Mortgage lending platform LoanKuber raises $3.5 million in funding

LoanKuber, a mortgage brand operating under Janasha Finance, has raised $3.5 million in a pre-Series B funding round led by Singapore-based TRTL VC.

The round, which was in a mix of debt and equity, also saw participation from existing investor Inflection Point Ventures (IPV) along with Auxano, LetsVenture, and Mavuca Capital.

Prominent angel investors such as Ruchi Deepak, co-founder of ACKO Insurance, Prashant Tandon, co-founder of 1mg, and Pankaj Vermani, co-founder of Clovia, also participated in the round.

The latest round brings LoanKuber's all-time raise to over $13 million.

Purpose of fundraising

LoanKuber plans to utilize the newly acquired funds to expand its assets under management (AUM), which currently stand at approximately Rs 93 crore.

The startup aims to scale its AUM to around Rs 180 crore within the next 12 months.

Additionally, a portion of the funds will be directed toward strengthening the company's technological infrastructure and bolstering its leadership team.

“This fresh infusion of capital will help us scale our efforts, set up new branches and penetrate deeper into semi-urban communities in Delhi, Uttar Pradesh, and Haryana, and ensure that we can continue building a more inclusive and equitable financial landscape,” said Saurabh Nagpal, Founder & CEO of LoanKuber.

What does LoanKuber do?

Founded in 2017 by Saurabh Nagpal, LoanKuber provides customized mortgage loans to underserved Ministry of Micro, Small and Medium Enterprises (MSMEs). 

The firm has developed an automated institutional co-lending platform for micro-mortgages, which allows for competitive pricing to end customers while generating higher yields on its own non-banking financial company (NBFC) balance sheet.

It has implemented a hybrid customer acquisition strategy that includes a digital connector platform, a lead generation platform, and low-cost branches. This approach has resulted in a 30% reduction in customer acquisition costs, making the business more capital efficient.