After receiving Series A funding worth of Rp230 billion led by Mandiri Capital Indonesia (MCI) and follow-on funding for Series A+ from Quona Capital with undisclosed value, peer-to-peer lending platform Koinworks has received Series B funding worth of $16.5 million (around Rp170 billion) led by EV Growth and Quona Capital and other investors.
The funding is to build up team and partnership, also the technology and development system to provide financial services throughout Indonesia in one platform.
KoinWorks claims to have more than 60% lenders in their platform are millennials, and 70% of those said that KoinWorks as their first investment instrument, has distributed loan of Rp150 billion per month. This is the biggest number to distribute for business players in fashion, electronics, accessories, and cosmetics.
“During the last three years, we’ve been distributed productive loan to hundred of thousands SMEs in Indonesia. The significant growth is also supported by the increasing public awareness on how important to have an investment as soon as possible,” KoinWorks’ Co-Founder and CEO, Benedicto Haryono said.
Focus to support SME
Was founded in 2016 by Benedicto Haryono and Willy Arifin, KoinWorks has been connecting borrowers and lenders online through one platform by providing financial services for SME with limited access to banking (unbanked or underbanked)
Using machine learning, KoinWorks allows borrowers to access a loan with low interest, and in the meantime, lenders can receive the payment with profitable interest. Products offered including business development loan through KoinBisnis and education through KoinPintar.
“The gap between access and convenience of the investment and loan products has made KoinWorks as a unique fintech [service] in Indonesia,” Willson Cuaca, Partner EV Growth, a partnership of East Ventures, Sinar Mas Digital Ventures (SMDV), and Yahoo Japan (YJ) Capital Inc.
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Original article is in Indonesian, translated by Kristin Siagian
