Indian Firm CredAble Raises $9M to Grow Working Capital Financing Platform

Indian working capital solution provider CredAble has raised $9 million via an equity infusion from Indian bank Axis Bank and CredAble’s existing investor OAKS Asset Management, APN News reported Friday (Aug. 5).

CredAble’s working capital platform caters to Indian companies of all sizes, and the company aims to make it India’s largest working capital financing platform, according to the report.

The new investment will be used to accelerate CredAble’s growth plans, to continue helping small businesses meet their working capital and credit challenges and keep adding to its growing list of alliances with enterprise customers and financial institutions, according to the report.

“This direct investment by Axis Bank and the continued support from existing investors validates CredAble’s journey thus far to help India solve its working capital woes,” CredAble Co-Founder and CEO Nirav Choksi said in the report.

OAKS Asset Management CEO Vishal Ootam said in the report, “This investment is an important long-term step in helping CredAble fulfill its mission of building India’s largest working capital financing platform.”

India’s small and medium-sized business (SMB) space is held back due to a lack of access to reliable credit sources, CredAble Executive Vice President and Head of Credit Ranjit Singh told PYMNTS’ Karen Webster in a September 2021 interview.

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Without access to capital, many smaller suppliers can struggle to fulfill large orders, to the detriment of the customers they supply, Singh said.

“The basic problem we are trying to solve is that typically, small and medium enterprises can only access debt financing in the form of loans raised against property and land,” Singh said. “So instead of doing that, we’re looking to leverage their business performance and relationships with buyers to build a new lending base while ensuring we can still recover our money.”