Credmate is an application that allows its users to lend & borrow money. When someone wants to borrow money, it’s very difficult for the lender to check whether that person is trusted or not. Credmate gives each individual a score, and based on that people can validate and lend money easily.
Normally banks give loans based on CIBIL score. It’s a three-digit number that denotes your creditworthiness.
Gaurav Kundra & Gaurav Sharma are the founders of Credmate app. The application has 2.75 Lakh registered users. Gaurav Kundra is such a charismatic guy that all the sharks loved when he gave his pitch.
Gaurav Kundra (29) completed his BBA in 2014. Gaurav Kundra (47) completed his Electronics Engineering in 1995. They met each other at a wedding and came up with the plan of Credmate. They invested ₹30 Lakhs of their own money to build the tech.
They came to Shark Tank India seeking ₹50 Lakhs in exchange for 5% equity in the company. Which gives the company a valuation of ₹10 Crores.
The application is pretty easy to use. One can download it from the Google Play Store or App Store. Borrower and lender will have individual screens. The borrower can send a request to the lender.
Suppose I need ₹10,000. I can send a request to the lender asking for ₹10,000. Then if the lender accepts my request and provides me money, he’ll have an OTP on his screen. The lender will give me the OTP only when I pay back the full amount. After receiving the OTP, I can insert that into my application and the transaction will be completed.
After the transaction, there are 4 transactions available to show.
If I return the money within time, then it will show “ON TIME”
If I return the money after two or three days, then it will show “RESCHEDULED”
If I return the money after many days, then it will show “DELAYED AND SETTLED”
If I don’t return the money, then it will show “DEFAULTED”
The application has a section that will show the daily defaulters also. Showing sensitive information like this is definitely now right, but then again it’s just a feature of the application.
Currently, they don’t have any solid monetary method. They charge their users for KYC. Each KYC is ₹50. They have 40k KYC registered users. They made ₹12 Lakhs through this method.
Namita Thapar asked the founders some questions. Like how many daily users they have in the platform, and how many transactions they are processing every single day. They couldn’t answer these questions properly. Because the application they made doesn’t have the functionality yet.
The sharks didn’t take this normally and said they should’ve known better about their business.
Peyush Bansal was the first one to get out. Because he thought people who lend and borrow money wouldn’t use the application.
Namita Thapar was out because the founders didn’t have any clarity on the business.
Vineeta Singh thought it was a SAAS business model and there’s a lot of work behind it. That’s why at the moment she couldn’t join the team.
Anupam Mittal thought there was no product market fit. That’s why he’s out.
|Founders||Gaurav Kundra & Gaurav Sharma|
|Asked Amount||₹50 Lakhs for 5%|
|Final Deal||No Deal|
|Current Net Worth||₹10 Crores|
|Company Status||In Business|