One of the fastest-growing fintech for MSMEs, Kinara Capital recently announced that it has launched HerVikas, business loans to accelerate the financial inclusion of women entrepreneurs in India.
Kinara Capital plans to disburse ₹100Cr in HerVikas small business loans to women entrepreneurs this fiscal year.
With HerVikas, the company aims to encourage women entrepreneurs with an upfront discount on business loans with having to submit any property collateral. Of the nearly 58 million businesses in India, about 8 million are run by women entrepreneurs. Timely access to capital is one of the major struggles for women entrepreneurs seeking to grow their business.
Talking about the initiative, Hardika Shah, Founder & CEO of Kinara Capital, said, “Less than 14% of all businesses in India are owned by women, and the number of women entrepreneurs has been declining over the last decade. Empowering women entrepreneurs uplifts local economies and creates new jobs in communities. That’s why we are committing Rs. 100 crores to boost women entrepreneurs’ progress, her vikas!”
Any woman entrepreneur who applies for a loan in the range of ₹2lakh to ₹25lakh will be eligible for an upfront 1% processing fee deduction. This concession will be offered across all currently existing loan products, such as Working Capital, Asset Purchase, Bill Discounting, Line of Credit, and Supply Chain Financing.
Currently, HerVikas is available in the states of Karnataka, Telangana, Andhra Pradesh, Gujarat, Maharashtra, Tamil Nadu, and UT Puducherry, where Kinara Capital is currently operational with 110 branches.
Sandeep is a journalism and mass communication graduate with a keen interest in politics and business. He is a part of Research & Content team at HrNxt.com.