadu), and has recently expanded to Mumbai, Chennai, Coimbatore (Tamil Nadu), Nagpur (Maharashtra), Nashik (Maharashtra) and Manipal (Karnataka).