Paisalo Enables MSME Segment with Easy Loans for Small Businesses and Individuals

Chennai: Paisalo Digital Limited, formerly known as S. E. Investments Limited is a leading Systemically Important Non-Deposit taking NBFC registered with the Reserve Bank of India, in operation since 1992. With a vision of empowering the MSME segment and small businesses, the company, today launched their app with the same name to accelerate and facilitate 100% digital loan disbursal, creating unique customer experience. Introducing a complete digital experience, especially for traditional small entrepreneurs, the loan ticket is designed at Rs. 10,000 to Rs. 50,000. The loan repayment tenure is 1,3,6,12,18 and 24 months. The company expects to disburse 30,000 loan applications in FY19 through the Paisalo app itself.

The company has a loan book of over Rs. 1,262 crores with a net worth of Rs. 553 crores and a CAR of 38.08% as of FY17. It has nearly 90,000 live borrowers and a total customer base of over 7 lakh borrowers. Other than the 49 branches, the company serves customers at 300 small locations, serviced by a field staff of over 700 people. With business operations in Uttar Pradesh, Maharashtra, Madhya Pradesh, Gujarat, Rajasthan, Delhi and Haryana, the company has also created over 22600 Self Help Groups (SHGs) in both urban and rural areas. The company enjoys basel rating by India Ratings (Fitch) as ‘A-‘.

The Paisalo brand name has been chosen with thoughtful consideration to reflect the true essence of the change in the company’s new digital business approach so as to create a seamless and hassle- free experience for customers. The name not only defines the business of the company but also resonates with the simplicity of the lending process.

The Paisalo app (Available on Google and Apple Store — Links to download) has been built to provide easy loans that are accessible to individuals in need of immediate loans. Completely designed in-house, the app enables an individual to borrow money up to Rs. 50,000 using their mobile without any human interference. This effectively targets peripheral industry problems such as corruption, inflated interest rates from local moneylenders and excessive compliance. A customer contact centre will further amplify the user experience, by addressing any need for assistance. By leveraging technology and harnessing the power of machine learning the company aims to adopt 100% end-to-end mobility for the entire spectrum of operations in areas such as loan origination, loan management, and repayments.

Commenting on the initiative, Mr. Sunil Agarwal, Managing Director at Paisalo Digital Limited said, “The Paisalo app intends to enable customers to reach us with ease and ensuring smooth loan disbursal and repayment. With a vision of enabling economic growth and progress from the bottom up, we aim at partnering with small business owners in their growth journey and help them contribute to maximum job creation. With careful research and our experience of 26 years in the industry, we were able to identify key issues in the MSME space and our loan ticket and tenure are designed to address the needs of this special segment for their working capital and other financial requirements.”

Adding to the conversation, Shantanu Agarwal, Chief Innovation Officer says, “We at Paisalo, acknowledge the constructive disruption technology has brought in the lending space and we are committed to leveraging it so as to reach maximum end users with minimum cost, a benefit that we can pass on to them.”