Drip Capital news: Drip Capital records $150 million inception in March
The fintech company provides working capital solutions to small and medium-sized enterprises (SMEs) in the United States and emerging markets like India and Mexico.
The global trade finance gap is estimated at $3 trillion. The international trading community faces one of its greatest challenges: high shipping costs, the uneven recovery of global economies from the COVID-19 pandemic, and geopolitical tensions leading to the global supply chain crisis. supply. This has further strained cash-strapped SMEs, contributing more than 50% of international trade.
“There is a growing demand for working capital among small businesses due to the current supply chain crisis. Our robust underwriting model has helped us manage the risks of cross-border transactions, providing timely credit to these businesses. Drip’s clientele have enjoyed their online and offline experience, giving them the confidence to grow their business. We will continue to capitalize on this opportunity and fund $10 billion of commerce over the next 3-4 years,” Pushkar Mukewar, co-founder and CEO of Drip Capital, said in a statement.
The company leverages its proprietary machine learning-based risk assessment model and cloud technology to fund cross-border transactions, enabling SMEs to access working capital and invest in growth. The company has funded over $2.6 billion in global trade. Since its inception, Drip Capital has worked with approximately 5,000 buyers and suppliers collectively trading in 105 countries.
Drip offers unsecured post-shipment financing to exporters in India. The country contributes over 80% of Drip’s overall business. In the last quarter ending March 2022, Drip added over 100 new customers in India itself.
Drip recently raised $175 million in fresh capital to unlock its next phase of growth. The company aims to use the new funding to expand its business over the coming months.