5 Best Crowdfunding Sites in India to Raise SME Capital (2025)

Traditional business loans are often hard to get growing companies. That’s where crowdfunding loans for SMEs offer a practical way for Indian small and medium businesses to raise money.

India has over 1.59 lakh registered startups, with strong investor interest in sectors like SaaS, D2C and Health Tech. With the Indian SME ecosystem growing fast, choosing the right crowdfunding platform is important to raise funds at the right time.

Each platform offers distinct funding models equity, debt, or rewards and comes with its own terms and eligibility requirements.

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Crowdfunding and Its Types

Crowdfunding is a modern way for individuals or businesses to raise funds from a large group of people, typically through online platforms. It helps high-growth companies access capital without relying on banks or venture capital.

Depending on the business model and funding goals, companies can choose from the following types:

• Reward-Based Crowdfunding

Supporters contribute in exchange for non-monetary rewards like early product access, discounts, or merchandise. Ideal for creative projects and consumer product launches.

• Equity Crowdfunding

Investors receive equity in the company for their contributions. Best for high-growth startups seeking long-term capital and willing to share ownership.

• Debt Crowdfunding (P2P Lending)

SMEs borrow from multiple individual lenders and repay with interest. Suitable for businesses with predictable cash flow and short- to medium-term needs.

• Donation-Based Crowdfunding

Donors contribute without expecting returns. Commonly used for charitable causes, social ventures, or community-driven initiatives.

Read More: Instant Loan for Business: Get Quick Funding Without Collateral

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Best Crowdfunding Sites for SME Capital in India 

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1. Ketto

• Model: Donation-Based
• Best For: SMEs with social impact, healthcare innovations, or community-led projects

Ketto is India’s leading donation-based crowdfunding platform, ideal for medical, personal, and social impact campaigns. SMEs with community-driven missions can raise capital, supported by analytics, donor tools, and multilingual reach.

Features:

• Over ₹1,000 crore raised across campaigns
• Ideal for cause-driven SMEs and social enterprises
• Quick campaign setup, with no upfront fees

Benefits:

• Strong brand recognition and trust in India
• Support team available in regional languages
• No platform fee on most campaigns

Considerations:

• Not suitable for equity-based or reward-driven funding
• Relies heavily on storytelling and outreach

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2. Catapooolt

• Model: Rewards and Equity Crowdfunding
• Best For: Consumer product, creative ventures, etc

Catapooolt is a hybrid crowdfunding platform offering both reward and equity-based models. It caters to early-stage businesses and creative projects, including films, music, tech gadgets, and social innovation. 

Features:

• Community of over 25,000 backers and investors
• Campaign support and business mentoring
• Events and demo days for visibility

Benefits:

• Flexible funding structure (equity + rewards)
• Suited for Indian market dynamics and local investors
• Integrated support for campaign strategy

Considerations:

• Limited platform visibility compared to global players
• Requires proactive marketing and pitch development

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3. Pepcorns

• Model: Equity Crowdfunding
• Best For: Tech businesses, D2C brands, early-stage ventures with traction

Pepcorns is a SEBI-compliant equity crowdfunding platform tailored for Indian SMEs. It allows businesses to raise funds by offering equity to a large number of small-ticket investors. 

Features:

• Registered investors across India
• Transparent compliance processes
• Standardised pitch formats and tools

Benefits:

• Fully India-focused and SEBI-compliant
• Access to a growing retail investor base
• No equity dilution from institutional investors

Consideration: Requires solid traction and documentation

For SMEs with ₹40 Crores+ in annual revenue, structured debt of up to ₹100 Crores is available through Recur Club. 

Learn more.

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4. Fundable

• Model: Equity and Rewards-Based Crowdfunding
• Best For: Indian SMEs targeting US investors or global market exposure

Fundable is a US-based platform but relevant for Indian SMEs looking to access overseas equity funding or test international markets. It offers two models, reward-based campaigns to validate product ideas and equity crowdfunding to secure SME capital. 

While not India-specific, Fundable has been used by Indian founders incorporated in the US.

Features:

• Access to US-based investors and advisors
• Dedicated support for business planning
• Ability to switch between funding models

Benefits:

• Good for SMEs looking at international expansion
• Includes campaign strategy and investor introductions
• Supports dual funding paths (reward/equity)

Considerations:

• Monthly fee of $179 (₹14,900 approx.)
• Requires a US business entity or international compliance.

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5. ImpactGuru

• Model: Donation-Based Crowdfunding
• Best For: Impact-focused SMEs in health, education, and rural sectors

ImpactGuru is a donation-based crowdfunding site that helps individuals and organizations raise money for causes with long-term social impact. 

Features:

• Multilingual platform and donor support
• Offers analytics, CRM, and social campaign tools
• Integration with NGOs and CSR initiatives

Benefits:

• Suitable for cause-driven or nonprofit-aligned businesses
• International payment support
• High transparency and compliance

Considerations:

• Not structured for equity or profit-oriented businesses
• Fundraising success depends on outreach and cause appeal

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Key Considerations for Indian SMEs

Before choosing a platform, Indian founders should:

• Assess your stage of growth: Early-stage founders may benefit more from rewards-based platforms. Later-stage SMEs with customer traction can explore equity options.
• Understand legal requirements: SEBI and FEMA regulations must be followed when raising money from international backers.
• Diversify capital sources: Combine crowdfunding with other options like venture debt, SIDBI schemes, or state-backed SME grants to ensure financial stability. 
• Focus on storytelling: Crowdfunding is not just about the numbers—your pitch must inspire trust and belief in your vision.

For high-growth businesses with ₹5 Crores+ revenue, fast-access debt options of up to ₹10 Crores can complement crowdfunding efforts, providing immediate liquidity without giving up equity.

Read More: Venture Debt vs Equity Financing: Pros, Cons, & What Founders Should Choose?

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Conclusion

Crowdfunding can be a powerful tool for SMEs to raise capital, validate ideas, and build early momentum. But it’s just one piece of the funding puzzle.

At Recur Club, we help fast-growing businesses, especially in SaaS, D2C, and subscription models, access capital without delays. So far, we’ve enabled over ₹1,200 Crores in funding through our network of 125+ trusted capital partners.

If you’re looking to scale faster or supplement crowdfunding with flexible financing, we’re here to support you.

✔ Access capital in as little as 48 hours
✔ Collateral-free options up to 10 Crores
✔ Trusted by hundreds of high-growth Indian businesses

Connect with Recur Club to explore flexible, founder-friendly funding options.