Fintech Startup ECL Raises $7 Mn Led By QED Investors

Fintech company Efficient Capital Labs (ECL) has raised $7 million in a pre-Series A round led by QED Investors along with participation from existing investor 645 Ventures and new investors The Fund, Lorimer Ventures, Riverside Ventures, and Generalist.

With a $100 million financing facility and a $3.5 million equity round in April of last year, this brings the startup’s total sum funding to $110.5 million.

According to a news release from ECL, the firm intends to use the capital raised to increase automation, grow its engineering, product, underwriting, sales, and operations teams, and improve unit economics.

AI Video Creation Platform Gan.ai Raises $5.25M in Seed Funding

Co-founded in 2022 by Kaustav Das and Manish Arora, ECL provides business-to-business SaaS companies a percentage of their ARR as upfront capital which is 100% non-dilutive in nature. ECL funds customers through its balance sheet, which means that customers get access to capital at a much cheaper cost and don’t have to face the uncertainty that comes with depending on third-party investors or marketplace dynamics to receive capital against revenue.

So far, the Bengaluru and New York-based startup has provided funding to more than 50 SaaS businesses since its inception and the business is poised to grow to a total of more than 150 customers before the end of 2023.

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