Debt

Debt financing

SMB-focused trade financing co. Drip Capital nets $50-M

Inc42   Drip Capital  

Mumbai- and Palo Alto, CA (USA)-based trade financing startup Drip Capital has raised USD 50 million (INR 441.5 crore) in a debt funding round led by Canada-based Toronto-Dominion Bank.The deal will also have an additional USD 25 million accordion feature enabling Drip Capital to extend its credit line by an additional USD 25 million without negotiating a new pact.Founded in 2015 by Pushkar Mukewar and Neil Kothari, Drip Capital offers trade financing solutions to small and medium business (SMB) clients in India, the US and Mexico. The firm provides working capital to SMBs involved in international trade.The debt facility will support the startup’s buyer finance programme across North America and reinforce its position in the cross-border SMB financing segment.The latest fundraise comes a year after Drip Capital bagged USD 113 million in a mix of debt and equity in September 2024. In total, the trade financing platform has so far raised more than USD 500 million in debt.