26 August 2016, India :
E-commerce firm, Flipkart, on Thursday announced that in just a year since the launch of its ‘Flipkart Growth Capital’ program, it has successfully disbursed loans amounting to over Rs 125 crore to more than 800 sellers on its platform.
Under the ‘Flipkart Growth Capital’ programme, launched in July last year, Flipkart sellers can avail loans with interest rates starting at 11.40 percent, Flipkart said in a statement. The programme had received over 3,000 applications in the initial months of the launch and over 800 loans have been disbursed, it added.
“Unavailability of finance is one of the major barriers for the growth of small businesses in both online and offline space. The programme addresses that issue and facilitates our sellers by helping them connect with trusted lenders in the industry,” Flipkart Head Marketplace Anil Goteti said.
“Considering the success of the programme and increasing demand for the initiative, we are estimating this to hit the Rs.200 crore mark by the end of this festive season. We are also planning to launch promotional offers with our lenders for the festive season in the following two months. This will definitely enable our sellers to grow their business and provide quality products to millions of customers shopping on the platform,” Goteti added.
Flipkart had partnered with eight financial institutions including State Bank of India, Axis Bank, Yes Bank, L&T Finance, India Infoline, Aditya Birla finance, Bajaj Fin Serve, Tata Capital and LendingKart for the initiative to offer collateral-free loans with interest rates starting at 11.40% to its sellers.
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