New Delhi: Retailer-focused financing provider Progcap has raised Rs 10 crore (about $1.37 million) in a debt funding round led by Stride Ventures, the company said on Tuesday.
Progcap, which is based in New Delhi, said it will use the capital raised to increase its assets under management and penetration among retailers in the country. Apart from this, it will also look to strengthen relationships with banks and corporations.
“India has a complex supply chain. However, the solutions for small dealers and retailers are limited. Accessibility to credit will enable them to be at the forefront of India’s consumption story and Progcap is well-positioned to drive this change,” said Ishpreet Gandhi, founder and managing partner, Stride Ventures.
Progcap, operated by Desiderata Impact Ventures Pvt. Ltd was set up in 2017 by Pallavi Shrivastava and Himanshu Chandra. The company says it provides clients with easily accessible and flexible collateral-free working capital loans through its Last Mile Retailer Finance (LMRF) solution.
It provides this financing to retailers in Tier-II, Tier-III, and Tier-IV locations. It currently claims to have more than two lakh retailers on its platform.