India-based student loan provider Kuhoo has secured $20 million in seed round funding from West Bridge Capital.
The platform plans to provide online loans to students aspiring to study at universities in India and abroad.
Talking about the development, Prashant A. Bhonsle, Founder of Kuhoo said, “We are on a mission to make Indian students Atmanirbhar. In our cumulative experience of more than 30 years in the field of Indian student loans, we have observed that many talented students do not apply to good universities because they are afraid of imposing tuition fees and fees on their parents. high living expenses. We want to change that.
“At Kuhoo, we combine our vast experience with cutting-edge technology and data science to create risk and credit models. These models help us assess the potential employability of students and their future earnings for the various courses in which students enroll. With this unique ability, Kuhoo can offer different products that are better suited to the individual profiles of students from a variety of family backgrounds. The other benefit – usually underestimated – for students will be that this loan will help them to build a credit history during their studies.As we all know, in today’s world, a good credit rating ensures that students will have access to the best financial products like credit cards, other loans, etc., once they start working,” Bhonsle added.
Kuhoo has also onboarded experienced global talent in the areas of technology, data science, consumer and student loans. Apart from launching their innovative products, Kuhoo will partner with banks and other NBFCs, as well as top colleges and coaching centers around the world.
“As a completely online student lender, we want to provide the most dignified experience for students, parents, universities and all our partners. We also plan to use our expertise to help students find universities, courses and even jobs best suited after completing their studies,” added Bhonsle.
Commenting on the financing, Deepak Ramineedi, Partner, West Bridge Capital, said: “We have been following India’s education sector closely for over a decade now. With the rising cost of education, we believe that India needs loan providers who fully understand the issues of students, parents and academic institutes. Assessing student employability and future earnings are two of the biggest challenges for existing banks and NBFCs that offer student loans. »
“We are happy to have found the right entrepreneur in Prashant. Apart from his experience in building one of the most successful student loan companies in India, we like his vision of using technology and analysis to create an online business model. Additionally, Prashant’s passion for organizational culture and creating impact aligns with West Bridge’s core values. We are excited to partner with kuhoo and wish the best to the talented team,” added Ramineedi.
Speaking in more detail about the investment cycle, Sumir Chadha, Co-Founder and Managing Director of West Bridge Capital Partners, added: “Over the past decades, only a tiny percentage of talented Indian students have had the chance to pursue their higher education dreams. at universities abroad. Although it will continue to grow, the emerging world order and India’s economic growth provide students with many career opportunities. Moreover, the Indian government’s policy of creating high-quality educational institutes and the Edtech revolution of recent years have opened up attractive prospects for young Indian students.
“West Bridge Capital is committed to financial inclusion through long-term investments in sectors such as affordable housing finance and education. We strongly believe that Kuhoo will play a vital role in making these expensive courses affordable, primarily for middle class Indian families. We are delighted to support Prashant and his talented team at kuhoo in their endeavor to build one of India’s leading student loan institutions,” added Sumir Chadha.