With more than 11 lakh users, 1,300 lenders, Biz2Credit, one of the most trusted online credit resource in US, is all set to enter the Indian Funding market by making finance available to thousands of SMEs looking for business loans on best terms. The company has already raised funding of over $1.4 billion in financing.
India has huge market of around 29 million small businesses and SMEs contribute 45% to the country’s industrial output and to 40% of the total exports. The new trends in SME financing are getting influenced by digital revolution. This includes analytics based lending, peer to peer lending and various other variants. Ramit Arora, President & Co-Founder of Biz2Credit, believes that digital Finance will capture at least 10% of the $ 300 billion Indian Funding market.
Some of the biggest hurdles faced by the SMEs in their growth are:
- adequate and timely banking finance,
- limited capital besides ability to adapt and use latest technologies,
- identification of new markets,
- need for an effective marketing strategy,
- constraints on expansions and non-availability of skilled labour at affordable cost, and
- demand side constraints.
The lack of organized credit to small business owners is a gap in the Indian financial market today and an inhibiting factor for growth of entrepreneurship in India.
India has countless small and medium-sized businesses (SMEs), contributing more than 60% to the economy. Entrepreneurs often resort to using personal credit cards, home equity lines or their own savings to fund businesses when there are much better options. Biz2Credit claims to streamline the loan application process and finds the best deals on loans, lines of credit and other forms of financing.
Financing on Biz2Credit’s platform ranges from $5,000 to $5 million and can be coordinated in as little as 24 hours for working capital, commercial real estate and other uses.
Using its proprietary technology, Biz2Credit matches borrowers to financial institutions based on each company’s unique profile, in a safe, efficient and price-transparent environment. Biz2Credit’s customers will gain access to full range of Biz2Credit’s offerings including data and risk analytics through the patented BizAnalyzer™ Score, enabling lenders to process transactions with an automated score card s. Also, the BizAnalyzer Score Simulator Tool will allow SME owners to review a personalized snapshot of their business health will be made available free of cost.
In India, the company has partnered & tied up with Tata capital, the flagship financial services company of the$ 108 billion Tata Group and Busy Infotech Pvt. Ltd. Biz2Credit is in advanced stages in tying up with leading banks / financial institutions / lenders in India to boost online financing success for individuals and SMEs in India under PM Narendra Modi’s ‘Digital India’ and ‘Make In India’ initiatives which are opening up bigger opportunities for the SME sector.