Indonesia: Skystar-backed P2P lender Julo raises $5m Series A round

Julo team

Indonesian peer-to-peer (P2P) lending startup Julo has raised $5 million in a Series A funding round led by Skystar Capital and East Ventures.

Other investors that joined the round include Gobi Partners, Convergence Ventures, Provident Capital, Central Capital Ventura, Heyokha Brothers and other strategic investors, Julo announced on Thursday.

The new round of funding comes only a year after Julo raised an undisclosed amount in a seed round, also led by Skystar Capital.

Founded in late 2016, Julo connects institutional lenders to the underbanked and unbanked and provides unsecured cash loans of up to Rp 10 million with a payback period of up to six months via a mobile app.

It allows loan applicants to carry out the process by simply submitting pictures of personal documents and then receive their loan within 24 hours upon successful verification. The platform also allows users to manage loans, due dates, and cashback bonuses with alerts and reminders to keep them on top of payments

The startup says it is now processing over ten thousand monthly applications with double-digit monthly disbursement growth rate since inception.

The funds raised from the latest round will be used to grow the company’s team and accelerate the growth of its loan portfolio.

“2018 is the year of execution and accelerated growth for Julo. We have ambitious goals this year including new product lines, nationwide expansion, and continued focus on our underlying technologies and analytics. This fund is key in enabling us to achieve those goals and furthering our mission of bringing financial inclusion to the Indonesian masses,” said Julo co-founder Adrianus Hitijahubessy.

Julo was founded by Hitijahubessy, along with two fellow Indonesian data scientists and engineers, Hans Sebastian and Victor Darmadi, who met during their tenure in Silicon Valley. The idea for Julo started when Hitijahubessy was building AI-based credit scoring solutions for Latin America and African countries.

Amid strong competition in the fintech lending industry in Indonesia, Julo says its differentiation lies in its implementation of a self-developed algorithm, which allows the startup to provide one of the lowest interest rates in the market for uncollateralized consumer loan while maintaining a low single-digit non-performing loan ratio.

The investment in Julo comes at a time when Indonesia is anticipating significant funding to be poured into its P2P lending players.

Modalku (Funding Societies) closed a Series B funding round last month, securing $25 million in what could perhaps be the largest financing round for a P2P lender in Southeast Asia.

A number of fellow P2P startups are expected to follow Modalku’s lead, with Amartha, Uangteman and Investree all confirming that they will also be raising a Series B funding this year.

Also Read:

Beenext-backed Indonesian P2P lender Amartha targets to raise Series B round by June

Exclusive: Indonesia’s P2P firm UangTeman likely to raise up to $20m Series B

Indonesia’s Skystar Capital to raise third fund in 2018, to target late-stage funding

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.