Kinara Capital, a leading NBFC fintech entity for MSMEs, recently announced that it would be offering special business loans to women entrepreneurs in India to enhance their financial inclusion. Under the HerVikas initiative, as it is called, Kinara Capital would disburse Rs. 100 crores of small business loans to women entrepreneurs in India.
The programme further aims to boost women entrepreneurship through a flat discount on business loans without any property collateral necessary. This is particularly important because ventures by women entrepreneurs constitute 8 million of the 58 million businesses in India, despite which, access to capital is still a major challenge for most of them.
Hardika Shah, Founder & CEO, 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!”
As part of the initiative, women entrepreneurs applying for a loan of Rs. 2 – 25 lakhs from the organisation will also enjoy the benefit of an upfront 1% processing fee deduction. This will be valid for all of its existing loan products, including Working Capital, Bill Discounting, Asset Purchase, Supply Chain Financing, and Line of Credit.
The scheme is currently live in states like Karnataka, Telangana, Andhra Pradesh, Gujarat, Maharashtra, Tamil Nadu, and UT Puducherry, where Kinara Capital has as many as 110 branches.