Razorpay Now Allows Lending As It Expands Beyond Payments
Online payments gateway Razorpay allows small businesses to borrow money through its platform.
Online payments gateway Razorpay now allows small businesses to borrow money from non-bank lenders using its platform.
“Payment acceptance is one part of the problem. What we want to do is digitise the merchant end-to-end, be it payments, loans and taxation,” Harshil Mathur, co-founder and chief executive officer of Razorpay, told BloombergQuint in an interview. “Everything should move digitally, only then will the merchant understand being digital.”
The Tiger Global-backed company attained an annual run rate of $30 million of loan disbursal during the pilot and expects it to touch $100 million by March. Razorpay tied up with Early Salary, Simpl, ZestMoney and ePayLater to help its customers get instant loans, Mathur said.
It’s also working on a platform called RazorpayX that will allow merchants to pay salaries and taxes and accept payments. “We will give enterprises real-time insights on cash flows, vendor payments, and more,” he said.
Razorpay, with about 1.7 lakh merchants, targets to double the number to about 3 lakh by the end of 2019.