The startup operates as a non-banking finance company that provides secured and unsecured loans, as well as supply chain finance, specifically tailored for self-employed micro and small enterprises in India. By offering accessible growth capital at competitive rates, the company enables entrepreneurs to overcome financial barriers and enhance their business operations.
Funding
$8.4M raised to dateRaised to date based on public sources. This may differ from the amount the company actually raised and is based only on what is publicly available on the internet.
Founders
Product
Problem
Self-employed micro and small business owners in India often face challenges in accessing adequate and timely financing due to limited credit history, lack of collateral, and complex documentation requirements from traditional banking institutions. This lack of access to capital hinders their ability to grow their businesses, manage working capital, and take advantage of new opportunities.
Solution
Arthan Finance is a non-banking finance company (NBFC) that provides tailored financial solutions to self-employed micro and small enterprises (MSMEs) in India. Arthan leverages advanced data analytics, technology, and AI/ML-based algorithms to assess creditworthiness and disburse loans quickly, often with minimal documentation. The company offers both secured and unsecured loans, as well as supply chain finance, designed to meet the diverse needs of its clients. Arthan's digital-first approach and customized products aim to eliminate the hurdles in accessing credit, enabling entrepreneurs to overcome financial barriers and enhance their business operations. They provide flexible loan amounts, tenors, and ROI, with transparent processing and easy repayment options, including digital methods.
Target Audience
Arthan Finance primarily serves self-employed micro and small business owners, retailers, and MSMEs in India who are often excluded from traditional financing options, including Kirana stores, hotels, restaurants, pharmacies, hardware shops, small manufacturers, and distributors.
Features
- Customised unsecured loans up to ₹3 lakhs without collateral, featuring superfast processing and flexible repayment options
- Secured loans up to ₹20 lakhs, utilizing various collaterals such as house, office, plot, or LIC policy
- Supply chain finance solutions offering invoice discounting from ₹10,000 to ₹20 lakhs for instant cash against invoices
- Revolving credit facilities with flexi loan structures to meet dynamic business needs
- Digital loan processing with minimal documentation and quick disbursal within 48 hours
- Proprietary credit scoring solutions leveraging AI/ML for entrepreneurs with limited credit history
- Insurance options to cover risks associated with loan repayment
- Multiple repayment options including NACH, bank transfers, online payments, cheques, UPI, and payment links
- Mobile app (launching soon) for quick digital onboarding and direct account disbursement