KredX Enters Export Financing; Aims to Disburse $2 Billion by the End of FY-2023

KredX has entered post-shipment export financing

Aims to accomplish a book size of $2 billion by end of financial year 2023

Has tied up with Tradewind Finance to provide enhanced export and supply chain financing solutions

KredX, India's largest supply chain finance platform, today announced the expansion of its services into post-shipment export financing with KredX Global Trade. Through this new offering the company aims to empower businesses and their trade partners to have quick, digital and collateral-free access to liquidity against their receivables at competitive market rates. The initial focus will be on providing financing solutions to Indian corporates for international trade between key trade corridors: United States, Europe, Middle East and the rest of Asia. So far, the company has disbursed $100 million plus in funding requirements.

KredX Global Trade is a unique proposition that will focus on providing comprehensive financing solutions to Indian corporates along with developing a robust platform that will offer connectivity to the global liquidity pools and investors, allowing investors to invest with confidence. These features will offer SME corporates, which currently account for the highest contribution to India’s exports, an alternative source of financing driven by performance-based lending criteria instead of collateral based, at competitive rates.

This offering will provide Indian corporates the ease and convenience of operations with end-to-end digitized processes for availing working capital, which is unsecured and based on their current business performance and future growth and not on historical financial performance with a transparent pricing structure. Furthermore, such financing will complement companies’ existing sources of funding and be an additional source of funding that supports growth for the SME companies. Moreover, it will provide investors an opportunity to invest in/gain exposure to a larger band of trade receivables along with access to credible and real time insights into asset quality, underlying transaction documents and an extensive range of investment structures and risk profiles.

The company has also recently collaborated with Tradewind Finance, a global financial solutions company, to provide enhanced export and supply chain financing solutions to businesses. This collaboration will focus on providing financing to the international businesses of KredX customers at competitive rates.

KredX is privileged to be one amongst the four entities to be granted a license by International Financial Services Center (IFSC) to set up the ITFS platform at GIFT city. The company's collaboration with global financiers along with ITFS platform will effectively allow KredX to offer the lowest financing rates to exporters in India. The ecosystem offered by IFSC/ITFS and India’s commitment to grow its exports from USD 330 billion to USD 1 trillion by 2028, will allow KredX to empower SMEs which will in turn propel the growth of India’s exports ecosystem.

“This is an incredible milestone for us as we continue to exponentially grow the volume of transactions on our network. KredX has witnessed robust transaction flows via its platform. More than 6 billion transactions have been processed till date and 40,000+ businesses have increased their capital velocity 25-30 times in a year on an average. We are very excited about our expansion into global trade services and are ecstatic at extending our capability into a larger array of services. With this new proposition we hope to bring door-step and affordable finance to businesses of all sizes against their exports and imports. We have also partnered with leading financiers in key global markets to create hassle free financing options and more tie-ups are impending. KredX aims to accomplish a book size of $2 billion by end of financial year 2023 and we expect a 25-30% impact on the overall business within a period of 1 year through this new proposition”, said Manish Kumar, Founder and CEO at KredX.

About KredX:

Founded in 2015 in Bangalore by Manish Kumar and Anurag Jain, KredX is India's largest supply chain finance platform accelerating finance through the use of cutting-edge technology and data. The company offers a host of customisable solutions ranging from enterprise finance and cash flow management solutions to working capital and channel financing solutions for businesses, large and small, operating within the supply chain ecosystem while offering unique alternative debt investment solutions to investors worldwide. Through the use of reliable technology to accelerate customer growth, the company aims to become the world’s fastest operating system for supply chain finance.

Invoice Discounting Platform KredX Raises $26 Mn in Funding led by Tiger Global, Existing Investors

KredX, India’s largest invoice discounting platform today announced its series B fund raise of $26M (187cr) led by Tiger Global Management, along with participation from existing investor, for a minority stake in the company. KredX was started by Manish Kumar and Anurag Jain in 2015 to help businesses meet their short-term working capital needs by facilitating discounting of their unpaid invoices. As on date, KredX has processed more than 500000 invoices helping 5000+ suppliers through 10000+ investors across 36 cities. KredX had previously raised funds from Sequoia Capital and Prime Ventures Partners as part of their Series A funding.

“We are excited to partner with KredX and believe the Company has created an efficient and trusted lending marketplace connecting Indian companies with institutional investors.” said Scott Shleifer, Partner, Tiger Global.

“KredX platform works closely with suppliers, corporates and investors to make the money flow in a supply chain ecosystem more efficiently. A vendor is able to unlock its working capital tied-up in invoicing, in turn benefiting the associated Corporate with higher efficiency. For our investors, it is a hassle-free alternative investment with high returns. After our success in Invoices discounting and being the leader in the working capital finance, we have recently launched Capex Discounting as a unique way to fund Growth Capital for the companies as well” said Manish Kumar, Founder & CEO, KredX.

KredX, as on date works with over 120 corporate houses such as Tata Croma, Future Group, Vedanta to name just a few. KredX will use the new capital to accelerate its expansion by hiring across functions including senior leadership hiring and step up the development of new products. It will be used to further build its IP and create a niche in the supply chain finance ecosystem. It also plans to use the money towards strategic acquisitions.

“Being in the midst of B2B payment ecosystem, our transaction processing volume has crossed $2.4B annually and is forecasted to double it in the next twelve months. With wider acceptance of our products, we are well-positioned to serve the entire spectrum of the supply chain for any company, “ said Anurag Jain, Founder & Executive Director, KredX

KredX Acquires New York Based Accounts Receivables Management Software Startup Hummingbill

KredX, India’s leading invoice discounting platform, announced the acquisition of New York headquartered Accounts Receivables Management software startup Hummingbill today for an undisclosed sum. This acquisition will help KredX to enhance its technological capabilities on Accounts Receivables side along with the addition of the talent pool from Hummingbill. KredX also aims to enhance its customer experience, optimize invoice delivery, tracking, follow-ups and reconciliation using the applications designed by Hummingbill.

Anurag Jain, ‎Co-Founder and Executive Director, KredX said, “KredX is a technology company and we continue to lookout for opportunities to collaborate with teams/companies that can help us improve our overall customer experience, technology and functional capabilities. Hummingbill checks all boxes and Adam is definitely a quality asset for our team.”

“In starting Hummingbill, my vision was to address the problem of B2B payment collections for SMB suppliers in India through technology that improved their invoicing workflows. With the acquisition of Hummingbill, we are combining what we built the last 2 years with KredX's invoice-discounting platform to provide Indian SMBs an even more complete discounting and technology solution to address their regular cash flow gaps.” added Adam Walker, Founder and CEO, Hummingbill.

Manish Kumar, ‎Co-Founder and CEO, KredX said, “Adam and Hummingbill are a welcome addition to Team KredX. Adam and his team have built an amazing product that helps companies in tracking their receivables. These receivables, in turn, can be an input to the KredX’s receivables discounting offering”.

KredX helps businesses meet their short-term working capital needs by facilitating discounting of their unpaid invoices (raised against blue-chip companies) to a network of buyers and investors including banks, NBFCs, wealth managers and retail investors. The company helps MSMEs manage their cash flow by unlocking the cash tied up in invoices that otherwise takes an average of 30 to 90 days to be cleared by the enterprises. It enables investors to channelize their funds optimally by providing access to risk mitigated, high yield and short-term investment opportunities that are not tied to the uncertainties of the stock market.