GetVantage, a pioneer in tech-first non-dilutive financing, has transformed venture finance for small businesses by funding over 1,500 startups and SMEs, driving $900 million+ in GMV since its late-2019 inception.
Navigating the Funding Winter
In the past year, GetVantage has helped 2-3 businesses daily access working capital without diluting equity. Despite a funding slowdown, with only $11.3 billion raised by Indian startups in 2023 compared to 2021, GetVantage’s Revenue-Based Financing (RBF) model has provided a lifeline. Originally a Western concept, RBF became popular in India through GetVantage, leading to a 71% repeat rate and encouraging value creation over valuations.
Expanding Financial Solutions
GetVantage has evolved into an embedded finance platform, offering Supply Chain Financing, Working Capital Demand Loans, and Fixed Term Financing. In 2023, obtaining an NBFC license from the RBI enabled faster deal closures. The platform continued to support founders through crises, including the Silicon Valley Bank incident.
Supporting SaaS and Women Entrepreneurs
GetVantage launched the INR 250 crore SaaS Accelerator Fund II in 2023, following the successful SaaS Accelerator Fund I. The Rise-Up Fund, an INR 100 crore initiative, supports women entrepreneurs, with over 40% of its portfolio being women-led businesses, such as Open Secret, Samosa Singh, Noto, Ziniosa, The Ayurveda Company, and more. Partnerships with Encubay and leap.club further bolstered this support.
Focusing on Tier 2 and Tier 3 Cities
During the funding winter, GetVantage expanded its focus to Tier 2 and Tier 3 cities, backing businesses like Shri Chyawan Ayurveda (Raipur), 89MintLeaf (Lucknow), HutsandLoom (Kolkata), Wellbi (Mysore), UrbanPlant (Lucknow)
Partnerships and Future Plans
GetVantage’s embedded financing has led to partnerships with organizations across various sectors, maintaining funding momentum and leading to an average revenue growth of 140% post-funding. With increasing demand for non-dilutive capital and support for Government initiatives like ONDC and OCEN, GetVantage aims to disburse INR 2,000 crore ($250 million) in the next 12-18 months, doubling its total investments since 2020.
The article was originally published in Economic Times: https://economictimes.indiatimes.com/tech/technology/getvantange-invested-in-over-750-companies-mostly-consumer-facing-firms-in-fy24/articleshow/110592480.cms?from=mdr
