Hyderabad, August 8, 2023: Electronica Finance Limited (EFL), a leading Pune-based Non-Banking Financial Company (NBFC) specialising in financing MSMEs with a focus on financial inclusion and energy efficient machine financing, forays into Telangana market by opening seven branches in Warangal and Suryapet. The company aims to cater to the aspirations of small businesses in Telangana by offering seamless credit facility in the most transparent manner.
EFL is looking forward to offering its Loan Against Property product in Telangana, after already offering in Gujarat, Rajasthan and Madhya Pradesh markets. Through this, EFL’s product offering will enhance credit availability to MSMEs and individuals in Telangana and help them build a credible credit profile. The company also plans to open more than 50 branches across geographies including Telangana, thereby increasing penetration and entering new locations.
Elaborating on the market potential of Telangana, Ms Shilpa Pophale, Managing Director & CEO, Electronica Finance Limited said, “It is estimated that Telangana is home to about 2.6 million MSMEs, out of which 56 per cent are in rural areas where EFL plans to give loans to customers who are borrowing for the first time. For example, handloom weavers of Nalgonda, textile workers of Suryapet (major cotton producer district), agri producers of red chillies (Kamareddy), paddy/cotton (Karim Nagar), handicraft and toy workers of (Nirmal) and similar ventures will be supported in their growth journey through timely availability of capital. In this way, EFL’s lending will spur growth in the local economy of the state by generating newer employment opportunities, avenues for business expansion and improved standard of living.”
The company has established more than175 branches across India and is aiming to take this count to 500 branches in the next five years, as well as double the manpower staff. “This growth will be complemented by introducing new products, investing into technology and refining existing processes,” added Pophale.
In FY22-23, the company has seen highest business growth with year-on-year disbursement growth of more than 65 per cent and year-on-year loan book growth of more than 45 per cent. “We have seen the highest ever profitability in last financial year with year-on-year growth in profits of more than 40 per cent. The company has been contributing to UN SDG goal of financial inclusion and sustained economic growth through funding New to Credit (NTC) customers, wherein more than 5,000 NTC borrowers have been funded till date. Our employee strength has also doubled during the last financial year,” mentioned Pophale.
This financial year the company plans to achieve 50 per cent growth across loan disbursements and loan book during the year. The company is also in the process of launching its mobile app this year to enable digital on-boarding and automation of existing operational processes. Through continuous technology investments, EFL is committed to enhance customer experience via superior service quality.