CredAble, India’s leading fintech company specializing in supply chain finance, and Aditya Birla Finance Limited, a prominent player in the financial services sector, have announced a strategic partnership aimed at transforming MSME (Micro, Small, and Medium Enterprises) lending in India. This strategic partnership is poised to revolutionize the traditional approach to MSME financing by leveraging cutting-edge technology and advanced analytics.
With CredAble’s advanced solution, ABFL has witnessed a substantial increase in lead flow, with nearly 80,000 leads sourced in the past 6 months. Additionally, it has enabled the creation of a significant database for a large NBFC such as ABFL, enhancing analytics for cross-selling various products like Merchant financing, top-up loans, and equipment financing. The implementation has also contributed to increased Net Interest Margins (NIMs). Relationship Managers are now able to easily manage both manual and digitally sourced leads, showcasing the efficiency of the integrated solution.
To bolster ABFL’s digital lending capabilities, CredAble has designed a multi-faceted digital underwriting solution that combines dynamic case management, intelligent workflow, and robust credit risk and decisioning support systems. Through the digital underwriting expertise of CredAble, Aditya Birla Finance Limited has successfully brought to the SME ecosystem- Udyog Plus, an end-to-end solution that addresses critical pain points in the B2B lending process and plays a crucial role in supporting the diverse needs of MSMEs.
Highlighting the significance of their advanced underwriting solution, Nirav Choksi, Co-founder and CEO of CredAble stated, “Accuracy and precision are crucial in the digital lending landscape. State-of-the-art underwriting today involves a fully digital workflow and extensive use of a wide range of third-party data. Entities lacking systems with alternative credit scoring mechanisms will be at a disadvantage in pricing risk effectively and supporting MSMEs competitively. We’re extremely delighted to back ABFL with our underwriting solution that automates the end-to-end lending experience that was previously highly manual. As a result, our digital lending solutions are enabling low-interest credit offerings and faster credit decisions, empowering MSMEs with unprecedented access to unsecured business loans and bringing ‘credit invisible’ customers under the formal financial fold.”
Leveraging advanced machine learning algorithms, employing in-built analytics tools, and backed by a deep understanding of customer segments—CredAble has developed a suite of innovative financing solutions to cater to small and medium-sized businesses, typically classified as high-risk assets.
Commenting on the collaborative efforts of CredAble and ABFL in streamlining the MSME lending process, Rakesh Singh, MD & CEO, of Aditya Birla Finance, said, “At Aditya Birla Finance, we are on a journey to empower MSMEs and entrepreneurs, assuring them that we are the financing partner they can always count on. The collaboration with CredAble marks a pivotal moment for ABFL. CredAble’s digital underwriting solution has not only streamlined our lending processes but also significantly improved our efficiency in serving businesses, setting a new benchmark in unsecured business loans for MSMEs.”
This strategic alliance aims to empower MSMEs with accessible and tailored financing solutions, driving sustainable growth for these enterprises. Moreover, the association is a commitment to fostering innovation and co-creation in the financial sector.
About CredAble:
Established in March 2017 by Nirav Choksi and Ram Kewalramani, CredAble is India’s largest working capital technology platform enabling more than USD 6 billion annually in working capital for India Inc. which includes large, mid, emerging corporates, MSMEs, and financial institutions. CredAble’s platform hosts over 100 corporate customers, over 2,50,000 small business borrowers, and over 35 large financial institutions and banks. By leveraging technology built in-house, expertise in big data analytics, trade finance, and partnerships with capital providers, CredAble leads the working capital space while witnessing over 500% year-on-year growth.
Backed by well-known investors such as Oaks Asset Management, Plutus Wealth Management LLP and Axis Bank Limited, the company was granted NBFC (BBB Stable) license by RBI in 2019 and offers post invoice discounting and other working capital finance products. Apart from catering to the financial needs of the SME segment, the company offers financial services through its platform products to customers such as Large Corporates, Mid-Market and Emerging Corporates, Financial Institutions.
The Company was recently awarded as fintech startup of the year 2022 at The Asset Triple A Digital Awards 2022 followed by “The Best Banking Tech of the Year” at the Asia Fintech Award 2022 for building a tech stack that is robust & agile which has transformed the working capital landscape in the country. It was also awarded in the Fintech, and Deep Tech categories at NASSCOM Emerge 50 Awards 2020 and as the Best Supply Chain Finance Solution of the Year 2019 at the Inflection 2019, a leading supply chain summit. The Company was selected into the Oracle Startup Cloud Accelerator Program 2018, SAP Startup Studio Cohort 2020, and was also recognized by the Maharashtra Government as the Best FinTech Startup 2018.
To know more, please visit: https://www.credable.in/
About Aditya Birla Finance Ltd:
Aditya Birla Finance Ltd, a part of Aditya Birla Capital Ltd. is among the leading well-diversified non-banking financial services company in India. ABFL offers end-to-end lending, financing and wealth solutions to a diversified range of customers across the country. ABFL is registered with RBI as a systemically important non-deposit accepting non-banking finance company (“NBFC”) and is amongst the top five largest private diversified NBFCs in India based on AUM.
It caters to the varied needs of diverse set of customers ranging across retail, HNI, ultra HNI, micro enterprises, SME, mid and large corporates. ABFL offers customized solutions in areas of personal finance, mortgage finance, SME finance, corporate finance, wealth solutions, debt capital markets and loan syndication
To know more, please visit: https://wealth.adityabirlacapital.com/about-us
