Recur Club Secures $50 Million in Funding for Autopilot Debt Financing

Recur Club, an innovative AI-native debt marketplace, has successfully raised $50 million to enhance its autopilot debt financing platform. This initiative aims to assist startups and SMEs in obtaining loans more quickly and with reduced friction. The funding round features $8 million in equity financing, primarily led by InfoEdge Ventures, LC Nueva, Physis Capital, String Ventures, and Finvolveia, complemented by $42 million in debt allocation from notable financial institutions such as Incred, Ugro Capital, Aditya Birla Capital, and Lighthouse Canton.

Earlier this year, the Delhi-based platform established a fund amounting to Rs 150 crore ($18 million) to foster the growth of D2C brands in the quick commerce niche. Recently, Recur Club also announced a strategic alliance with ENRISSION INDIA CAPITAL to enhance capital access and provide long-term backing for startups.

The funds will be employed to broaden its AI-native debt marketplace, introduce new debt products, expand its footprint in Tier-2 and Tier-3 cities, and improve technological infrastructure, as stated by Recur Club.

Recur Club: A Vision for Debt Accessibility

Established in 2021 by Abhinav Sherwal and Eklavya Gupta, Recur Club offers loans ranging from Rs 50 lakh to Rs 100 crore within 48 hours after businesses register and link their financial profiles. Eklavya Gupta, Co-founder and CEO of Recur Club, mentioned that founders opt for Recur Club due to its straightforward, transparent, and rapid debt-raising process, which aligns capital structures with business strategies. The goal is to facilitate 2 percent of India’s $1 trillion SME and startup debt market by 2030, ensuring that debt is as accessible as flowing water.

Innovative Technology Driving Efficiency

The platform’s proprietary AI Credit Analyst (AICA) is currently utilised by over 100 banks, NBFCs, and credit funds, significantly reducing the time typically required for data collection, deal execution, due diligence, and credit assessments by more than 80 percent.

Since its inception, Recur Club has successfully connected over 2,000 businesses with more than 100 institutional lenders across over 30 debt products. These products encompass cashflow financing, working capital, venture debt, invoice discounting, acquisition financing, structured debt, and lease financing, covering a wide range of sectors, including SaaS, tech services, D2C, manufacturing, financial services, pharmaceuticals, solar, and agriculture.

The platform has facilitated debt sanctions exceeding Rs 3,000 crore, supporting notable companies such as MoveInSync, Zypp, Sagar Asia, Kimbal, Captain Fresh, and Palmonas. With this recent funding, Recur Club is aiming for an annual debt run-rate of Rs 10,000 crore by FY27 while maintaining an impressive 120 percent growth year-on-year.