True Balance

True Balance Foundation Story

Vision and Early Days

True Balance was founded in 2014 by Charlie Lee with a vision to provide financial services to underserved populations in India. The company started as a mobile balance-check app in July 2014, keeping a low profile initially.

According to Charlie Lee, True Balance aims to become "the number one financial platform for the next one billion Indians". The company's mission is to make "finance accessible to the next billion users in India, who despite having a bank account have limited access to credit."

Founding Team Background

The key founder of True Balance is:

• Charlie Lee: Founder and Global CEO, with a background in fintech and a vision for financial inclusion in India.

True Balance Business Evolution

From Balance Check App to Financial Powerhouse

True Balance has undergone significant transformation since its inception:

• 2014: Started as a mobile balance-check app
• 2017: Launched 'gold member programme' for recharges and bill payments
• 2019: Expanded into digital financial services
• 2021: Received NBFC license for True Credits

As reported by Entrackr, the company's business dynamics changed drastically after FY21 when it started lending, enabling it to register over 74X growth in scale in the past five fiscals.

Key Growth Milestones

• 2017: Received PPI (Pre-paid Payment Instruments) authorization from RBI
• 2019: Launched 10 financial products including Digigold, Insurance, IRCTC, personal loans, EMI, instant cash loans, and pay later options
• 2021: Raised $30 million in debt funding
• 2024: Reported 54.8% YoY growth in operating revenue, reaching Rs 667 crore

Product Portfolio Expansion

True Balance has expanded its product offerings to include:

• Cash Loans
• Level Up Loans
• Bill Payments and Recharges
• Insurance products
• IRCTC ticket booking
• Personal loans
• EMI options
• Pay later services

True Balance Technology Infrastructure

Digital Lending Platform

True Balance utilizes a proprietary alternative credit scoring system (ACS) and machine learning-based underwriting models to support NTC (New to Credit) and low-credit score users in accessing liquidity.

Security and Compliance Framework

True Balance operates as an RBI-authorized digital platform, facilitating loans through its RBI-licensed NBFC - True Credits. The company has received and renewed its PPI authorization from RBI, demonstrating compliance with regulatory requirements.

True Balance Market Impact

User Base Growth

According to the company's website, True Balance has achieved:

• 70 Million+ True Balance Playstore App Downloads
• Rs 7000 Crore+ Loan Amount Disbursed
• 30 Lakhs+ Happy Users

Financial Inclusion Initiatives

True Balance focuses on providing financial services to underserved populations, particularly targeting users without traditional credit scores. The company's 'gold member programme' aims to empower young people in rural and semi-urban areas to provide financial services to their communities.

True Balance Financial Journey

Revenue Growth Story

True Balance has shown impressive financial growth:

• FY24: Operating revenue grew 54.8% YoY to Rs 667 crore
• FY24: Total revenue reached Rs 673 crore
• Service and processing charges on loans contributed 56% of total operating revenue

Path to Profitability

As reported by Entrackr:

• FY24: Net profit increased 2.3X to Rs 138 crore
• ROCE improved to 42.24%
• EBITDA margin reached 27.64%

Investment Rounds

True Balance has raised significant funding:

• Total equity funding: $85 million
• Latest debt fundraise: $30 million in 2021
• Total debt fundraised in FY2021: $55 million

True Balance Strategic Partnerships

Investor Partnerships

True Balance has secured investments from notable partners including:

• SoftBank Ventures Asia
• Line Ventures Corporation
• D3 Jubilee Partners
• Northern Arc
• Arthmate
• Shine Star
• E clear
• Hinduja

True Balance Future Roadmap

Expansion Plans

True Balance aims to:

• Achieve break-even before the end of the current financial year
• Target 10 million gold members nationwide in two years
• Launch 10 more financial products in the next two years

IPO Preparation

According to a Business Standard article, True Balance was aiming for a potential IPO by 2024, although more recent information on this plan is not available in the provided search results.

In conclusion, True Balance has evolved from a simple balance-check app to a comprehensive financial services platform, focusing on serving underbanked populations in India. With its strong growth trajectory, innovative products, and focus on financial inclusion, True Balance is positioning itself as a significant player in India's fintech landscape.