India’s fast-growing fintech driving MSME financial inclusion marks 5th anniversary of HerVikas
FinTech BizNews Service
Mumbai, March 8, 2024: Kinara Capital, India’s fast-growing fintech driving MSME financial inclusion, today announced a new INR 500 crores fund and expanded benefits to mark the 5th year anniversary of its HerVikas program for women entrepreneurs. The new benefits aim to encourage more women-owned MSME startups to experience the gains of early access to formal credit by providing them with catalytic capital.
HerVikas will automatically provide qualifying women entrepreneurs with 1% interest rate discount on collateral-free business loans, a 60-day repayment holiday, and a 50% reduction in loan processing fees. In addition to providing bias-free credit decisioning with AI/ML powered myKinara App, HerVikas will also be extended to newly registered MSME startups in the Manufacturing and Trading sectors who may qualify within one month of its business registration. HerVikas is aimed at empowering more women entrepreneurs to pursue establishing their business goals with lowered costs and without immediate loan repayment concerns.
Key Highlights :
● HerVikas program is driving vast financial inclusion of women entrepreneurs leading to improved income generation and new job creation
● Kinara marks the 5th Year HerVikas Anniversary with New Benefits aimed to support more women-owned MSME startups
○ 1% Interest Rate Discount
○ 60-day Repayment Holiday
○ 50% Reduction in Processing Fees
○ Lowered Business Vintage of 1-Month Registration
for Manufacturing & Trading MSMEs
● HerVikas program’s cumulative business loans disbursements will cross INR 1,200+ crores by FY25 with INR 700 crores disbursed to date and the additional allocation of new INR 500 crores fund to be disbursed in FY25.
Hardika Shah, Founder & CEO, Kinara Capital, said, “Every year, we are inspired by our own HerVikas customers who are collectively breaking the glass ceiling. And, now in the 5th year of this program, we are proudly committing our largest allocation to date of INR 500 crores in FY25 and introducing new benefits aimed at empowering more women-owned MSME startups to thrive. By easing access to credit, and enhancing it further with reduced charges and delayed repayment, we are confident that the HerVikas program will empower even more women entrepreneurs to strengthen their business growth.”
Kinara Capital has disbursed over INR 700 crores to date under the HerVikas program in collateral-free business loans. With the additional allocation of INR 500 crores, HerVikas disbursements will exceed INR 1,200+ crores by FY25.
Since the rollout of the HerVikas program, it has been a transformational force supporting 5,800 women MSME entrepreneurs across 100+ cities in India. The further impact of HerVikas program has led to over 31,000+ jobs supported in local economies, of which over 5,500+ are new jobs created by women entrepreneurs. Overall, the support through HerVikas has led to a cumulative post-loan net income generation of around INR 187 crores with women entrepreneurs experiencing an average of 16% increase in their proprietor salary from their businesses.
Kinara Capital has addressed the core challenges faced by women entrepreneurs by introducing a collateral-free, bias-free approach to business loan availability. The strategic implementation of AI/ML via its multilingual myKinara App removes human bias from credit-decisioning thus benefiting women entrepreneurs who routinely face discrimination when it comes to loan approvals, tenor and interest rate. No separate application is required by women entrepreneurs to qualify for HerVikas collateral-free business loans, available in the range of INR 1 to INR 30 lakhs. All of the HerVikas program benefits from Kinara Capital are applied automatically via its myKinara App which offers a fast 1-minute eligibility check and can take an applicant from inquiry-to-decisioning within 24-hours.
