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

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.