Finova Capital, a Jaipur-based MSME focussed NBFC, has raised $65 million from Norwest Venture Partners, Maj Invest, and Faering Capital.

As per the startup, the raised funds will be used to grow its loan book, invest in technology, expand geographically and further its vision of enabling financial inclusion at scale. 

Finova Capital | Enabling Opportunities For Micro & Small Business

Founded by Mohit Sahney and Sunita Sahney in 2016, Finova Capital provides loans to both urban poor & rural poor to meet their productive requirements in starting a new business or growing an existing business. Supporting and creating enabling opportunities for micro & small businesses, the NBFC aims to transform credit delivery to unorganized, unreached & unserved segments.

Speaking about the development, Mohit Sahney, founder and CEO of Finova, said,

“We are thrilled to have marquee investors like Norwest and Maj show their faith in what we are building at Finova along with existing investors Sequoia and Faering Capital.”

Backed by 34 banks, NBFCs and AIFs, the Jaipur-based NBFC has 180 branches spread across eight states in west, north, and central India. It claims to have over 20,000 customers and a Rs 1,000 crore loan book.

Finova Capital claims to have developed an in-house tech stack centered around its customer segment and internal domain expertise. This helps the company target unique, untapped customer profiles and leverage its proprietary underwriting and risk assessment processes.

The tech provided by Finova enables on-ground teams to be more productive and helps customers apply for and repay their loans right from their smartphones. 

Norwest Venture Partners led the round with a $45 million investment.

Commenting on the funding round, Niren Shah, Managing Director and Head of Norwest Venture Partners India, said,

“Norwest is delighted to lead a $65M round and partner with Finova Capital in its quest to become one of India’s leading MSME players catering to the 60M+ MSMEs.”

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