Credit Wise Capital Disrupts Two-Wheeler Financing with Tech-First Origination and Collection Mastery

In the massive landscape of Indian lending, the two-wheeler market is a titan. With India being the largest two-wheeler market in the world, the demand for financing is astronomical. Yet, most fintech startups have historically shied away from this sector. The reason? While personal and SME loans can be 100% digital, two-wheeler financing hits a "physical wall" at the RTO registration and hypothecation stage. This 5% physical friction has kept the industry dominated by legacy giants—until now.

Enter Aalesh Avlani, Co-founder of Credit Wise Capital. After a successful stint in private equity and micro-VC (investing in 70+ startups including BharatPe), Avlani decided to get his hands dirty. By building a digital-first NBFC that "flips" the traditional dealer model, Credit Wise Capital is providing instant sanctions via WhatsApp and turning the collection process into an educational, friend-first interaction. Today, with a team of 420 and a presence across 850 dealers, Avlani is proving that tech can master even the most physical of financial products.

From acting as a sales agent at local dealerships to managing 35,000 customers, Avlani’s journey is a blueprint for disrupting the "undisrupted" credit markets of Bharat.

The Problem: The Physical Friction of Monoline Lending

Avlani identifies four reasons why two-wheeler financing is a "billion-dollar opportunity": it’s a secured product, high-yielding (22-24% IRR), low-ticket (₹75,000 average), and serves the world’s largest market. However, the legacy model was broken. It was entirely "dealer-driven," meaning the dealer decided which finance company to recommend, often based on relationships rather than the customer's best interest.

"Fintechs shy away... because it doesn't fit into the gamut of being 100% digital," Avlani explains. "Two-wheeler financing can go up to 95% digital, but 5% will always be physical." This gap created a service-oriented bottleneck where young, digitally savvy customers were forced into archaic, slow-moving processes.

The Solution: Flipping the Dealer Model

Credit Wise Capital differentiates itself by becoming an "origination powerhouse." Instead of waiting for dealers to send them business, they embedded their tech on platforms with millions of merchants (like PocketLoot). When a user clicks a banner, they are underwritten instantly via a WhatsApp bot.

"I flipped the model... I started giving business to dealers," says Avlani. By giving customers a sanction letter before they even walk into a showroom, Credit Wise Capital ensures that the customer—and the dealer—gets a seamless experience in less than 30 seconds. This "product-first" approach turned a perceived threat into a snowball effect of dealer on-boarding.

Implementation: "Collection is King"

Avlani is refreshingly blunt about the lending business: "It's easy to give money... but how you collect it is most important. I'm in the business of collection." While 96% of the process is digital, the "physical 4%" is where Credit Wise Capital wins. When a customer bounces, they are educated rather than harassed.

They use UPI 2.0 and e-NACH for automated collection, but their field team is trained for "soft collection." They incentivize timely payments with "CWC Coins" which can be encashed for bike accessories like helmets. "Not a single person in my team is trained for hard collection... we focus on educating them on the importance of a clean CIBIL score," Avlani notes.

The Human Side: Football Stadiums and Commando Teams

Alesh Avlani is a vocal advocate for building a fun, high-performance culture. At the CWC office, cabins aren't numbered; they are named after legendary football stadiums like **Old Trafford** and **Camp Nou**. Every employee is a "team member," and the culture is built on the "billion-dollar opportunity" mindset.

He is also honest about the sacrifices of founder life. "Personal life does take a hit... starting something is not for someone who cares a lot about their social relationships," he admits. For Avlani, the responsibility for the well-being of 420 team members comes before his own social life—a choice he emulated from the successful founders he once invested in as a VC.

Future Vision: Scaling the "Monoline" Moat

Looking ahead, Credit Wise Capital is doubling down on its monoline focus. By mastering one complex asset class—the two-wheeler—they are building a moat that generalized fintechs cannot easily cross. With partnerships like HDFC Bank and a focus on Tier-2, 3, and 4 cities, Avlani’s goal is to become the definitive financier for the millions of Indians seeking the "sexy feeling" of owning their first ride.

Key Takeaways for Founders

• Find the "Un-fintechable" Gap: If others are shying away from a sector because of a physical friction (like RTO), that is your opportunity to build a specialized moat.
• Origination is the Lever: Don't wait for the middleman (dealer). Give the customer the power *before* they meet the middleman, and the middleman will eventually follow you.
• Be the Dumbest in the Room: Avlani believes that if you are the smartest person in your team, you have the wrong team. Hire people who challenge every decision you make.
• Find Your "One Yes": In fundraising and vendor management, you will face hundreds of rejections. You only need one person who believes in your vision as much as you do.

With a 24% IRR and a rapidly growing network of 850+ dealers, Credit Wise Capital is steering the future of Indian asset financing. For Aalesh Avlani, the journey is about more than just numbers; it's about building the "plane" while soaring toward a billion-dollar horizon. By mastering the 5% physical friction, he is unlocking the 100% potential of young India's mobility dreams.