11 December, 2015, New Delhi: In its recent round of seed funding, Aye Finance has managed to crack the deal and able to raise the funding of three million from Accion and SAIF Partners. The company which deals in customer centred financial services to micro and small businesses, will be utilising the funds for its further developments such as financially help the financial services startups that render their services to India’s Micro & Small Enterprises (MSMEs). According the recent statistics, MSME sector accumulates around 58 mn businesses and generates 150 mn jobs. It also accounts for 45 per cent of the country’s industrial output.
Commenting on the funds raised, Michael Schlein, President and CEO, Accion, says, “We must find more efficient ways to provide Indian small businesses with the capital they need to grow. If we succeed, we can help entrepreneurs launch, sustain and expand their businesses. Aye Finance’s industry cluster approach is an exciting innovation that can help open up great opportunity for those small businesses unlikely to get bank financing.”
Vishal Sood, Managing Director, SAIF Partners, opined, “Aye Finance’s creative approach has helped India’s micro and small businesses obtain the financing that they need, and has unlocked credit for entrepreneurs who are typically locked out of the financial system.”