Credit Fair, a non-banking financial company (NBFC) with a strong foothold in solar financing, has raised $5 million in debt investment from Symbiotics Investments, a global impact investor. The investment comes from the $75-million Green Basket Bond issued by Symbiotics and backed by British International Investment (BII), the UK’s development finance institution. This funding will enable Credit Fair to accelerate its operations in rooftop solar financing, particularly in tier-2 and tier-3 cities, targeting residential customers and MSMEs (Micro, Small, and Medium Enterprises). The company aims to finance 2,500 new rooftop solar projects, contributing to India’s transition toward sustainable energy, reducing carbon emissions, and providing affordable energy solutions to underserved communities. Credit Fair has already helped over 8,000 customers adopt solar solutions and remains committed to furthering its environmental and financial inclusion goals.
1. Introduction to Credit Fair’s Operations and Funding Background
Credit Fair is a dynamic non-banking financial company (NBFC) founded in 2018. The company has grown significantly, focusing on offering innovative financing options for rooftop solar installations. It integrates traditional NBFC lending practices with digital financing solutions, allowing individuals and small businesses to access affordable energy solutions. Its primary goal is to accelerate the adoption of renewable energy, making solar energy accessible to underserved communities across India. Credit Fair’s revenue model revolves around offering loans for renewable energy projects, focusing on rooftop solar financing for residential properties and MSMEs, including housing societies.
The company has received significant backing from both venture capital (VC) firms and major banks. Credit Fair is funded by LC Nueva AIF, Capital A, and large financial institutions such as SBI, SIDBI, IDFC First Bank, AU Bank, and Oikocredit. Their support strengthens the company’s credibility, and its business model is tailored for the growing demand for clean energy solutions in India. In this context, the $5 million debt investment raised from Symbiotics Investments is vital in expanding its operations, particularly in tier-2 and tier-3 cities.
Credit Fair’s founder, Vikas Agarwal, has been instrumental in driving the company’s mission forward. His vision has positioned Credit Fair as a key player in India’s solar energy sector, addressing the financial barriers that prevent people from adopting renewable energy.
2. Symbiotics Investments and British International Investment’s Role
Symbiotics Investments, an impact investment firm, has a significant global presence. This firm focuses on financing projects that benefit underserved communities, promoting social impact. Symbiotics’ Green Basket Bond, which Credit Fair subscribed to, is a unique initiative that directs funding into green energy projects, including renewable energy solutions. The $75-million bond issued by Symbiotics has seen participation from British International Investment (BII), a UK-based development finance institution that is deeply committed to funding sustainable initiatives across Asia and Africa.
The bond allows Symbiotics to expand its network of MSME lenders and direct financing to projects that help underserved communities. This enables small businesses to access funding for green projects, which often face challenges in securing capital through traditional routes. The $5 million secured by Credit Fair from this bond will support its expansion into rooftop solar projects, allowing the company to meet the rising demand for affordable and sustainable solar energy solutions.
3. The Impact of the Funding on Credit Fair’s Operations
With this $5 million debt investment, Credit Fair plans to fund 2,500 new rooftop solar projects. These projects will primarily target residential homes and MSMEs in tier-2 and tier-3 cities. This move aligns with India’s push toward clean energy and its goal of reducing carbon emissions. The funding will not only help meet the increasing demand for rooftop solar installations but will also provide affordable financing solutions to communities that have traditionally lacked access to clean energy.
In addition to expanding its operations, Credit Fair is committed to directly contributing to the country’s renewable energy goals. The company plans to reduce carbon emissions by more than 4,100 tonnes through these 2,500 projects, creating a cleaner and more sustainable future for India. This is just one aspect of the company’s broader environmental commitment, as it has already helped over 8,000 customers adopt solar solutions, reducing carbon emissions and providing energy savings.
4. Strategic Focus on Underserved Communities and MSMEs
One of Credit Fair’s core objectives is to make solar energy accessible to underserved communities across India. In particular, small businesses and households in tier-2 and tier-3 cities face significant barriers to adopting renewable energy solutions. Consequently, Credit Fair is addressing these challenges by providing affordable financing options that cater specifically to these underserved regions. Moreover, by targeting these areas, Credit Fair is helping bridge the gap between the growing demand for solar energy and the limited access to funding for these communities.” These barriers include the high upfront costs of rooftop solar installations and limited access to affordable financing options. Credit Fair’s debt funding will enable the company to address these challenges, offering tailored financing solutions that empower these communities to adopt clean energy solutions without significant financial strain.
Credit Fair’s focus on MSMEs is equally important. Small businesses, which form the backbone of India’s economy, are often excluded from green finance opportunities due to their inability to secure loans from traditional financial institutions. Through its collaboration with Symbiotics Investments and the $5 million funding, Credit Fair is creating a path for these businesses to access affordable solar energy, which can significantly reduce their electricity costs and improve their sustainability.
5. The Role of Clean Energy in India’s Growth
India is at the forefront of the global transition toward renewable energy, and solar energy is central to this shift. The government has set ambitious targets to install 100 GW of solar capacity by 2022 and 500 GW by 2030. As India continues to scale its renewable energy infrastructure, the role of companies like Credit Fair becomes more critical. By offering accessible financing solutions for rooftop solar projects, Credit Fair is directly contributing to India’s clean energy adoption.
The funding secured from Symbiotics Investments plays a pivotal role in accelerating this process. By making rooftop solar installations more affordable for residential customers and MSMEs, Credit Fair helps India take a significant step toward achieving its renewable energy targets. This also supports India’s commitments to international climate goals and its push for carbon neutrality by 2070.
6. Learning for Startups and Entrepreneurs
Credit Fair’s success in raising $5 million debt investment from Symbiotics offers several valuable lessons for startups and entrepreneurs in the green energy and financing sectors. Firstly, innovative business models work effectively, as combining traditional financial services with digital solutions allows startups to tap into growing markets with high demand, such as rooftop solar financing. Moreover, impact investing is increasingly important; with more investors focusing on projects with social and environmental impacts, startups in the clean energy sector should consider seeking funding from sources aligned with these values.
- Innovative Business Models Work: Combining traditional financial services with digital solutions allows startups to tap into growing markets with high demand, like rooftop solar financing.
- Impact Investing is Key: As more investors look for projects with social and environmental impacts, startups in the clean energy sector should seek out funding sources that align with these goals.
- Focus on Underserved Markets: Entrepreneurs should consider targeting underserved communities or sectors, where traditional financial institutions may not reach, for a broader market impact.
- Collaborations Can Accelerate Growth: Partnerships with established institutions, like Symbiotics and BII, can provide the necessary resources to scale operations quickly.
Conclusion: A Step Forward for Sustainable Growth
The $5 million debt investment secured by Credit Fair from Symbiotics Investments marks a significant milestone for the company’s growth and for India’s renewable energy sector. With the backing of major financial institutions and investors, Credit Fair is positioned to scale its rooftop solar financing solutions to thousands of households and businesses in underserved regions. By empowering these communities with access to affordable clean energy, Credit Fair is not only helping reduce carbon emissions but is also playing a critical role in India’s transition to a sustainable energy future.
This successful funding round further solidifies Credit Fair’s role as a leader in clean energy financing in India, and the company’s future looks brighter with each new project it funds. The collaboration with Symbiotics Investments will help accelerate India’s renewable energy adoption and provide cleaner, more sustainable energy solutions to underserved communities across the country.
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