Fintech lending start-up Capital Float is closing 2017 with assets under management (AUM) of R900 crore, up from R300 crore at the end of 2016, co-founder Sashank Rishyasringa told Shritama Bose. At present, 40% of the loans disbursed through the platform are co-originated by the company with other banks and financial institutions, he added. Edited excerpts:

How has business been in 2017 in terms of disbursements? What is your outlook for 2018?

We have witnessed tremendous growth this financial year. At the onset, we targeted to reach 20,000 customers by the end of this financial year. As of December 2017, we have already crossed 30,000 customers and are aiming to add approximately 20,000 more customers before the end of this financial year. Our AUM (assets under management) has increased from Rs 300 crore to Rs 900 crore over the last calendar year, while we have crossed Rs 3,600 crores in disbursements, half of which was achieved in the last six months. We expect to continue on this growth trajectory next year, with a large emphasis on our newly launched products proprietor loans and school finance. We believe these products offer high potential for growth in 2018. For instance, we disbursed under 100 proprietor loans in April 2017, and it has increased in scale to 1,300 loans as of November.

You had earlier said you want to have 50% of your loans being originated through the marketplace model. What would the share of such loans in your overall book be at present?

At the start of this financial year, about 35% of our loans were being disbursed via our co-lending platform. As of today, roughly 40% of our loans are being co-lent on the platform. We have added some banks and NBFCs (non-banking finance companies) such as RBL Bank and Tata Capital to our portfolio this year. We are well on track to achieve our target of 50% loan origination via the co-lending platform by March 2018.

You had also spoken of expanding your geographical footprint. What has the progress on that been like?

At the start of the year, we were targeting to serve customers in over 100 cities. As of today, we are serving SMEs and micro-entrepreneurs in over 300 cities. Our reach has significantly increased, following the launch of the proprietor loan product, which has been designed to address the working capital needs of salons, medical stores, kirana, mobile phone retailers, small restaurants, etc. Through our recent partnerships with the likes of Storeking and Wirecard, we are able to expand our geographic footprint at limited opex (operating expenditure). For instance, our association with Storeking helps us serve borrowers in towns like Panchmahal, Koppal and Nagapattinam.

What is the share of delinquencies?

Our NPAs (non-performing assets) are at around 2%, which is lower than the industry average.

Do you have any fund-raising plans for 2018 or are you adequately capitalised?

We aren’t actively looking to raise funds in the near future. However, we are open to opportunities as and when they arise. We have raised close to Rs 560 crore in equity funding since inception, while adding new debt lines from leading banks and NBFCs. We’ve raised approximately Rs 630 crore in debt funding so far. We’ve added new participants on our co-lending platform this year, helping us leverage their balance sheets to increase our reach to customers. Therefore, we are able to cater to a vast number of SMEs with a relatively smaller balance sheet.

By when do you expect to turn profitable?

We complete four years in October this year. We are currently on track to achieve profitability in a few months based on the success metrics we have set for ourselves.

Is there truth in reports that suggest you are set to sell stake to Amazon India and will begin consumer financing on their e-commerce platform?

We prefer not to comment on stories or narratives that are speculative in nature.