Investment to boost technology and branch expansion
Bengaluru, India — May 9, 2019 — Kinara Capital, a leading small business lender in India driving financial inclusion, today announced it has secured funding of INR 100 crores from private equity and impact investors — Gaja Capital, GAWA Capital, Michael & Susan Dell Foundation and Patamar Capital. This round of funding will help accelerate Kinara Capital’s growth in new and existing markets and increase its investment in technology to improve customer experience and assess credit decisions at a faster rate. Kinara Capital has disbursed INR 1160 crores across 33,785+ loans to date, which has positively impacted over half a million lives in India.
Hardika Shah, Founder and CEO of Kinara Capital, said, “We are honored with the vote of confidence from our investors as we aim to reach new milestones by investing in our people and technology. Impact-focused sustainable growth is at the heart of all that we do to create access to capital for small business entrepreneurs. When committed to transforming lives, we believe in leading by example – we run a profitable organization that practices integrity, transparency, and treats customers with dignity.”
Kinara Capital provides fast and flexible loans in the INR 2-25 Lakh range without taking property collateral from small business entrepreneurs. Majority of customers return to Kinara for additional capital needs as their business grows. Women were hired in 22% of the jobs created by small businesses funded by Kinara Capital, and about 28% of all jobs went to first-time earners.
Kinara Capital built a fully digital platform that eliminates paperwork and saves time for both customers and employees to fast track the credit decision process. Funds are disbursed within 5-7 days of receiving the loan application. The company will now expand investment in services that refine the customer experience with features such as autopay and auto-disbursement. On the backend, the company will further develop its proprietary machine-learning lending algorithms to fast track financial inclusion for thousands of small business entrepreneurs.
Combining technology with personalized customer service is the Kinara way. On-the-ground field staff offers doorstep service to customers to assist with the application process, and communicates in their preferred regional language. With 90 current branches, the company plans to add 20 branches in high-growth locations in Andhra Pradesh, Gujarat, Karnataka, Maharashtra, Tamil Nadu and Telangana. Kinara Capital currently has an employee base of 1,000 employees and plans to fill about 300 more roles this year.
About Kinara Capital
Kinara Capital disrupted lending in India by providing loans without property collateral to small businesses, thus enabling financial inclusion for entrepreneurs who are driving economic growth. Led by a women-majority management team, Kinara Capital has impacted over half a million lives in India. This non-banking finance company (NBFC) has disbursed over INR INR 1160 crores across 33,785+ loans to small businesses, which has directly led to the creation of thousands of new jobs, including for first-time earners and women. Data-empowered with a human touch, Kinara Capital delivers personalized customer service to provide fast and flexible loans in INR 2-25 Lakhs to small business entrepreneurs. The company is headquartered in Bengaluru with 90 branches across Andhra Pradesh, Gujarat, Karnataka, Maharashtra, Tamil Nadu, Telangana and the union territory of Puducherry. Kinara Capital is qualified as Systemically Important by the Reserve Bank of India (RBI).