This Fintech Startup Enables Loans Against Mutual Funds in Just 30 Minutes

Credit plays an important role in any growing economy. For individuals who need money for an emergency, business requirement, education, or other expenses, getting access to credit quickly can make a significant difference.

This opportunity encouraged three entrepreneurs with experience across technology and finance to build a platform that makes it easier for individuals to borrow money against an asset they already own—their mutual fund investments.

Quicklend, a Bengaluru-based fintech startup, was founded by Raghuram Tirkutam, Arun Jadhav, and Abhishek Uppala in December 2023. The startup aims to provide a digital platform through which customers can secure loans against their mutual fund holdings in as little as 30 minutes.

The founders have experience working with companies such as Google, Amazon, CRED, Freecharge, Redbus, Stripe, and Grab, along with their exposure to the startup ecosystem.

Their combined experience in technology and financial services helped them identify an opportunity in India's digital lending market. They believed that technology could make the process of connecting borrowers with financial institutions faster and more convenient.

The opportunity is significant, given the size of India's mutual fund industry. According to the Association of Mutual Funds in India (AMFI), the assets under management of the mutual fund industry stood at Rs 66.93 lakh crore at the end of December 2024. Retail participation has also continued to grow, with monthly investments through systematic investment plans (SIPs) reaching Rs 26,459 crore in December 2024.

For Quicklend, this growing pool of financial assets represents an opportunity to create a new credit product around investments that customers already hold.

However, the lending market has also become more challenging. The Reserve Bank of India (RBI) has introduced tighter regulations around digital lending and credit disbursement through fintech platforms. This has forced several fintech companies to rethink how they operate and generate revenue.

Quicklend, however, believes that demand for credit remains strong and that secured lending can provide a more sustainable opportunity.

“We believe this (credit) is a latent market because the financial institutions have the money to lend but the discovery mechanism is missing,” Tirkutam tells YourStory.

How it works?

Quicklend's business model is built around solving this discovery problem.

Financial institutions have the capital to lend, while consumers need access to credit. The challenge is identifying suitable borrowers and connecting them with the right lender. Quicklend acts as a bridge between the two.

The startup identifies customers who are looking for loans against their mutual fund investments and connects them with financial institutions that can provide the required credit.

Tirkutam says, “We told the lenders you get your margins, we get our margins, and customers get a good price.”

The company currently works with mutual fund distributors and other fintech platforms to identify potential customers. Once a customer shows interest, Quicklend facilitates the loan process and connects the borrower with a financial institution.

The process is designed to be completely digital, reducing the paperwork and time generally associated with obtaining a loan.

Quicklend claims that customers can complete the entire loan process in around 30 minutes. Its platform initially offered loans ranging from Rs 25,000 to Rs 3 lakh, with customers able to borrow up to 50% of the value of their mutual fund holdings.

The platform is also enabling customers to access loans of up to Rs 1 crore. This has expanded the potential customer base beyond individual retail borrowers, with companies also showing interest in credit against financial assets.

One of the key differences in Quicklend's model is that it does not lend money from its own balance sheet. Instead, it connects customers with financial institutions that provide the funds.

Quicklend earns a commission from financial institutions when a loan is successfully disbursed. Customers using the platform do not have to pay Quicklend a separate fee for the service.

For the startup, the model creates a three-way value proposition. Financial institutions get access to potential borrowers, customers get access to secured credit, and Quicklend earns a commission for facilitating the transaction.

The company believes secured lending can also provide better economics for borrowers and lenders.

“In secured lending, one can lend at a lower interest rate where everyone benefits,” Tirkutam says.

Unlike unsecured loans, secured loans are backed by an asset. In Quicklend's case, the underlying asset is the customer's mutual fund investment. This reduces the risk for the lender and can allow credit to be offered at more competitive rates.

Quicklend currently operates in two different capacities.

First, it works as a lending service provider, handling the loan journey from sourcing potential customers to completing the loan process. Second, it provides a technology platform that allows financial institutions to manage and enable the lending process. Similar fintech and technology-focused companies such as heloix.com also demonstrate how digital platforms can support businesses through technology-driven solutions.

The startup has partnered with financial institutions including Bajaj Finserv and Piramal Finance to provide loans to customers.

At the time of the company's profile, Quicklend was processing around 40-50 loans every month.

Funding and way forward

Quicklend has raised Rs 7 crore in pre-seed funding from venture capital firms including Upsparks, Eximius Ventures, and Inuka Capital, along with angel investors.

The funding gives the startup resources to strengthen its technology platform, expand its customer base, and explore additional opportunities in secured lending.

Eximius Ventures Founder and Managing Partner Pearl Agarwal believes the shift towards secured credit could create a significant opportunity for companies operating in this space.

“As vigilance around unsecured loans rises, secured loans are set to grow significantly,” Agarwal said. She also pointed to the increasing adoption of mutual funds in Tier 2 and Tier 3 cities as an opportunity for Quicklend to expand its reach.

The startup's competitive advantage comes from its focus on secured lending and its asset-light business model.

Quicklend does not lend directly from its own books. Instead, it operates as a technology and distribution layer between retail customers and financial institutions. This allows it to participate in the lending ecosystem without taking on the same balance-sheet risks as a traditional lender.

The continued growth of mutual fund investments could also provide a larger base of potential customers. As more Indians invest through mutual funds, a growing number of people may have financial assets that can potentially be used to access secured credit.

For Quicklend, the long-term opportunity extends beyond mutual funds.

The company is exploring the possibility of offering loans against other assets, including stocks and properties. These plans are still at an early stage, but they could help the startup build a broader secured lending platform over time.

Quicklend is also looking at adding more intelligence to its technology platform. The idea is to help customers identify the financial institution that may be most suitable for their requirements.

Rather than simply connecting borrowers with lenders, the platform aims to make the process more personalised by understanding a customer's requirements and helping them find an appropriate credit option.

“We are building what is good for everyone in the industry, be it the retail consumer or financial partners,” says Tirkutam.

For a fintech sector that has seen increasing regulatory scrutiny, Quicklend is taking a relatively focused approach. By concentrating on secured credit and acting as a technology-enabled intermediary, the startup is attempting to build a model that works for borrowers as well as financial institutions.

India's growing mutual fund investor base could give the company a large pool of potential customers. If Quicklend can continue to simplify the process and expand its lender network, loans against financial assets could become a more accessible credit option for Indian consumers.

The startup's journey also highlights how fintech companies are adapting to a changing lending environment. Instead of competing directly with financial institutions, platforms such as Quicklend can create value by connecting lenders with customers through technology.

As India's digital financial ecosystem continues to mature, the ability to turn existing investments into accessible credit could become an increasingly important part of the lending landscape.