Credgenics

Credgenics Foundation Story

Vision and Early Days

Credgenics was founded in 2018 by Rishabh Goel, Anand Agrawal, and Mayank Khera with a vision to revolutionize debt recovery and collections in India. The founders recognized a significant gap in the market - the inefficiency and lack of technology in the debt collection process, which was leading to mounting Non-Performing Assets (NPAs) in the Indian financial sector.

As Rishabh Goel recalls, "We started Credgenics with a mission to transform the debt collection landscape using technology and data-driven strategies. We wanted to make the process more efficient, transparent, and borrower-friendly while helping lenders improve their recovery rates."

Founding Team Background

The founding team of Credgenics brought diverse expertise to the table:

• Rishabh Goel: Co-founder and CEO, an IIT Delhi alumnus with experience in finance and technology.
• Anand Agrawal: Co-founder and CTO, also an IIT Delhi graduate with expertise in technology and product development.
• Mayank Khera: Co-founder and COO, an experienced lawyer bringing legal expertise to the team.

This combination of skills in technology, finance, and law was crucial in building Credgenics into a leading debt recovery platform.

Credgenics Business Evolution

From Legal Tech to Comprehensive Debt Recovery Platform

Credgenics has undergone significant transformation since its inception. What started as a legal technology solution has evolved into a comprehensive SaaS-based debt recovery and resolution platform. According to Inc42, the company today handles 11 Mn retail loan accounts and claims to have increased lenders' resolution rates by 20% and improved collections by 25%.

The company's evolution involved expanding its product offerings to include:

• Digital collections
• Litigation management
• Field collections mobile app
• AI-powered communications
• Analytics and reporting

Key Growth Milestones

• 2018: Founded during a time of rising NPAs in India
• 2019: Launched its first product focusing on legal automation for debt recovery
• 2021: Raised $25 million in Series A funding
• 2023: Achieved operational profitability
• 2024: Raised $50 million in Series B funding, valuing the company at $340 million

Product Portfolio Expansion

Credgenics has continuously expanded its product offerings to provide a comprehensive debt recovery solution. Key additions include:

• AI-powered communication engine for personalized borrower outreach
• Predictive dialer for efficient calling
• Field collections mobile app for on-ground recovery efforts
• Analytics dashboard for real-time insights
• Payment gateway integration for seamless repayments

As stated by YourStory, these diverse offerings position Credgenics as a one-stop solution for debt recovery, driving both efficiency and effectiveness for lenders.

Credgenics Technology Infrastructure

AI-Powered Debt Recovery Platform

Credgenics' technology infrastructure is built to handle complex debt recovery processes efficiently and securely. The company utilizes advanced algorithms, artificial intelligence, and machine learning to provide personalized recovery strategies for each borrower.

At the core of Credgenics' platform is its proprietary AI engine, which analyzes vast amounts of data to determine the most effective recovery approach for each case. This technology enables Credgenics to offer faster, more efficient, and more successful debt recovery solutions compared to traditional methods.

Security and Compliance Framework

Given the sensitive nature of financial data, Credgenics places a strong emphasis on security and regulatory compliance. The company's security measures include:

• End-to-end encryption for data transmission
• Multi-factor authentication for account access
• Regular security audits and penetration testing
• Compliance with RBI guidelines for debt recovery
• Strict data protection policies in line with Indian data protection laws

Innovation in Debt Recovery Technology

Credgenics continues to innovate in the debt recovery space. Some of its recent innovations include:

• Use of natural language processing for analyzing borrower communications
• Predictive analytics for identifying high-risk accounts
• Machine learning models for optimizing recovery strategies
• Integration of WhatsApp and other digital channels for borrower communication

These technological advancements have helped Credgenics streamline the debt recovery process and improve overall recovery rates for its clients.

Credgenics Market Impact

Disrupting Traditional Debt Recovery

Credgenics has played a significant role in disrupting the traditional debt recovery model in India. By providing a tech-enabled platform for efficient and borrower-friendly debt recovery, the company has increased transparency and effectiveness in the collections process.

According to Credgenics' own report, the company has touched an overall loan book worth USD 47 Billion in FY22. Lenders using Credgenics have seen improvements in collection efficiency by 25% and reductions in the costs of collections by 40%.

Client Base Growth

Credgenics has experienced substantial growth in its client base over the years. Key figures include:

• Working with more than 100 customers, including leading banks, NBFCs, and fintech companies
• Handling 11 million retail loan accounts
• Sending 60 million digital communications every month

This growth can be attributed to the platform's effectiveness, ease of use, and the tangible results it delivers for clients.

Impact on Financial Inclusion

While Credgenics primarily focuses on debt recovery, its technology-driven approach has indirect implications for financial inclusion in India:

• By improving recovery rates, Credgenics helps lenders manage risk more effectively, potentially enabling them to extend credit to a broader range of borrowers
• The platform's borrower-friendly approach helps maintain positive relationships between lenders and borrowers, even during the recovery process
• By reducing the cost of debt recovery, Credgenics may contribute to making lending more economically viable for financial institutions

Credgenics Financial Journey

Revenue Growth Story

Credgenics has shown impressive revenue growth over the years. According to the company's announcement, as reported by Credgenics:

• FY 2022-23: Achieved revenue of INR 100 crore
• 7x growth over the past 18 months
• Expected to grow by more than 100% in the current fiscal year, with an anticipated revenue of approximately INR 240 crore

Path to Profitability

Credgenics achieved operational profitability in its fourth year of operation, a significant milestone for a SaaS startup. This achievement demonstrates the company's focus on sustainable growth and efficient operations.

Factors contributing to profitability include:

• Scalable SaaS model
• High-value proposition leading to customer retention
• Efficient use of technology to keep operational costs low

Investment Rounds

Credgenics has undergone several funding rounds to fuel its growth. Key investment milestones include:

• 2021: $25 million Series A round led by Westbridge Capital, Tanglin Ventures, and Accel Partners
• 2024: $50 million Series B round led by Westbridge Capital and Accel, valuing the company at $340 million

These investments have provided Credgenics with the capital needed to expand its operations, develop new products, and strengthen its market position.

Credgenics Strategic Partnerships

Banking Collaborations

Credgenics has established partnerships with several leading banks and financial institutions in India. Notable collaborations include:

• ICICI Bank
• HDFC Bank
• IIFL Finance
• Mahindra Finance

These partnerships have been crucial in expanding Credgenics' reach and validating its technology in the financial sector.

Technology Alliances

While specific technology partnerships are not mentioned in the search results, it's likely that Credgenics has formed alliances with various technology providers to enhance its platform capabilities. These could include cloud service providers, data analytics firms, and AI/ML specialists.

Credgenics Future Roadmap

Expansion Plans

Credgenics has ambitious plans for future expansion. According to statements from the company's leadership, key focus areas include:

• International expansion, particularly in Southeast Asia
• Entering new segments within the BFSI industry
• Continuing to innovate and enhance its product offerings
• Expanding its client base across different types of financial institutions

Innovation Pipeline

Credgenics continues to focus on innovation to maintain its competitive edge. The company's innovation pipeline likely includes:

• Further development of AI and ML models for more accurate predictions and personalized strategies
• Expansion of communication channels to include emerging digital platforms
• Enhanced analytics capabilities for deeper insights into borrower behavior and recovery trends
• Integration of new technologies like blockchain for improved transparency and security

In conclusion, Credgenics has rapidly established itself as a leader in the debt recovery technology space in India. With its innovative approach, strong growth trajectory, and recent funding success, the company is well-positioned to continue its expansion and potentially reshape the debt recovery landscape not just in India, but in other emerging markets as well.

Citations:[1] https://www.credgenics.com[2] https://inc42.com/startups/how-credgenics-is-using-ai-ml-to-help-banks-fis-improve-debt-collection-by-25/[3] https://yourstory.com/companies/credgenics[4] https://canvasbusinessmodel.com/blogs/brief-history/credgenics-brief-history[5] https://www.credgenics.com/credgenics-turns-profitable[6] https://www.credgenics.com/credgenics-raises-50-mn-funding-in-series-b[7] https://yourstory.com/2022/07/credgenics-saas-lenders-loan-recovery-resolution-game[8] https://startup.siliconindia.com/vendor/credgenics-india-s-leading-saasbased-endtoend-debt-recovery-platform-cid-15430.html[9] https://canvasbusinessmodel.com/blogs/growth-strategy/credgenics-growth-strategy[10] https://economictimes.indiatimes.com/tech/funding/debt-collections-platform-credgenics-secures-50-million-in-funding-from-westbridge-accel-others/articleshow/102561074.cms