GrayQuest, a Mumbai-based fintech startup specializing in education loans, has raised ₹80 crore ($9.3 million) in its Series B equity funding round.
The round was led by IIFL Fintech Fund, Claypond Capital, the family office of Ranjan Pai, and existing investor Pravega Ventures.
This latest funding milestone will support GrayQuest’s plans to upgrade its technology platform and expand its distribution network to reach more educational institutions across India. The startup has carved a niche by offering innovative payment solutions, enabling schools, universities, and parents to simplify the fee payment process. One of its standout offerings is a monthly installment plan for annual tuition fees, provided without any additional charges.
Since its inception seven years ago, GrayQuest has partnered with over 6,500 premier educational institutions across the K-12 and higher education segments, creating a seamless financial experience for students and parents alike.
GrayQuest’s latest funding round follows a $7 million Series A investment in March 2022 and a $1.2 million pre-Series A round in August 2020. Under the leadership of Rishab Mehta, the company has continued to innovate in education financing despite reporting a revenue of ₹17.93 crore and a loss of ₹36.8 crore for the fiscal year ending March 2024, according to TheKredible.
The education financing sector in India has seen a surge in investor interest, with players like Leap, Auxilo, Avanse Financial, Financepeer, Propelld, Mpower Financing, and Eduvanz collectively raising around $500 million in the past two years.
With this fresh infusion of capital, GrayQuest aims to further its mission of making education financing accessible, affordable, and efficient for institutions, students, and parents nationwide.