Beams Fintech Fund, India’s leading growth-stage private equity fund focused on fintech and financial services, has announced its sixth investment by participating in a $40 million funding round for Infinity Fincorp Solutions. This funding is part of Infinity’s Series A extension and aims to strengthen its operations in the micro-loan against property (micro-LAP) financing sector, catering to underserved micro-entrepreneurs across India.
Infinity Fincorp Solutions, founded by Shrikant Ravalkar, specialises in providing loans ranging from ₹3 to ₹5 lakh to small business owners such as tea shop owners, vegetable vendors, and small machine enterprises. The company primarily operates in Tier III towns across states like Andhra Pradesh, Tamil Nadu, Telangana, Madhya Pradesh, and Rajasthan. With a strong presence in southern India’s micro-LAP market, Infinity has demonstrated high growth and strong returns on assets and equity.
The funds raised will be used to expand Infinity’s loan book from ₹1,100 crore as of January 2025 to an estimated ₹1,250 crore by the end of FY2025—a projected growth of 67% within a year. This expansion aligns with the broader growth trend in the micro-LAP segment, which is expected to grow at a compound annual growth rate (CAGR) of 15–20% over the next five to ten years.
Sagar Agarwal, Founder and Partner at Beams Fintech Fund, highlighted the significant untapped opportunity within India’s MSME credit market, estimated at ₹25.8 trillion. He emphasised that micro-LAP is one of the fastest-growing segments within the non-banking financial company (NBFC) sector.
With this investment, Infinity Fincorp plans to deepen its presence across Tier III towns and expand its reach into new regions. The company also aims to leverage advancements such as digitisation of land records and AI-driven underwriting processes to improve efficiency and scalability.
Beams Fintech Fund’s investment in Infinity Fincorp marks a pivotal step in addressing the credit gap for India’s MSMEs while fostering innovation in the micro-LAP financing space. By empowering small businesses with accessible loans, this partnership aims to drive sustainable growth across emerging markets in India.
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