Business News Update :
Dhanvarsha Finvest and Rupifi collaborate to offer cash flow based credit lines to MSME’s
Mumbai based NBFC Dhanvarsha Finvest Limited and Rupifi, an embedded credit lending firm announce their partnership to offer cash flow based credit lines to the MSME segment of India.
Dhanvarsha, a BSE listed NBFC was started with the idea of building Social Capital. It aims to offer easy access to finance to the unserved MSME segment either through its own balance sheet or through distribution tie-ups, supported by its robust technology engine.
Rupifi is India’s first SME-focused embedded lending fintech working with large online and offline aggregators and marketplaces, providing flexible financial products to their end customers (SMEs). They work towards disrupting the micro and small business segment by leveraging plug and play technology which they have built around cash flow based lending.
Dhanvarsha and Rupifi have come together to solve the critical needs of these small customers, especially in the current challenging post Covid environment. Rupifi is working towards reducing the friction for small borrowers while accessing credit by deploying its proprietary tech engine that allows them to analyse the SMEs cashflows, repayment trends, invoicing history etc. on a real time basis and provide this to credit providers to underwrite these customers. Dhanvarsha is supporting Rupifi with the strength of its balance sheet and historical experience in underwriting this segment of borrowers, thereby creating a strong combination of traditional and tech-based underwriting to support the MSME sector in India.
Mr. Karan Desai, Joint Managing Director at Dhanvarsha said, “We believe that collaboration with the right partner is key to building robust businesses. Dhanvarsha and Rupifi have a common vision of serving this underserved MSME segment through collaboration and long-term value creation for all stakeholders in the ecosystem. In Rupifi, we found a partner who gave us the confidence that while they were focused on reducing the turnaround time for credit access to MSMEs, they were also equally careful about ensuring that they helped us build a high-quality loan book. With Dhanvarsha’s balance sheet and Rupifi’s business model and technology, this partnership will help us reach out to millions of these small business borrowers who currently lack credit facilities when analysed as per the purely traditional approach.”
Mr. Anubhav Jain, Founder and CEO at Rupifi said “Dhanvarsha Finvest is the perfect partner for us and we realized this in the first conversation with their leadership team. The approach and openness to help SMEs through the cash flow based underwriting led us to close one of the fastest joint lending arrangements in a span of just 10 days, which is phenomenal in our industry. We look forward to scaling business across sectors with DFL.”