Peter Thiel-backed VC invests USD 10.3 mn in desi start-up
Fintech startup Velocity on Wednesday announced it has raised $10.3 million (a little over Rs 74 cr) in seed funding led by Valar Ventures, a US-based VC firm backed by billionaire investor Peter Thiel.
Velocity facilitates revenue-based financing up to Rs 2 crore with zero equity dilution or personal guarantees.
Revenue-based financing is a new flexible alternative to venture capital or bank debt, wherein repayments happen as a fixed percentage of future revenues.
According to the company, this is Valar Venture’s first investment in an Indian startup, which will be utilised for ramping up its customer base and for building world-class financing products.
“I strongly felt the need to reimagine financing products for new-age businesses. Incumbents fall short of the speed, efficiency and flexibility expected by today’s entrepreneurs. We want to change that,” said Abhiroop Medhekar, Co-founder and CEO at Velocity.
