Thursday, Apr 18 2024 | Time 09:10 Hrs(IST)
image
Business EconomyPosted at: Jul 16 2019 8:45PM


CredRight aims to disburse loans of about INR 500 Million by March 2020

Hyderabad, Jul 16 (UNI) CredRight, one of the first FinTech start-ups focused on facilitating loans to chit fund subscribers, on Tuesday announced the launch of its branch network at Warangal and Karimnagar in Telangana.
CEO and Co-Founder, CredRight Neeraj Bansal told the media that very soon the operation would start at Guntur and Nellore in Andhra Pradesh.
YourNest Venture Capital along with Accion Venture Lab and few other prominent angels have so far invested USD 1.5 million in the Hyderabad based FinTech start-up CredRight, he revealed.
In the next 12 months, the company plans to reach out to more than 2000 customers at Hyderabad, Warangal, Karimnagar, Guntur, Nellore and other cities of Telangana and Andhra Pradesh to serve the Chit Funds Subscribers in MSME Sector by facilitating loans from banks or NBFCs – with a targeted monthly disbursement of more than INR 200 million, he further revealed.
CredRight aims to disburse loans of more than INR 500 million by end of March 2020, he said in the coming fiscal year 2019-20, the company plans to further invest in technology and grow from the present strength of 25 to more than 50.
There are around 50 million registered and unregistered MSME businesses in India that face a nearly 300 billion dollars credit gap and the lack of adequate finance due to shortage of organised lending from banks and other formal institutes along with absence of transparency poses severe challenges in front of MSMEs to obtain loans, Mr Bansal stated.
Our holistic approach will be to support the MSMEs with collateral – free loans in the both telugu state of Telangana and Andhra Pradesh to spearhead with their growth ambition”, Neeraj Bansal further stated.
Welcoming Chit Fund Agents to partner with CredRight in our swift progress and become their own boss with an attractive income opportunity of INR 1 lac per month and more, he said and also welcoming Chit Fund Executives/ Sales Managers to explore long- term career prospects by joining CredRight, the fast-growing professional company with immense professional growth and attractive salaries.
Many of the banks hesitate to offer loans to small scale units seeing the growth of non-performing assets in the past, he said collateral-based lending models will have to become more flexible and thoughtful, based on cash flows and commitment of the entrepreneur towards the business.
The Company brings unsecured loans as well as fill the deficit of financial data via chit records, he said customers, who are unserved or underserved currently can avail loans from CredRight and make monetary use of their available Chit data.
''We are looking to provide loans of above INR 5 lakhs to retailers/small businesses like vegetable vendor, flower vendor, chicken or barber shops and above INR 10 lakh to SMEs'', he disclosed in the last year, the loan band ranged from INR 1 lakh to maximum of INR 20 lakhs with an average of INR 9.5 lakhs.
The Indian chit fund business is estimated to be around INR 700,000 million with about 75-80 lakhs customers. There are an estimated 1.6 million registered MSMEs in India, as per MSME Ministry 2017-18 report; but they face a major problem in terms of getting adequate credit for expansion of business activities, Neeraj Bansal further disclosed.
As per the ASSOCHAM report, the MSMEs received only 17.4 per cent of the total credit outstanding. It is very saddening that in a progressing country like India, only 33-34 per cent of firms from MSME sector have an access to banks and institutional financing channels while rest of them resort to informal channels like friends, family and other personal channels for raising loans, he added.
UNI KNR JTS 2044
Please log in to get detailed story.
Tags: #CredRight aims to disburse loans of about INR 500 Million by March 2020
More News

17 Apr 2024 | 7:45 PM

Mumbai, Apr 17 (UNI) Despite over 17 per cent jump in Revenue, Tata Communications’ net profit has come down more than 46 per cent to Rs 968 crore for the fiscal 2023-24 down from Rs 1796 crore in the previous financial year.

see more..

17 Apr 2024 | 7:31 PM

Mumbai, Apr 17 (UNI) Despite over 17 per cent jump in Revenue, Tata Communications’ net profit has come down more than 46 per cent to Rs 968 crore for the fiscal 2023-24 down from Rs 1796 crore in the previous financial year.

see more..

Premier Energies Photovoltaic Private Ltd secures export order from Amara Raja Infra for Bangladesh project

17 Apr 2024 | 7:23 PM

Kolkata, Apr 17 (UNI) Premier Energies Photovoltaic Private Limited, a wholly owned subsidiary of Premier Energies Limited (PEL), India’s second largest integrated solar cell and solar module manufacturer, has achieved another milestone by securing a 140 megawatt (MW) Solar PV Modules supply export order from Amara Raja Infra Private Limited for an EPC project in Bangladesh.

see more..

ZEE new org structure – Broadcast, Digital, Movies & Music key Biz verticles

17 Apr 2024 | 6:00 PM

New Delhi, Apr 17 (UNI) A day after withdrawing merger implementation application from NCLT, ZEE Entertainment on Wednesday announced new structure for the organization across 4 key business areas – Broadcast, Digital, Movies and Music with a view to enhance performance and profitability.

see more..

PHD Chamber identifies 10 key enablers for India to become Viksit Bharat by 2047

17 Apr 2024 | 5:01 PM

New Delhi, Apr 17 (UNI) Industry body PHD Chamber of Commerce and Industry has identified 10 key enablers including ease of doing business, reducing cost of doing business such as cost of capital, power, logistics, land among others, that would lead the Indian economy to “Viksit Bharat by 2047”
Releasing a blueprint for “Viksit Bharat by 2047”, the PHDCCI said the Indian economy is displaying robust growth post Covid pandemic despite continued global headwinds. India’s economy will become USD 34.7 trillion by 2047 with per capita income of USD 21000.

see more..
image