Team Startupcity

• LoanTap raises  Rs 74 Cr in pre-Series C round to scale supply chain financing.
• Proprietary BICRI tool helps assess MSME creditworthiness using data-driven insights.
• Targets 2L+ retailers, 1 million invoices,  Rs 1000+ Cr disbursed so far.

LoanTap, a digital lending platform, has raised  Rs 74 crore in a pre-Series C funding round to drive its growth in supply chain financing for small retailers. The round has  Rs 54 crore in equity participation led by July Ventures, with contributions from existing investors such as 3one4 Capital, Avaana Capital, Kae Capital, and Swapurna Family Office. Venture debt raised  Rs 20 crore.

The new capital will fuel LoanTap's vision to fill India's  Rs 33.2 lakh crore MSME credit gap through its proprietary credit rating engine BICRI (Business Indicator for Credit Ratings in India). BICRI facilitates the evaluation of retailer creditworthiness based on real-time information and provides a substitute to conventional risk assessment, allowing distributors and lenders to make better, scalable credit choices.

LoanTap has already onboarded more than 50,000 retailers in the past two years, financing  Rs 1000 crore via 4.5 lakh invoices. It is now looking to onboard 2 lakh retailers and finance 1 million invoices with average ticket sizes between  Rs 8,000 to  Rs 15,000 within the next 12 months.

Satyam Kumar, CEO & Co-founder of LoanTap, said, “India’s MSME sector is at a turning point. With our focus on invoice financing and credit readiness through BICRI, we’re empowering small businesses with smarter, faster capital access.”

A spokesperson for July Ventures further said, "LoanTap's credit infrastructure within MSMEs and their technology-driven model fit with our vision of backing category-defining digital platforms. Their deep understanding of the retail ecosystem places them in the perfect position to bridge the MSME credit gap.