Fintech firms are the latest innovative solutions to the traditional banking firms' back-end systems. Numerous industries and segments are part of Fintech, such as retail banking, education, investment administration, fundraising for non-profit organisations, etc.
Software and algorithms are used in the Fintech industry to control financial operations and processes. While Fintech is growing in various areas, it is focused on the traditional banking sector. Fintech is also involved in developing and using cryptocurrencies, such as Bitcoin. In India, it has led to an enormous change.
Let's cherish the list of Fintech companies in India for landing. Fintech lenders use the most recent technological advances to improve the outdated and ineffective loan process. It gives lenders the ability to accelerate their processing times for payments and simplify their policies.
Today, many Fintech companies in India allow lenders to provide personalised services depending on each borrower's requirements and needs.
Did you know?
In the Covid-19 pandemic, the Fintech companies got great success. Today, several organisations are trying hard to introduce the digital payment platform they own to users as much as possible. Among the most famous digital payment platforms in India, PayTM, Google Pay, Amazon Pay, Whatsapp and PhonePe are holding their ranks at the top.
Also Read: What Practical Problems Can Indian Startups Try to Solve?
What are Fintech Companies in India?
Before knowing the top Fintech companies in India, let's understand the basics of Fintech. Insurtech is the use of technology to improve the insurance industry, and it's estimated that by 2021, the Indian Insurtech sector will invest more than ₹57,948 crores worldwide.
One of India's most popular Fintech insurance companies is Policybazaar, which offers a variety of products on an easy-to-use platform. Term life insurance, for example, provides higher insurance coverage with lower premium rates.
Kaleidofin is another Fintech startup in India that offers a variety of financial products. Its proprietary suitability engines help it tailor financial solutions to its customers. It has partnered with IRCTC, PVR, MakeMyTrip, etc. The company also offers a 14-day interest-free credit limit for businesses.
Its services also help companies deliver better services and generate more sales because inventory times are reduced. Neobanks and Milaap are two popular Fintech companies in India. Both companies offer cloud-based payment solutions that power over 350,000 PoS terminals in more than three thousand cities. Slice is one of the fastest-growing Fintech companies in India, offering payment gateway services and a cashback program with up to 2% of each transaction. Another famous B2B Fintech startup in India is Cashree Payments, which provides payment processing and banking. Its unique offering is India's low cost of payment gateways and its high success rate.
The Best Fintech Companies in India in Payment
The rapid growth of digital payments in India is largely the result of the success of Fintech payment companies. However, these firms have few advantages over other financial institutions when expanding to other areas. That said, Indian major banks have stepped up their efforts to improve their digital product offerings and combat the threat of Fintech. Here are some of them.
1. Mintoak
If you're looking for the top Fintech startups in India, Mintoak is one of them. A merchant-payment platform with a white-label, Mintoak, allows merchants to accept all digital payments, including cards and cash and generates a single transaction report. This leaves the retailers with permission to focus on their business. Mintoak partners with the State Bank of India and HDFC Bank Ltd. and makes money through subscription fees and a cut from the products sold by the banks. HDFC Bank owns 5.2% of the company.
While traditional banks didn't embrace payments on smartphones, Fintech startups in India took advantage of the growing need for payment services and began attacking the deposit-taking franchise of conventional financial institutions.
2. BharatPe
BharatPe, a leading mobile wallet, is part-owned by a bank and is working to convince retailers to switch from current accounts to its payment service. Meanwhile, Alphabet Inc.'s Google Pay, the second-most popular consumer wallet in India, is using its sway to promote fixed deposits.
In addition to these new financial services, the Indian government has taken steps to facilitate foreign investment into the Fintech space. Since 2016, the Reserve Bank of India has liberalised the Foreign Direct Investment (FDI) regime in financial services, making it easier for companies to attract foreign investors.
The new rules also allow entities engaged in financial services to attract foreign capital. Agritech companies are a good example of the latter. Their services help farmers get better sales with shorter inventory cycles.
3. Incred
This company is among the best Fintech startups in India. Incred is a lending platform for SMBs and consumers. Its headquarters are in Mumbai, Maharashtra. Incred employs 600 plus people and has an annual income of ₹139 crores (2017-18). Incred was established in 2016, and it's a privately owned company.
Bhupinder Singh is the Founder and CEO of Incred. Incred launched its first product in 2016 and has been able to raise ₹1352 crores over two rounds of funding.
4. Lendingkart
Lendingkart offers working and business capital loans to medium and small sized businesses. Its headquarters are in Ahmedabad, Gujarat. The company has more than 600 employees and annual revenue of ₹247 (2017-18). The venture started in the year 2014. Lendingkart is a private business.
Harshvardhan Lunia and Mukul Sachan are the Co-founders of Lendingkart. Since its launch in 2014, Lendingkart was able to collect ₹1545 crores in 10 funding rounds. The CEO of Lendingkart is Harshvardhan Lunia.
5. Coverfox
The company was founded in 2013 in Mumbai. Coverfox Insurance offers online insurance for health, travel, cars, investment, home insurance and motorcycles.
Sanjib Jha, CEO of Coverfox, and the top management, always focus on exploring new avenues within the Insurtech infrastructure sector. The company's mission is to aid offline agents in making the switch to digital, receive immediate and seamless quotations from insurance companies to improve operational efficiency, improve their businesses and reduce the amount of paperwork needed to earn more quickly.
6. Toffee Insurance
In Gurugram, Toffee Insurance gives appropriate and contextual insurance options to a growing young population. In 2017, it was founded by the duo of Nishant Jain and Rohan Kumar. The company makes insurance affordable and reachable by creating innovative single-event insurance products unique to new categories.
The company claims that it takes under 90 seconds to purchase insurance through the platform. Completing simple claims is possible in less than two hours through the digital interface.
Also Read: Successful Small Business Ideas for Indian Entrepreneurs
Agri Fintech Companies in India
The application of technological advancements in the agriculture industry is limited in India. In the end, the agriculture industry in India contributes only 17-18% of the country's GDP. In the past few years, India has seen an increase in the number of AgriTech companies helping make technology more accessible and assisting farmers in making their lives better.
1. Agdhi
AgriTech startup located in Bengaluru has introduced AI-powered vision-based technology in agriculture. It is launching computer vision and machine learning methods to detect defects in crops and seeds, allowing farmers to purchase top-quality seeds and plants. The results will be available within minutes. The goal is to disrupt the technology in seed testing, seed sampling and yield, which is the necessity of the moment. The startup is developing digital technology and creating alternatives to help sustain techniques in agriculture.
2. AgroStar
The company, founded by twins Sitanshu Sheth and Shardul Sheth in 2013, AgroStar is an online marketplace that allows farmers to purchase inputs for their farms. The AgriTech startup also aids farmers with real-time expert advice on the best way to control their crops' quality and increase their yield.
Wealth Management Fintech Companies in India
The digital space for wealth management offers a variety of features, including investment advisories, backtesting, Algo-trading, curated investing options and access to free research reports. This makes investment and wealth management effortless for urban Indians. Many startups are taking advantage of this chance due to the increase in Fintech services.
1. Cube Wealth
The Mumbai-based Cube Wealth is a wealth tech platform that provides 17 investment options, including stocks, P2P loans, gold, liquid funds and other investments through one single screen.
Wealth management platforms have a dedicated "wealth coach" who offers personalised guidance on any investment. One of the unique features of the site is that it provides the option of a no-cost custom investment portfolio for its users based on a variety of aspects like expenses and goals, monthly savings and goals, etc.
2. Groww
The company started in 2017. Ex- Flipkart employees Harsh Jain, Lalit Keshre, Ishan Bansal and Neeraj Singh are the founders. Groww intends to facilitate the first-time investment in mutual funds easily and simply with its mobile applications and an online platform.
Apart from providing investors with an impartial review of all mutual funds available on the markets, Groww is looking to inform investors about the various dangers of every portfolio via Groww Assist. Groww's SmartSave service is an investment service that works like a bank account, and it allows investors to withdraw their investment funds.
Conclusion
Fintech startups in India will grow both horizontally and vertically, as per the experts. The increase in accessibility to technology is the way to achieve vertical growth. New financial technologies will develop in vertical development as people get new tools to invest, trade or save money and change their economic structure.
India is likely to reach financial maturity through both types of growth and will be able to unlock a great deal of economic growth in the process. We hope this guide with over the top 10 Fintech companies in India with different types helped you get a clear choice idea.
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