Yellow Metal, a company offering gold loans, revealed that it has raised $3 million (about Rs 24.8 crore) in a seed round headed by the international venture capital group MSA Novo. The financing also included new investors WaterBridge Ventures and Java Capital.
The business said that it will utilize the funds to ramp up its custom loan management system and increase the operations of its technological staff.
Yellow Metal, a company founded in 2020 by Rahul and Nikhil Boggaram, seeks to make it simpler for residents of rural India to obtain gold loans. According to the business, it offers loans with 0% processing costs and monthly interest rates between 0.79% and 1.75%.
Yellow Metal, which had not yet generated any revenue as of FY21, reported total earnings of Rs. 6.34 lakh in FY22, which included Rs. 1.6 lakh in operational revenue. The firm suffered a loss of Rs 62.8 lakh in FY22, according to annual financial disclosures filed with the RoC.
The two-year-old site contends with rivals including Rupeek, Indiagold, and Ruptok.
