Mahindra Finance has announced a strategic partnership with UGRO Capital, aimed at strengthening their support for Micro, Small, and Medium Enterprises (MSMEs) across India. This collaboration is designed to provide businesses with access to much-needed financial resources, offering both business loans and loans against property (LAP) to help them grow and thrive.
Mahindra Finance, one of India’s leading non-banking financial companies (NBFCs), and UGRO Capital, a DataTech NBFC specializing in MSME financing, are combining their expertise under this co-origination partnership. UGRO Capital will use its advanced data analytics, wide distribution network, and strong local presence, while Mahindra Finance will bring its extensive experience in dealing with MSME customers and its strong brand reputation. Together, they aim to make credit more accessible for small businesses and help close the existing gap in MSME financing.
This partnership will also allow MSMEs to benefit from the synergies created by both companies, providing timely and affordable loans, which are crucial for business growth. Speaking about the collaboration, Raul Rebello, Managing Director & CEO of Mahindra Finance, emphasized that this partnership will help bridge the credit gap for small businesses and enhance the growth of the MSME sector in India. The goal is to provide a comprehensive financial solution that helps businesses grow and contributes to the broader mission of supporting emerging India.
Shachindra Nath, Founder and Managing Director of UGRO Capital, shared a similar sentiment, stating that the collaboration would significantly improve access to credit for MSMEs, aligning with UGRO Capital’s mission of servicing the diverse financial needs of small businesses across the country.
The agreement, which spans an initial period of three years, marks a significant step forward in empowering MSMEs and providing them with the financial tools needed to succeed in an ever-changing market. Through this partnership, both Mahindra Finance and UGRO Capital aim to deliver timely and efficient financing solutions, furthering their shared commitment to financial inclusion and sustainable growth.