FinReach Solutions has raised INR 21.9 crore (~USD 2.6 million) in a fresh funding round led by Colossa Ventures, with participation from existing backers Michael & Susan Dell Foundation, Omidyar Network Fund Inc and Caspian SME Impact Fund IV.
FinReach: Company Overview
Founded in 2020 by banker-turned-entrepreneur Suvalaxmi Chakraborty, FinReach connects private guarantors with lenders to unlock loans for micro and small businesses—including women-led, agri and climate-focused enterprises—that typically struggle with collateral gaps or thin credit files. The company is registered in Chennai, with its office at IITM Research Park, Taramani.
Use of Funds
FinReach said the proceeds will be used to scale operations, expand its guarantee facilitation programmes and strengthen its risk assessment and technology stack to support higher volumes of credit evaluations. The firm positions itself as a private-sector credit guarantee facilitation platform that de-risks MSME lending for partner institutions.
Investor Mix and Cumulative Funding
FinReach’s latest funding raises the company’s total capital to INR 54.4 crore, including an earlier round of INR 32.5 crore from its investor group. Colossa’s participation adds to its “WomenFirst” investing thesis that backs women-founded and women-beneficiary businesses across fintech and other sectors.
Voices from the Company and Lead Investor
“Access to credit is a fundamental driver of economic empowerment,” said Suvalaxmi Chakraborty, founder and managing director, adding that the fundraising will help expand guarantee facilitation and upgrade the risk-tech stack.
“FinReach embodies our mission by expanding formal credit access for underserved MSMEs,” said Ashu Suyash, founder and CEO of Colossa Ventures.
Private guarantee structures aim to complement public schemes by de-risking lenders and widening the funnel of formal credit in lower-tier markets where MSME financing needs remain high. FinReach said it will channel the new funds into analytics-led underwriting support for partner lenders as it scales programmes beyond metros.
At a glance
- FinReach Latest Funding: INR 21.9 crore closed on 24 November 2025.
- Lead investor: Colossa Ventures; participants included Michael & Susan Dell Foundation, Omidyar Network Fund Inc and Caspian SME Impact Fund IV.
- Use of proceeds: Scale operations; expand guarantee facilitation; strengthen risk assessment and technology stack.
- Total Funding: INR 54.4 crore to date; prior raise of INR 32.5 crore from existing investors.
- Business model: Private credit guarantee facilitation to de-risk MSME lending (women-led, agri, climate-focused).
- Founded: 2020 by Suvalaxmi Chakraborty; registered in Chennai (IITM Research Park, Taramani).
Bottomline
With the new cheque from Colossa Ventures and existing impact investors, FinReach has fresh room to expand its private credit guarantee programmes and risk-tech stack. Execution on scaling partnerships with lenders while maintaining robust risk analytics will be key as the company pushes deeper into underserved MSME markets.
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