CredAvenue, the online debt arranging platform from Vivriti Capital, plans to double its headcount to 700 by March 2022 to drive its accelerated growth plans wherein it expects to close the year with a Rs 200-crore revenue. Currently, the Chennai-based firm employs 350 across technology, sales, marketing, and strategy, among others, at its offices in Chennai, Bengaluru, Mumbai and New Delhi.
“We expect to double our headcount to 700 by the end of FY22, from 350 now. It was 250 last year. Of the total staff, as much as 450 will be in the technology vertical and we have already hired 100,” Gaurav Kumar, founder and chief executive of CredAvenue, told PTI on Friday.
For the current year, CredAvenue has set a target of arranging debt around Rs 52,000 crore, and has already arranged Rs 14,000 crore so far, said Kumar, who is also a co-founder of Vivriti Capital. He added that since its inception three years ago, the company has arranged Rs 62,000 crore of debt for over 1,600 clients, which include JSW Steel and Shriram Transport. The company has three revenue streams — its software-as-a-service (SaaS)-based offering that fetches 0.1 of the debt; rentals from the platform based on amount of the debt disbursed, the pricing of which is based on credit rating and averaging around 45 bps of the loan disbursed; and third is the take rate from the borrower that varies from 25-100 bps of the loan amount but averages at 50 bps, he said. Given the faster growth rate so far, “we’ve set a (revenue) target of clocking Rs 200 crore by March, up four times of Rs 47 crore in FY21”, he said. Without disclosing the actual number, he said the company has been profitable. As much as 80 per cent of its volume come from securitisation, and the rest from supply-side and co-lending. The company has two external investors, Creation and Lightrock, who together own 74 per cent, and is planning to raise an additional Rs 820 crore, by diluting 20-22 per cent more, Kumar said.
Kumar was also one of the founding members of the erstwhile IFMR Capital, which is now Northern Arc Capital, which is also into debt arranging.