EarlySalary, an online lending platform run by Social Worth Technologies Pvt. Ltd has raised US$4 million in its Series A funding from IDG Ventures India and Dewan Housing Finance Corp. EarlySalary allows individuals to avail short-term loans of up to INR1 lakh through their smartphones.
The person looking for a loan can log on to the EarlySalary app through their social media account, answer a few basic questions, and upload their PAN number and bank statements. After a few minutes, a loan is digitally underwritten.
EarlySalary targets youngsters in the 22-30 age group who need small loans closer to the end of the month to carry on till the next salary cycle.
EarlySalary was founded by Akshay Mehrotra and Ashish Goyal in 2015. EarlySalary had raised US$1.5 million seed capital in November 2015 led by Ashok Agarwal from New Delhi-based Transcorp Group. The current funding will be used to build products and increase its lending book. It will also use the capital to expand team its team and also increase its customer base.
EarlySalary claims to have distributed 15,000+ loans to customers borrowing between INR8,000 to INR1,00,000 at a low cost of INR9 per INR10,000 per day. The company also partners with large and small companies to give salary advances to employees.