Godrej Capital plans to achieve 10% market share across MSME lending in Tamil Nadu

Chennai, October 19, 2023: Godrej Capital, the financial services arm of Godrej Group, recently launched unsecured business loans explicitly tailored for MSMEs and aims to tap 10% of the market share in Tamil Nadu across MSME lending. The company has expanded its operations in the state by opening new branches in Kanchipuram, Salem, and Coimbatore, in addition to its existing presence in Chennai.

Press meet video link 👇 

The company has partnered with 150+ Channel partners across Tamil Nadu to provide various product offerings across MSMEs. Tamil Nadu remains an essential market for Godrej Capital as private lenders account for over "INR 700 crores per month across secured and unsecured loans for MSMEs. The company aims to scale up the unsecured business and enhance its Loan Against Property business for a broader customer segment and range of collaterals.

Currently, the MSME loan portfolio of the company stands at INR 4,000 crore, with a target to reach INR 6,000 crore by the end of this financial year out of which INR 1,000 crores will be unsecured business loans.

Mr. Manish Shah, MD & CEO at Godrej Capital, said, "Chennai has been a critical contributor to our MSME lending business, and we are optimistic about expanding to new cities. With innovative and flexible offerings like Design your EMI, Bizrewards, longer tenures, and higher loan amounts, we remain focused on providing small business owners with the right financing to grow their businesses. Further, Godrej Capital Nirmaan will help small businesses with the right tools and resources beyond lending for comprehensive growth."

MSMEs play a vital role in India's GDP but often need help with cash flow management. Recognizing the pertinent challenges faced by these businesses, Godrej Capital aims to provide accessible financing options to MSMEs that address their unique needs of cash flow management by offering innovative and flexible repayment options. The MSME oans provide several benefits, including a fully digitized process, quick sanction and disbursal, longer tenures, and an industry-first reward program on timely repayments.

Godrej Capital has a balance sheet of ~INR 7,700 crore. It aims to grow the same to INR 30,000 crore by 2026. With an expansive network of 2,500+ channel partners and over 300 developers, Godrej Capital serves over 11,000 customers across products. It is looking to expand the distribution network to 10,000+ partners over the next 2 years.

In addition to Chennai, Salem, Coimbatore and Kanchipuram, Godrej Capital extends its MSME loan offerings across multiple cities, including Mumbai, Bangalore, Delhi-NCR, Pune, Surat, Indore, Vapi, Hyderabad, Jaipur, Chandigarh, Alwar, Aurangabad, Baroda, Jalandhar, Jodhpur, Ahmedabad, Mangalore, Salem, Ludhiana, Mysore, Nagour, Nashik, Rajkot, Udaipur, Vijayawada, Rangareddy, Vishakhapatnam and Thane.

Godrej Capital recently launched a new digital platform, Nirmaan, to provide MSME owners an all-inclusive opportunity to grow their businesses. The company has initially partnered with Amazon Global Selling, Onsurity, Zolvit, and MSMEX to help increase the potential market reach, simplify legal and compliance, enhance employee health and welfare, and provide business coaching for small businesses.

****