While the success of India’s demonetisation is being debated across both commercial and political corridors of power, there hasn’t been a better time for financial firms in the lending market. The surplus liquidity of cash in bank coffers has caused even banks to announce rate cuts on the loans provided.
And the signs could be seen before November 8. Just last year, Indian startups in the lending segment saw a massive draw of $343 million in investments, almost three times the $124 million that was seen in 2015. This includes a mixture of pure-play transaction platforms like LendingKart as well as NBFCs (Non-Banking Financial Companies) like IFMR Capital.
Loan frame is India’s leading fintech marketplace for SME lending which makes obtaining credit for an SME a lot easier and efficient. The team has merged world class technology, processes of global financial institutions with deep Indian SME lending experience.
Finance is quite rightly called the ‘Lifeblood of Business’. Short-term or long-term; managing working capital or capital finance; completing an order or strategic business expansion…. nothing works without business finance. When this criticality is seen alongside the poor state of SME financing, it is no surprise that the SME economic growth engine is often found sputtering.
It is small wonder that Micro, Small and Medium Enterprises (MSMEs) consist the backbone of Indian economy. Unfortunately, less than 10 per cent of Indian MSMEs are institutionally financed in a market with over 3.6 crore such enterprises.
Loan Frame was started with an aim in mind – help borrowers access the right kind of business finance in the minimum possible time. Towards this end, we are creating the largest SME lending marketplace. We harness the power of technology to make this happen. We want that getting business loans for small businesses should be a quick, easy and transparent process as against the largely slow, painful, and opaque process that it is currently.