LoanTap, a digital lending platform for salaried professional, has raised $8 million in a mix equity and debt round led by early-stage venture capital 3one4 Capital.
Existing investors of the Pune-based startup such as Shunwei Capital, Kae Capital, India Quotient, Tuscan Venture and angel investor Ashish Goenka also participated in the round.
With the fresh round, it will increase its loan book to Rs 250 crore from Rs 160 crore and plans to raise another Rs 90 crore of debt to expand it further.
With over 11,500 borrowers on its platform, LoanTap claims to hit a monthly disbursal rate of Rs 25 crore, a 257 per cent increase from the last year.
Launched in 2016 by Satyam Kumar and Vikas Kumar, LoanTap delivers ten different loans including EMI free loans, personal loans, credit card takeover loans, and advance salary at an annual interest rate of 18 per cent.
LoanTap has its own in-house NBFCs that decides the eligibility of potential borrowers and disburses loan in quick time.
With an average loan size of Rs 3 lakh, the firm lends up to Rs 10 lakh for an average period of around 48 months.
In July, last year, it had raised $6.25 million in an equity funding round led by Beijing-based venture capital firm Shunwei Capital.
LoanTap competes with Capital Float, Lendingkart, Flexi loans, Money Tap, CreditMantri, and several others.
Founded by Pranav Pai and Siddarth Pai, son of TV Mohandas Pai, 3one4 Capital counts Licious, Faircent, Tripoto, Tracxn, ToneTag among several others in its portfolio.
The development was reported by ET.