Our Principal Competitive Strengths
Diversified Product Portfolio and Revenue Streams
- Retail focused;
- Technology driven;
- Diversified product portfolio – Vehicle Loans, MSME Loans and SME Loans. In Vehicle Loans, we extend loans for new and pre-owned vehicles and for refinancing of vehicles across several categories including: (i) multi-utility vehicles (“MUVs”); (ii) cars; (iii) small commercial vehicles; (iv) light commercial vehicles; (v) medium and heavy commercial vehicles; (vi) tractors; (vii) three-wheelers; (viii) two-wheelers; and (ix) construction equipment;
Customer Centric Organizational Commitment
- Wide network of branches;
- Hire local personnel – Enables better understanding of customers encourages repeat business, leads to business referrals and results in high collection efficiency;
- Establish relationships with vehicle manufacturers and dealers;
- Set up call centers - separate tele-calling teams for our vehicle finance and MSME loans business, which enables us to have a more focused approach towards our customers;
- Conduct referral and other programs - Customer retention programs, employee business referrals program, customer literacy programs, etc;
Significant Presence in Rural and Semi-Urban Markets with Focus on Low and Middle Income Customers
- Over 20 years of operating experience in rural and semi-urban markets of India;
- As of December 31, 2016, 146 of our 300 branches were are located in rural and semi-urban markets;
- Successfully adopted a strategy of contiguous expansion across regions in the 10 states and one union territory in which we operate.
- Focused on customers in such markets, particularly those without a credit history, that offer us significant growth opportunities and customer loyalty.
- Our understanding of the local characteristics of these markets and customers has allowed us to address the unique needs of our low and middle income and assisted us to penetrate deeper into such markets.
- Decentralized model for Vehcicle Loans and MSME Loans - Enabling optimization of turnaround times for our customers while managing our credit requirements and associated risks.
- Our branch network is structured along a two-tiered hub-and-spoke model with 55 of our branches classified as hubs and 245 as spokes, as of December 31, 2016 enabling a low-cost penetration into underserved markets.
Access to Diversified Sources of Funding over the Years
- Cost-effective debt financing due to our stable credit history, improving credit ratings and conservative risk management policies.
- Funding from a variety of sources including banks, mutual funds, insurance companies and other domestic and foreign financial institutions.
- Access to term loans and working capital facilities; proceeds from loans assigned and securitized; proceeds from the issuance of NCDs and commercial paper; and subordinated debt borrowings.
- Securitization or Assignment of loans which qualify as priority sector lending for banks, as well as our non-priority sector loans to banks, financial institutions and mutual funds, which enables us to optimize our cost of borrowings, funding and liquidity requirements, capital management and asset liability management.
Experienced Management Team and Qualified Operational Personnel
- Experienced & Professional management team
- Supported by a qualified, capable and motivated pool of managers and other employees. Our managers have an in-depth understanding of the geographic regions, loan products and types of collateral and businesses of our borrowers.
- Key Management Personnel have been with us for an average of over 15 years.
- Benefited significantly from the vision, leadership, innovation and experience of our promoter, Mr. Sanjay Agarwal, who is a first generation entrepreneur.