How LenDenClub became India’s first P2P lending startup to hit profitability

By: Bhavya Kaushik

Launched in 2014, Mumbai-based lending startup LenDenClub grew over the years on the back of strong execution and automation. It registered loan disbursements close to Rs 600 crore in FY21, registering a year-on-year growth of 1,000 percent.

 

Suresh (name changed for anonymity) was in dire need of money to perform the last rites of his father. Instead of seeking help from people he knew, he decided to approach an NBFC for a small amount. But despite earning a decent salary, his request was turned down based on the NBFC’s default in processing some EMIs towards the parent bank.

The loan denial had nothing to do with Suresh’s background or credibility.

Sometimes, a trigger is all that is needed to give birth to a multibillion-dollar idea.

Suresh’s ordeal was the trigger that led Bhavin Patel, his colleague at Electronica Finance Ltd, and Dipesh Karki to launch Mumbai-based Peer-to-Peer (P2P) lending platform LenDenClub.

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