CreditWise Capital

CreditWise Capital is a tech-driven NBFC specializing in two-wheeler and MSME lending, with a strong presence across multiple Indian states. The company stands out for its rapid loan approvals, flexible repayment options and focus on underserved markets. As of March 2025, it boasts ₹645 crore in assets under management and has financed over 200,000 two-wheelers. By leveraging digital platforms for underwriting and collections, Credit Wise Capital delivers efficient, inclusive financial solutions and continues to grow rapidly in India’s consumer finance space.

Core Products and Services

• Two-Wheeler and Super Bike Loans: 100% on-road price financing, flexible EMIs and tenures up to 48 months.

• EV Two-Wheeler Loans: Affordable financing for electric vehicles, reflecting the company’s alignment with green mobility trends.

• Personal Loans (CWC Cash): Instant disbursal up to ₹50,000 with minimal documentation.

• Insurance Products: Health, motor, life and term insurance, including “no-cost EMI” options for premium payments.

• Digital Lending and Underwriting: Proprietary SaaS platform licensed to other NBFCs and FIs, enabling digital onboarding, AI-driven underwriting and collections.

• Value-Added Services: Bike servicing, roadside assistance and a customer service app for seamless loan and vehicle management.

 Business Model & Revenue Streams

• Revenue Mix: As of March 2025, two-wheeler and MSME lending constitute the bulk of the loan book, with AUM rising from ₹489 crore to ₹645 crore year-over-year.

• Customer Segmentation: The business is predominantly B2C, targeting retail customers in small towns and cities, but also serves MSMEs through micro-loans against property. The company’s branchless, tech-enabled model allows it to reach customers in 215 cities across 10 states.

• Geographic Concentration: While expanding, about 70% of business remains concentrated in Maharashtra, Karnataka, and Bihar, with ongoing efforts to diversify.

 Top Clients & Partnerships

• Key Partners: Trident Growth Partners (lead investor, holding an 18% stake post-2025 round), family offices and institutional investors such as Claypond Capital and the Fund of Funds for Startups (SIDBI).

• Lending and Distribution Partners: Collaborations with leading two-wheeler OEMs, dealerships and insurance providers to drive customer acquisition and cross-sell financial products.

• Technology Partners: Licensing of its SaaS lending platform to other NBFCs and FIs, expanding its B2B footprint.

• Client Concentration: The company’s retail focus and multi-channel approach mitigate client concentration risk, with over 200,000 loans disbursed and a growing MSME portfolio. Ongoing co-lending and distribution partnerships are expected to further diversify revenue streams.

 Future Outlook & Strategic Priorities

• Expansion Plans: Targeting a fivefold increase in AUM to ₹4,500 crore by March 2030, with a balanced split between two-wheeler loans and micro-loans against property.

• Product Innovation: Continued investment in digital underwriting, AI-driven collections and new product launches (e.g., EV financing, insurance bundles).

• Geographic Diversification: Expanding into new states and deepening presence in Tier 2/3 cities to reduce regional concentration risk.

• Risks and Headwinds: Regulatory changes, rising competition in digital lending and macroeconomic volatility remain key challenges. The company’s capital adequacy ratio of 31.2% and gearing of 2.3x as of March 2025 provide a solid buffer for growth.

• Capital Allocation: Recent funding will be deployed to scale technology infrastructure, enhance risk management, and support inorganic growth opportunities (reflecting recent market trends).