UNLEASH Capital Partners invests $1.1 million in CredResolve to solve debt resolution in India

UNLEASH Capital Partners has announced its fourth investment, leading the $1.1 million seed funding round in CredResolve, an AI-driven collections platform transforming the debt resolution landscape in India. 

The funding round also saw participation from CDM Capital.

What does CredResolve do?

Founded in August 2023, CredResolve is redefining debt recovery by integrating artificial intelligence with borrower engagement strategies. Unlike traditional collection methods, the startup leverages AI to automate recovery workflows, improve borrower communication, and ensure strict compliance with Reserve Bank of India (RBI) regulations.

The Gurugram-based startup said that this tech-driven approach enhances recovery rates while reducing operational inefficiencies.

Market presence

CredResolve claims that it is serving more than 20 lenders across banks, fintech firms, Non-Banking Financial Companies (NBFCs), and Asset Reconstruction Companies (ARCs).

The startup operates in a high-growth sector with an estimated annual revenue opportunity exceeding $4 billion.

“We are excited to have UNLEASH Capital and CDM Capital as our partners for this next phase of growth,” said Balaji Koustubha, Co-founder of CredResolve.

“This funding will enable us to expand our partnerships to over 25 financial institutions, enhance our AI-driven technology stack, and strengthen our presence across multiple cities.”

Aiming to triple revenue by next year

CredResolve further claims that it currently generates an annual recurring revenue (ARR) of approximately $1 million and is aiming to triple its revenue in the next year.

“This investment aligns with our commitment to backing visionary entrepreneurs who are redefining financial services in India,” said Natsuki Sugai, Founder and Managing Partner at UNLEASH Capital Partners.

“CredResolve stood out due to its AI-driven approach, rapid traction with lenders, and a leadership team that brings a strong blend of technological innovation and financial industry expertise.”

Davesh Manocha, Founder and Managing Partner at CDM Capital said "The growing adoption of AI in debt collection is revolutionizing traditional practices, making them more efficient and less intrusive and Credresolve stands at the forefront of this transformation."