Madhya Pradesh-based non-banking financial company (NBFC) Finodaya Capital has successfully raised $2.5 million in a seed funding round led by fintech-focused White Venture Capital, along with participation from early-stage investor Gemba Capital and several angel investors. This funding values the company at a post-money valuation of approximately Rs 50 crore ($5.87 million)
Founded by former ICICI Bank executives Lokendra Tomar, Abhitabh Dixit, and Neeraj Biyani, Finodaya Capital recently secured its NBFC licence from the Reserve Bank of India on April 11, 2025. The company is set to provide secured microloans against property to small businesses and microenterprises across India, focusing on the underserved micro and nano enterprise segment that traditionally struggles to access formal credit.
Finodaya’s unique phygital model, a hybrid of digital infrastructure and physical branch presence, enables efficient credit underwriting and loan disbursal. This approach combines the speed and scalability of digital tools with the trust and reach of on-ground branches, helping borrowers transition from informal, high-cost lending sources to formal financial systems.
The founders emphasize their mission to break the cycle of expensive borrowing from local moneylenders by offering fair, transparent, and customer-centric secured lending solutions. Their goal is to strengthen borrowers’ credit profiles, making them eligible for larger, formal credit lines in the future.
In the coming six months, Finodaya plans to open 15 physical branches throughout Madhya Pradesh and disburse loans worth Rs 50–100 crore by 2026. Before obtaining its NBFC licence, the company operated as a business correspondent for Utkarsh Small Finance Bank. It is now exploring co-lending partnerships with other financial institutions to scale its loan book and expand its reach.
White Venture Capital, the lead investor, is a fintech-focused fund founded by industry leaders including Pine Labs CEO Amrish Rau, Jupiter CEO Jitendra Gupta, and angel investor Sweta Rau, who serves as the fund’s general partner. Their investment signals strong confidence in Finodaya’s vision to unlock secured credit for India’s small businesses through innovative and scalable NBFC models.
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This seed funding round comes amid a broader wave of digitization and regulatory support in India’s secured lending space, especially for microfinance and SME sectors. Finodaya Capital’s entry with a tech-enabled, customer-first approach positions it well to address the credit needs of millions of small enterprises seeking affordable and formal financing solutions.
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