The 10 Most Acclaimed Micro Finance Companies

We introduce “The 10 Most Acclaimed Micro Finance Companies” in order to assist businesses to choose their right microfinance companies. Assessing the scenario in versatile perceptions, our magazine has brought light onto the companies, who have flaunted excellence in providing numerous financial services. This list showcases the microfinance companies which are creating a better world to live.

1. www.insightssuccess.in
December 2018
T
h
e
10 Most
Acclaimed
Micro Finance
Companies
Fusion Microfinance Fusion Microfinance
Empowering Rural and Semi Urban Women through
Innovative Financial Services
Devesh Sachdev
Founder & CEO
Company of the Month
Dr. Joslin Thambi,
Founder, & MD
BWDA Finance Limited

4. Editorial
n developing country like India, the microfinance sector is playing a
I
crucial role in the economic, psychological, and social development of
the nation. Microfinance provides an opportunity to low income
individuals to become financially independent. It creates confidence, skill,
and courage in the marginalized section of society. MFIs can be treated as a
key element in the sustained and long-term economic development all over
the world.
In recent years, mobile devices and increased use of internet services are
transforming banking and microfinance sector in an amazing way.
Microfinance institutes are using this technology to overcome the existing
limits of traditional Brach-based baking. ‘Mobile Financial Services’ (MFS)
covers a wide range of transaction from simple money transfer to providing
loans and savings. The mobile phone has not the only potential to develop
more affordable and further-reaching microfinance business models, but also
providing an opportunity to deepen financial inclusion by reaching the
unbanked. Implementation of mobile services has benefits in terms of less
client’s meetings, more security, lower cost of delivery, easier mobilization of
savings, and reduced operational and financial fraud risks. Additionally, for
most microfinance institutions, MFS represents an opportunity to
dramatically increase their reach.
The path to adopting ‘Mobile Financial Services’ is not free from the
challenges. Customers of microfinance are often lacked education. It is
important to have a basic knowledge of interacting with technology. Budget,
skilled staff, infrastructure, localization are some of the factors that play a
crucial role in adapting mobile financial services.
It is vital for microfinance institutes to analyze and assess how to best
integrate a digital channel for their customers. MFIs should comprehensively
look at how they can deploy mobile channels and data strategies to scale
operations, expand services, and ultimately better serve shareholders, whether
those are investors, donors, or the customer base. MFS has emerged as the
new wave of hope that will reach the last mile for a consumer in the most
convenient and affordable manner. The future will witness remarkable
advancements which would successfully contribute to making India
‘Developed’.
Effective Implementation
of ‘Mobile Financial
Services’ for Micronance
Institutes
Abhijeet Kakade
Abhijeet kakade

5. SME-SMO ExecutivesSwati, Manoj
Circulation ManagerTanaji
Digital Marketing ManagerPrashant, Rahul
Technical SpecialistAmar, Pratiksha
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Co-designerShweta Ambilwade
Marketing ManagerDhruv Apte
Art & Picture EditorRahul Kavnekar
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6. Empowering Rural
and Semi Urban
Women through
Innovative Financial
Services
Fusion
Micronance
08
Company of the
Month
BWDA Finance Limited
Driving Financial Inclusion for
Underprivileged People
Expert’s ViewPoint
Unchanged Repo Rates
Astute from All Angles
CXO
16
28

7. Article
Arohan Financial
Services
Accelerating Financial
Inclusion for the Underserved
S V Creditline
Empowering the Rural
India by Aiding their
Financial Needs
Samasta
Micronance
Empowering Individuals,
Enriching Communities
SMART CFO
Services
Driving Signicant
Improvement to Clients
Financial Health through
Quality CFO Level Services
20
20
26
26
32
3238
38
Micronance – Evolving
with New Directions
CONTENTSCONTENTS
22
Tech-Advancements
Inventive Technologies
Streamlining the Banking
Space
34
Digital Revolution
Digital Revolution of
Micronance Sector
40
Micro N Finance

8. eople in urban, semi-urban and rural areas of India need some sort of financial help for their business and
P
other requirements. Microfinance companies have become a catalyst to change the lives of low-income
individuals by aiding their financial needs. Microfinance institutes have an explicitly “social” goal of helping
these people to lift themselves out of poverty.
In this edition, we introduce “The 10 Most Acclaimed Micro Finance Companies” in order to assist businesses to
choose their right microfinance companies. Assessing the scenario in versatile perceptions, our magazine has brought
light onto the companies, who have flaunted excellence in providing numerous financial services. This list showcases
the microfinance companies which are creating a better world to live.
In this issue, we have specially featured, Fusion Microfinance as a cover story. Fusion Microfinance is a registered
NBFC – MFI which operates in a Joint Liability Group lending model of Grameen and offers financial services to
women living in rural and semi-urban areas. Fusion serves more than 1.3 million clients through its strong team of
4000 people in 400+ branches spread across 18 states of India. Since inception, it has cumulatively disbursed more
than 5000 Crs across India.
We have listed BWDA Finance Limited (BFL) as the company of the month that works for the financial inclusion
of low-income households. Samasta Microfinance Limited aims to provide financial services to the financially
weaker sections in the southern and western states of India. Arohan Financial Service offers financial inclusion
products to the underserved. The SMART CFO services provide shared CFO Services to SMEs and Start-ups.
S.V.Creditline Private Limited is registered as a Non-Banking Finance Company (NBFC-MFI) offering financial
services to poor people. Bell Finvest India Ltd is Non-Banking Finance Company providing an array of
comprehensive financial assistance and solutions. Micro Housing Finance Corporation Limited was incorporated
with the objective to provide housing finance for lower-income households (mostly in the informal sector) in urban
India. Taraashna Services Limited (TSL) facilitates access to finance by providing credit, micro- insurance and
saving facilities to the unbanked clients in India. Moneywise Financial Services Pvt. Ltd. (SMC Finance) is a
wholly-owned subsidiary of SMC Global Securities Ltd. It is registered with the RBI as an NBFC-ND and is
classified as Loan Company.
Our in-house editors have come up with some adroitly written articles such as Microfinance – Evolving with New
Directions, Digital Revolution of Microfinance Sector, and Inventive Technologies Streamlining the Banking
Space
We have included article like Unchanged Repo Rates Astute from All Angles Written by Anuj Puri who is
Chairman of ANAROCK Property Consultants Private Limited.
It’s time to flip the pages and empower yourself with microfinance knowledge!
Micronance: A Way Out for the Poor
Most Acclaimed
Micro Finance
10
Companies

10. Devesh Sachdev
Founder & CEO

11. Fusion
Microfinance
Empowering Rural and Semi Urban Women
through Innovative Financial Services
P
overty is not just a lack of money, it is not having
the capability to realize one’s full potential as a
human being”- Amartya Sen, Eminent Economist
and Philosopher
Being poor can be challenging anywhere, particularly in
a developing country. In such a scenario, the support of
empathetic peer groups can be crucial in bolstering the
confidence and helping to circumvent the binds of social
do’s and don’ts with minimal friction and adverse
repercussions. In present economic system of India,
women-centric microfinance institutions can play a vital
role in enabling women to realize their strengths by
leveraging the power of aggregation. Access to credit is
a key factor in empowering women. The latent credit
demand of an emerging India will allow microfinance
companies to fill the gap, especially where traditional
banks have been wary to serve.
With social vision to reach out underprivileged women
who are unbanked with economic opportunities, Fusion
Microfinance Private Limited offers wide-range of
“
COVER STORY

12. financial products and services to
transform the lives of women who
belong to the rural and semi urban
areas. The foundation stone of the
organization was laid with a vision to
make a social impact through financial
inclusion and woman empowerment.
The motto was to serve the women
from the unserved and underserved
strata of the society who were
entrepreneurs or wanted to start an
enterprise. The Company is creating
opportunities for its clients by enabling
them to channelize their true potential.
Distinctive Services for Nourishing
Financial Needs
Fusion is a Microfinance institution
registered as a NBFC-MFI (Non-
Deposit Taking) with Reserve Bank of
India. The company operates on the
time tested Grameen Joint Liability
Group (JLG) model offering financial
products and services for women.
Income generation loans are provided
to economically active women who
want to either start a new business or to
scale up their existing business. To
provide a risk cover, life insurance is
provided to both the client and her
spouse.
An Ingenious Leader of Fusion
Microfinance
With over sixteen years of rich service
sector experience, Devesh Sachdev is
the Founder and CEO of Fusion
Microfinance. He has completed his
post-graduation from XLRI. On
account of his strategic vision, Fusion
is among top 10 leading Microfinance
Institutions in India. Devesh
successfully completed ‘The Strategic
Leadership Program’ from the Harvard
Business School in the year 2015. He
is on the board of MFIN, which is a
Self-Regulatory Organization for
NBFC-MFIs in India. He has also been
listed in the “50 fastest growing CEOs
of India” in a reputed magazine.
As a passion to support the
entrepreneurial culture, he is an angel
investor and mentor to some of the
startups in India.
Women Empowerment: The pillar of
Success
Fusion only serves women clients and
has already touched the lives of around
1.3 million women. It is a frontrunner
in promoting holistic development of
women. The distribution of loans
provides women with a way to
generate income, which increases their
status within the household as well as
within the community. Fusion works
on the underlying principles of
customer centricity thereby building a
strong connection with its Clients. The
company is driving financial literacy
through digital payments. It inculcates
saving habits in the unserved and
underserved women clients. It is
providing emergency loans to meet ad
hoc needs of the customers and also
provides insurance cover to both the
customer and her spouse. The company
is contributing in remolding the
sectorial image by encouraging the
women entrepreneurs to participate in
livelihood trainings and inculcate those
learnings in their day to day lives.
Contribution to Financial Sector
Growing with responsibility has been a
core value of Fusion’s culture. As a
responsible company, it has
consciously developed a strategic
model to imbibe positive sectorial
Most Acclaimed
Micro Finance
10
T
h
e
Companies

13. image of microfinance sector. The company has
made an efficient use of media and press
coverage to create awareness both at a national
and regional level. Fusion has worked towards
alleviating the perception issues of the
microfinance sector creating an affirmative
outlook. This has led to a gradual but
tremendous change of how the sector is
perceived today in the eyes of external
Stakeholders.
At a regional level, key personnel from Fusion
team collaborate with Government Institutions
and Local Authorities, thereby strengthening
corporate relationships.
What do Fusion clients gain by doing
business with Fusion?
Customer centricity is the key essence of
Fusion work culture. By availing the doorstep
services, Fusion Clients are able to live up to
their entrepreneurial aspirations and contribute
to the household income. Growing with
responsibility, the Organization aims at holistic
development of its Clients by encompassing
financial literacy and digital innovation in
conjunction with economic empowerment of
women.
For instance, Financial Literacy Programs help
Clients by making them aware of the innovative
technology and digital payment modes, thereby
advocating financial literacy with an entire
gamut of flexible and convenient withdrawal
options. Additionally, the company’s digital
literacy programs help in transforming the
customer’s banking experience by empowering
them with the digital banking platforms.
Need based livelihood trainings are also
provided to the Clients from marginalized
communities which fuels their earning
potential. It provides job prospects by
extending direct employment to youth in the
rural areas. In parallel, a lot of employment
avenues are created by Fusion Clients through
their entrepreneurial ventures. The company
puts consistent efforts in contributing towards
Award
&
Achievements
With its Best-in-class services Fusion
Microfinance has achieved following milestones
Winner of the prestigious Project of the Year Award 2018
by Project Management Institute of India – the award
is the highest recognition for Project Management
in the Country
Winner of Best NBFC MFI Award 2018 for Customer
Literacy and Capacity Building
Featured in the 15th Asian Network of Quality Congress
2017 held in Kathmandu for Cashless endeavors
‘Business World Digital India Award 2017' for the usage
of Information Communication and Technology
(ICT) in Rural Development awarded by Sri Ravi Shankar
Prasad, Honb’ Union Minister of India
Received 92% score in Code of Conduct Assessment in
May 2017 against the guidelines of unified code of conduct,
RBI FPC and RBI guidelines for NBFC-MFI
‘Super Achiever’s Award 2016' under BFSI category
instituted by Stars of the Industry Group, Mumbai
Client Protection Principles - SMART CAMPAIGN has
awarded Fusion with Client Protection Certification
for embedding client protection practices into the
organizational culture and meeting strong standards of
client care in Aug 2016
‘Best MFI of the year 2014 Award’ at ‘Microfinance India
Awards 2014' instituted by ACCESS
Included in the list of India’s 25 leading MFIs
by CRISIL in 2014

14. We at Fusion, will continue
to work towards our mission
and vision of creating a
difference in the lives of the
underprivileged rural
women. We believe, that the
entrepreneurial
opportunities ushered by
Fusion in the rural landscape
will make a positive impact
in the lives of the clients and
their families at large as they
start contributing to the
household livelihood.
“
“
the Environment, Health and Safety (EHS) standards of all its Clients. The company organizes health camps in
remote areas to create awareness around health and hygiene of Clients by providing medical facilities to them.
Looking into the Future
Fusion has recently concluded its Series E investment round of INR 520 crores Warburg Pincus making Fusion one
of India’s most preferred companies in the financial inclusion space. This is the first investment of Warburg
Pincus’s in the Indian microfinance space.
Progressing forward with positive approach, the company will continue to enhance its technology driven innovative
solutions for financial inclusion in the rural landscape. Fusion aims to not only provide microcredit services to
clients but also enable them grow as an individual and become self-reliant financially.
The company will continue to generate awareness about the digital payment platforms to clients. It is dedicated to
provide financial services to clients with core values of respect for the individual, collaboration, transparency, and
humility.

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18. M
obilization and circulation of finance is the primary requirement of
development of an economy. In the current scenario, financial
institutions are the robust pillars of progress, economic growth,
and development of the economy. Financial Inclusion is one of the fastest
growing socio-economic sectors in India that aims to provide financial
services at affordable costs to the underprivileged people. Access to safe, easy
and affordable credit and other financial services for the poor and vulnerable
groups are the key factors in accelerating the growth and reducing income
disparities and poverty.
With the vision to develop poverty free, prosperous, equitable and sustainable
society, works for the financial inclusion of BWDA Finance Limited (BFL)
low-income households. Bullock-cart Workers Development Association
(BFL’s parent NGO), was one of the pioneers of the Self Help Group (SHG)
movement in Tamil Nadu. It was founded with the primary objective of
rendering selfless, dedicated and yeomen service to bullock cart workers,
laborers, rural artisans, poor and needy women and children in the regions of
Tamil Nadu, Kerala, Pondicherry, and Andaman & Nicobar Islands. BWDA
believes in the holistic development of its beneficiaries. Presently, BFL
undertakes microfinance operations while BWDA focuses on the development
activities and projects.
Distinctive Financial and Capacity Building Services
BFL offers market-oriented financial services and other credit plus services to
B
WDA
Finance Limited
Driving Financial Inclusion for Underprivileged People
We are
implementing
various
development
programs
and projects
focusing
on holistic
growth and
development
of our society
‘‘
‘‘
Company of the Month
16 DECEMBER 2018

19. improve financial inclusion and access
for low-income households, who are
marginalized and unbanked. BFL
facilitates access to a bouquet of
formal financial services such as
savings, credit, remittance, pension,
and insurance. BFL primarily provides
services to beneficiaries through the
SHG model. Additionally, it caters to
JLGs (Joint Liability Groups) and
individuals.
BFL offers various loan products to
meet the credit requirements for
livelihood activities, income generating
programs, microenterprises, education
expenses, medical expenses and
consumption needs of the client. It also
facilitates water credit to ensure safe
drinking water and hygienic sanitation
to its beneficiaries. The Widows and
Destitute Welfare Initiative links the
most stigmatized women in the society
to skilling and credit to set up and run
their own microenterprises.
BFL firmly believes that financial
inclusion i.e. delivery of financial
services at affordable cost to low-
income segments of society and the linking of the poor to mainstream financial services coupled with capacity building are the key factors of empowerment. BFL spreading its roots
in BWDA, facilitates holistic development of beneficiaries and works with BWDA to contribute to 14
out of the 17 United Nations’ Sustainable Development Goals.
An Ingenious Leader of BFL
“Without hard work, no fruit can be
expected”
Dr. Joslin Thambi, Founder the and
Managing Director has been a model
of hard work, simplicity, and
perseverance for the society. BWDA
had its humble beginning in 1985 with
a cycle, a typewriter, Rs.2500 and a
passionate 28-year old who wanted to
empower the marginalized people.
Hailing from a family as the 8th child,
whose prime breadwinner was a
bullock-carter and experiencing the
turmoil first hand, Joslin wanted to
work for the empowerment of bullock-
‘‘
BFL works for
a poverty free,
equitable,
prosperous,
and sustainable
society through
nancial
inclusion
and holistic
development
initiatives
‘‘
Dr. Joslin Thambi
Founder & MD
DECEMBER 2018 17

20. cart workers. His contributions are well balanced, shaping
the underprivileged society with holistic development.
Today, through various initiatives, Joslin’s efforts have
empowered 5.4 million beneficiaries.
Successful Journey over the Years
Bullock-cart Workers Development Association (BWDA)
was established on 2nd October 1985 by Dr. Joslin Thambi
and was registered in 1986 under the Tamil Nadu Societies
Registration. In 1988, BWDA started forming Self Help
Groups (SHGs) of bullock cart workers’ families to build
self-sufficiency and facilitate poverty alleviation. In 1992,
BWDA started working with other low-income households
and also linked SHGs to local banks to meet their credit
needs for managing their livelihood and income-generating
activities. Later in 1999, BWDA started direct lending to
improve access to finance to empower the underprivileged
in Tamil Nadu, Pondicherry, and Andaman & Nicobar
Islands and to supplement loans from banks.
In 2003, BWDA acquired an NBFC, renamed as BWDA
Finance Limited (BFL) to streamline its financial inclusion
operations. BWDA resumed lending activities under the
Business Correspondent Model in 2012 in partnership with
Yes Bank. BWDA works as the BC of Yes Bank, IDBI and
SBI to facilitate financial inclusion of members. BFL has
two well know institutional investors, SIDBI and Dia Vikas
and caters to member needs through direct lending and an
esteemed business associate partnership with SBI.
Making the World a Better Place
BWDA has a member base of 36,221 Self Help Groups and
JLGs with 6,09,559 members. BWDA has facilitated credit
linkage of INR 1386.78 Crores to 1, 29,212 groups with
15,34,723 members. The B-WASH (BWDA Water
Sanitation and Hygiene) Program has developed 8767
toilets and 2829,935 water connections by facilitating water
credit of INR. 3514.41 lakhs.
Empowerment is collective and it is done through
empowering the women of the family first, followed by
children and other household members. BWDA and BFL
are working for the holistic development of the household.
Financial inclusion caters to members’ financial needs. The
company’s health programs create awareness, access to
basic health services and dedicated access for TB. The
company’s child welfare program rescues children in
danger and creates awareness on child protection through
the Childline initiative, provides summer learning avenues
for rural children. BWDA’s BWaSH programs provide
access to low-cost water credit for development of water
connections and toilets.
BWDA’s education initiatives offer formal education
through two schools and two colleges. Furthermore, the
company’s senior citizen program empowers the aged
people. Women empowerment programs offer capacity
building, widows and destitute welfare, livelihood
development, microenterprise development, access to fair
priced goods.
18 DECEMBER 2018

21. We are delivering nancial services at
affordable cost to sections of disadvantaged
and low-income segments of society
BWDA’s relief and rehabilitation program supports low-
income households in dire situations like floods, fires, and
other natural calamities. The animal welfare program caters
to the needs of our member’s livestock. There are also
many other programs that address almost all requirements
of BFL’s beneficiaries.
Believe in Customer Satisfaction
BFL offers market led customized products for
beneficiaries. There are no hidden costs, no wishy-washy
terms, and conditions, no partiality based on caste or
religion or other factors. It offers a bouquet of financial
services to meet all needs of members coupled with a whole
ambit of development initiatives.
BFL is transparent and adopts proper client protection
principles to ensure that all terms and pricing is clearly
communicated to members. BFL adopts all guidelines of
the regulator to the letter to create a conducive environment
for its beneficiaries.
Converting Challenges into Opportunities
The social development and financial inclusion sectors are
fast evolving and largely driven by disruptive innovations.
Staying relevant to the funding institutions and matching
the needs of the beneficiaries and their adaptability to the
disruptive solutions are challenges for the company.
Further, data analytics and digitalization is becoming
important and keeping the human component relevant is
imperative. Also strengthening of the human capital (staff
and beneficiaries) to match these innovative delivery
methodologies involves resources and time. Many
international donor institutions, seek to work with larger
players resulting in lack of support for medium and small
institutions. Finding the right people with passion and
service mind is a challenge, as they hail from different
backgrounds and their mindset has to be molded in a way
that is appealing and upholding the basic belief of the
institution.
BFL has been certified as an NBFC – MFI, which equips
BFL to reach out to more banks and financial institutions;
which will help serve our beneficiaries better. BFL also has
plans to expand to other states. The needs and adaptability
of beneficiaries differ based on demographics, local status
quo, social and cultural factors, income attributes etc.
Rolling out a program requires a clear understanding of the
social dynamics and good relationship with the opinion
leaders and other members in the PRI hierarchy. With over
33 years of grass root level presence, BFL has a very good
grass-root level relationship and a clear understanding of
member needs. BWDA Self Help Groups have even
celebrated their 20th and 25th-year anniversaries. BFL in
partnership with BWDA is looking towards expanding its
work to smart agriculture, climate change, and resilient
livelihoods. The company has a dynamic Board, a zealous
Managing Director, a highly experienced and passionate
senior management team and a proficient staff team. BFL
has been giving focused effort towards knowledge and
innovation for beneficiaries.
Dynamic Future of the Company
With “25 by 25” slogan, BFL will facilitate the financial
inclusion of over 25 lakh households by 2025. BWDA
Finance Limited, currently an NBFC – MFI aims to become
a Small Finance Bank to cater better services for
beneficiaries. The company is dedicated to implementing
innovative solutions to cater to the needs of beneficiaries.
BFL will explore new methods to ensure sustainable
development and address the existing issues of the poor.
BFL programs will be aligned with the UN Sustainable
Development Goals. Progressing forward with a positive
approach, the company’s new programs will be initiated in
additional areas such as climate change, smart agriculture,
clean energy, food security.
‘‘
‘‘
DECEMBER 2018 19

22. ArohanFinancialServices
F
inancial inclusion has been
recognized as a key building
block which forms the
foundation for achieving several
sustainable development goals of the
country. Lack of accessible,
affordable and appropriate financial
services has always been a global
problem. Financial access can really
boost the financial condition and
standards of life of the poor and the
disadvantaged.
Established in 2006 in Kolkata,
Arohan Financial Services
Limited, part of the Aavishkaar-
Intellecap Group, is one of eastern
India’s largest NBFC-MFI operating
in thirteen states of which ten are
low-income states across the central,
east and north-east. Arohan offers
financial inclusion products to boost
the financial condition and standard
of life of the poor and the
disadvantaged. The company truly
believes that doing social good can
be achieved while being
commercially viable.
Offering Best-in-Class Financial
Inclusion Products
Arohan offers financial inclusion
products to over 1.5 million under-
served clients, through 575 branches with a loan portfolio of around INR 3000 Cr in microfinance and MSME lending. Arohan is driven by the
Group’s mission to work with businesses which cater to the other 3 billion of the world’s population. Between equity and debt, the Group manages a portfolio of over INR 5000Cr as of today and is one of the few entities which offers an INR 10,000, as well as, an INR 10 Cr loan facility.
An Ingenious Leader
Considered as a pioneer in the
Impact Investment space, Vineet Rai,
Founder of the Aavishkaar-Intellecap
Group, believes in building the entire
ecosystem for Impact Investing
rather than just financial products and
tools. He set up Aavishkaar and
Intellecap in 2001/2 with a view to
providing equity capital from
Aavishkaar funds to entrepreneurs
working with an impact motive and
also intellectual capital through
Intellecap.
Manoj Kumar Nambiar
Managing Director
‘‘
We offer a wide
variety of product
and services to
meet all nancial
needs of our
customers
‘‘
Accelerating Financial Inclusion for
the Underserved
20 DECEMBER 2018

23. Most Acclaimed
Micro Finance
10
Companies
DECEMBER 2018 21
Manoj Kumar Nambiar is the Managing Director of
Arohan Finance Limited. Manoj has around three
decades of experience in consumer finance & retail
banking. He, along with the management team, has
turned around an INR 28 Cr portfolio and INR 14 Cr
networth company to an INR 3000 Cr portfolio and an
INR 440 Cr networth institution, as of November 30,
2018. From 2013, Manoj is also a director on the
governing board of Microfinance Finance Institutions
Network (MFIN) ‒ the RBI licensed microfinance
industry Self-Regulatory Organization (SRO) and was
also its President in 2015/16. MFIN, during this tenure,
has taken many momentous decisions like getting
licensed by the RBI as a formal SRO, strengthening the
credit discipline with credit bureaus, using Aadhaar as
the preferred KYC document to ensure proper debt and
lending, code of conduct to ensure all lenders become
responsible lenders to the segment, improving investor
and lender sentiment towards the sector, amongst others.
Manoj completed his mechanical engineering from VJTI
in 1986 and his MBA in Marketing from JBIMS in 1988,
both from Mumbai University and has tertiary
qualifications in insurance from Insurance Institute of
India. He has also completed the “Strategic Leadership
in Microfinance” course from the Harvard Business
School, Boston, the US in April’13.
Empowering Underserved by aiding their Financial
Needs
Arohan primarily serves women clients at the BoP
sector, mainly in non-urban areas. The company serves
over 1.5 million end clients of which over 95% are
women with 67% plus from rural areas of the 10 LIS in
which the company operates. While about 33% of the
client are first-time microfinance clients, the remaining
clients are second or third cycle beneficiaries who have
taken loans, from the company, to grow their businesses
such as handicrafts, livestock, small grocery, and retail
outlets amongst others. The loans help them grow their
business, help them become self-reliant and also
generate employment in the entity by adding to staff.
Arohan, being among the Top 6 NBFC MFI in the
country and growing, will play its part in improving
access to FI products to a wide range of client base.
Walk an Extra Mile for the Clients
Arohan is one of the leading NBFC-MFIs with a special
focus on 10 LIS, a strong and committed, as well as,
credible promoter group backing along with an ability to
raise, both equity and debt capital year-on-year. It has an
end-to-end IT platform with a paperless and cashless
focus to support the wide credit suite with ticket sizes
ranging from INR 10,000 to INR 100 lakh across
microfinance and MSME sectors. The company has a
unique inorganic channel (Strategic Alliances Unit) with
partners in the field, while it also focuses on the cross-
sell of financial and non-financial products. With a strong
and capable management team guided by an eminent
board of directors, the company offers the best-in-class
services to its clients.
Clients get the benefit of doorstep services and frequent
repayment options along with microloans from the
company. Most of the clients are first-time borrowers
needing credit to scale up and grow their businesses.
With its focus on FI, Arohan offers its clients the access
to other financial services like insurance, pensions and
banking products, beyond core credit.
A Look into the Future
Microfinance sector will continue to grow at a good pace
with the availability of capital, favorable policies of the
RBI, and the support extended by the state and central
governments. On account of its best-in-class finance
inclusion services, Arohan aims to become one of the
Top 3 Financial inclusion players in the country. With the
vision to cross an INR 10,000 Cr portfolio outstanding in
the next 4 to 5 years, the company will serve around 10
million end clients while being among the Top 10 Places
to Work.

24. 22 DECEMBER 2018

25. ince 1969, the banking industry has undergone
S
tremendous changes. Banks have shattered their
traditional functions and have been coming out with
the new services to serve to the increasing needs of their
customers. Enormous branch enlargement in the rural areas,
utilization of savings and expansion of credit facilities to
small-scale industrial and agricultural areas, other preferred
sectors like export sector etc. have caused in widening the
financial infrastructure and have transferred the major
character of ‘class-banking’ into the ‘mass-banking’.
The recent trends are growing competition, reinforcing risk
management systems, product branding, and emphasis on
technology. Many safety features, such as advanced
cryptography and biometrics, will effectively provide
protection against the bank scams, and remote applications
to perform banking operations without visiting a branch and
this experience will prove to be more customer-friendly.
Blockchain Technology
Blockchain technology is all ready to renovate the banking
and financial services. It disperses the financial
management from a central authority to a vast network of
computers. In this technology, the financial transactions are
fragmented into ‘blocks’ which are converted into the
computer code which is then encrypted to achieve enhanced
Cybersecurity. With its high potential to improve numerous
facets of banking, there is no doubt that Blockchain will
change the face of the banking industry.
Chatbots
Various banks are now embracing AI (Artificial
Intelligence) and deploying it across multiple business
process functions whether it is front-end or back-end
functions; which reduces the response time to the customers
considerably. Chatbots and intelligent digital assistants with
M2M (Machine-to-Machine) learning capabilities and self-
learning concept are providing seamless customer
interactions for many banks and players in the industry.
Upgraded ATMs
The concept of ATM was incepted in the bank-tech system
in 1967. Since then, it has been undergoing various
up-gradations serving the banking customers with the
efficient and unique services. Furthermore, the next
astounding revolt of ATMs is going to involve contactless
TECH-ADVANCEMENTS
DECEMBER 2018 23

26. payments with which one can easily perform contactless ATM transactions with a smartphone. Latest inventions like
biometric authentication are already executed in India and iris recognition technology is implemented in UAE’s National
Bank ATMs. This way, the technologies are uplifting the overall bank security by preventing ATM hacks.
Mobile & Digital Banking
The mobile and digital transformation in the banking space has just begun and its growth is explosive. Today, banks are
investing largely in the digital banking technology, in which the customer can access the banking services through mobile,
web, or digital platforms. According to a recent survey, around eighty-percent of banks indicated that these types of services
show their top technology investments.
Partnerships
Irrespective of the banks' high investment in technology, the fastest way to bring in the financial innovation is probably going
to include strategic partnerships. The evolving companies that are undergoing a new wave of tech or social media platforms
could create excellent partners for traditional banks which would boost the customer experience. Various marketing
companies which involve in data analytics, is partnering with several financial institutions to influence secure purchase data r
to tailor the marketing based on consumer’s use of the card.
Smart-Wearable
Smart-watches will probably bring the booming future for the retail banking experience, according to a recent survey. For an
instance, the banks could use the bluetooth beacons to push personal greetings to the customers’ smart-watches when they
enter a banking location. Smart-glasses which is another unique wearable invented for the bank tellers would process
customer banking information for the employee when they are busy performing other customer service tasks.
The trends in smart devices and consumer behavior are gearing the banking technology in the direction of convenience. The
application of remote technologies will allow one to interact with the bank right from the palm of the hand. From dwelling
over the email inbox to visiting a branch, one can expect to encounter a whole new transformed customer experience in the
coming days.
The Rise of Non-Banking Organizations
With the advancements in the technology, banks are anticipating faster delivery methods as well as transparent experience to
the customers. Nevertheless, a huge portion of their resources is essentially devoted for dealing with the security, compliance,
and other industry-specific requirements, with which the non-banks or financial service providers to embellish the banking
industry. The non-banking companies can contribute a larger percentage of their assets to the enactment of financial
technology; as they might bring in rapid innovations than the traditional banks and might attract tech-savvy customers in the
process.
Transcendent Future
Today, banking system is re-constructed with the information technology and it is obvious that the future of banking will
offer more sophisticated services to its customers with the continuous product and process innovations. Implementation of
strategies like strict prudential norms and higher capital standards, better risk management systems, reception of
internationally accepted accounting practices and the increased disclosures as well as transparency will ensure the Indian
Banking industry cope with other developed banking systems. The industry will further multiply its growth and complexity
while being an important agent of the economic growth and combining different segments of the financial sector.
24 DECEMBER 2018

28. SVCreditline
I
nclusive development is one of the
critical determinants of national
growth. Microfinance sector has
helped millions of small households in
the remote areas and also gave life to
their dreams. It started out as an
alternate source of finance to the
unserved masses comprising the
bottom of the socio-economic pyramid
and gradually turned out to be a tool
for uplifting their standards and
working their way out of the poverty.
Established in 2010, S V Creditline
Limited (SVCL) is one of India’s
largest and most respected Non-
Banking Financial Companies. It is
incepted with the vision to uplift
“entrepreneurial poor” specifically
women through giving them easy
access to credit.The objective to
promote these entrepreneurs is
complemented with relevant financial
tools enabling them to re-engineer and
uplift their financial status in the long
run.
SVCL is registered as a Non-Banking
Finance Company (NBFC-MFI) under
Reserve Bank of India and is promoted
by Vans Pte. Ltd. and SV Corporation
Pvt. Ltd. The corporate office is located
at Gurugram, Haryana, along with a
major presence in the northern and
central territories of the country. In the
long term, it plans to have a PAN India
presence to cement themselves as a
prominent player in the industry.
The Three Pillars of SVCL
Rakesh Dubey, CEO of
S V Creditline is charting the course
for the future of the company. With
over two decades of experience, he is a
seasoned entrepreneur with a deep
background in the microfinance
domain along with setting up of MFI’s
in the domestic as well as in
international locations. Prior to
commencing his journey, he has also
been the founding team member of CASHPOR and founder of SONATA
Finance Pvt Ltd. He served as the President of MFIN for two consecutive years and currently, he is Board
Member of MFIN.
With over two decades of experience in
microfinance, Durgeshwar Mishra,
CFO of S V Creditline, was the part of
the initial management team that built
CASHPOR Micro Credit (CMC) from
scratch to one of the largest MFIs in
North India. Mr. Mishra has handled
almost all key functions of the
company including Microfinance
Rakesh Dubey
CEO
‘‘
We are delivering
superior quality
products and services
with innovative
technology
‘‘
Empowering the Rural India by Aiding their
Financial Needs
26 DECEMBER 2018

29. Operations, Internal Audit, Monitoring & Reporting, ICT,
Insurance, Administration and HR. He heads Fund
Mobilization, Finance & Accounts and Administration
departments. He has served as a member of MFIN’s
Enforcement Committee.
KK Singh, COO of S V Creditline, has over 20 years of
experience in microfinance sector. He was part of senior
management team at CASHPOR Micro Credit, with
responsibility of HR, Operations & Training. Heading the
Business Operation at SVCL, Mr. Singh has charted out a
new vision and growth strategy for the company. With his
leadership has come a lot of success stories where micro
credit assistance not only helped the clients in scaling up
their living status but also increased their saving level.
Distinctive Product and Services
The entity has been set up with the vision of building a
professionally managed and sustainable microfinance
institution. The motive is to assist the under-served
households by providing an easy access to credit as well as
other financial services to make them economically
independent. The business also aims to empower the
women to help their family by providing opportunities to
earn. Some of the mentionable products are:
1) Business Loan
a) Group Loan
The company follows a social collateral model wherein
microfinance group lending with joint liability allows asset-
poor individuals to replace physical collateral by social
collateral. This informal secured borrowing works better in
rural areas as compared to urban areas as rural social
networks are typically denser, which results in higher social
collateral. It also encourages rural people to opt for income
generation loans so that they can start their own business.
b) Short-Term Individual Loan
The organization has designed a short-term loan for
individuals who are in urgent need of funds. The loan
tenure is about three months and the fund is disbursed at
very low-interest rates taken from the authorized and
unauthorized lenders in the market. The process is kept
simple and is provided through an online application with
all the details about the individual and the loan.
2) Green Loan
S V Creditline has introduced easy finance for e-rickshaw
buyers within quick TAT and with easy documentation.
With growing awareness about global warming, e-rickshaw
has come up as a viable option in densely populated areas. SVCL was swift enough to gauge the issues of the
prospective buyers and they introduced the easy finance model which encouraged people to buy the e-rickshaw to enhance their business.
3) Shelter Loan
Although this constitutes a very small portion, the
organization has introduced housing loan for families who
want to build their homes or expand their house pertaining
to diverse needs.
Customer-based Business Philosophy
The customer-centric approach is amply reflected in their
product offerings, followed by simplified processes,
transparent pricing structure and strong customer service
orientation. The company set-ups are conveniently located
and easily accessible for customers, who are also reached
out to, by its trained field staff. The products offered by the
entity include small credit for income generating activities
linked with credit life coverage. The robust management
team has the expertise to manage complex operations,
identify new markets and formulate business strategies.
SVCL Application suite is an innovative web-based
application which is designed to perform as lending
platform along with analysis, monitoring, accounting,
supervision and works towards enabling a paperless
environment.
A Look into the Future
Progressing forward with positive approach, the company
aims to provide financial assistance for two million
households by 2020 across India, to significantly improve
their living standards. The company will be dedicated to
build a sustainable microfinance model that not only
delivers high standards of service and value to customers
but is also rewarding to all stakeholders.
SV Creditline will continue to work towards strengthening
the scene of financial inclusion in India through financial
literacy workshops and Mass awareness Camps. The
Company is doing 100% cashless disbursement through
NEFT and planning to implement various methods and
techniques of cashless collection.
Most Acclaimed
Micro Finance
10
T
h
e
Companies
DECEMBER 2018 27

30. he recent stand-off between the government and the RBI owing to the NBFC crisis
T
and the apex bank’s endeavor to maintain its autonomy and reserves had caused
the industry to watch closely whether the repo rate will increase or remain
unchanged. That said, today’s move by the RBI to keep the repo rate unchanged at 6.5%
was more or less expected. This was not solely because inflation targets are still under
control.

Politically, an upward revision would not have served the current Government well as the
2019 elections are around the corner. From the economic standpoint, a hike in repo rates
would have had a direct impact on home loan rates. High housing loan interest rates are
known deterrents to many buyers, especially in the affordable segment where higher
interest rates can and do weaken sentiment.

Any move to further discourage customers from availing of bank credit would ultimate
exacerbate the liquidity crunch and adversely impact the economy. From that perspective,
the unchanged repo rate will at least keep the demand for housing loans at status quo.

The RBI obviously needs to maintain an adequate buffer for the economy – especially in
light of the massive changes that are likely to come about in the next few months in form of
REITs and SPVs. Also, the NBFC crisis currently shows no signs of relenting, and keeping
the repo rates unchanged is definitely in tune with the current market signals.
UNCHANGED
Repo Rates
Astute from All Angles
28 DECEMBER 2018
Expert’s ViewPoint

31. About the Author
Anuj Puri is an acknowledged
expert on Indian real estate
both in India and
internationally. He enjoys
strong relationships with
private investors as well as
local and global corporates.
Anuj recently acquired the
Residential brokerage
business and Fund
Management vertical of JLL
in India and runs them
independently under his
latest venture as Chairman of
ANAROCK Property
Consultants Private Limited.
Anuj Puri
Chairman
DECEMBER 2018 29

34. SamastaMicrofinance
T
he past decades have seen
the microfinance industry
grow by leaps and bounds
globally and India is no exception.
With increasing focus on financial
inclusion in India, Microfinance
Institutions (MFIs) are occupying
centre stage as a prominent conduit
for extending financial services to
unbanked sections of population.
With each passing day, MFIs are
playing a pivotal role in eradicating
poverty. According to an independent
survey, microfinance has been able to
uplift the income of poor and hence
their standard of living.
One such organization embracing
every opportunity and delivering
exclusive services to empower
mankind is IIFL Group company,
Samasta Microfinance Limited.
The success story of Samasta was
scripted in the year 2008 when the
company was launched with the
vision of providing financial services
to unbanked regions of the country.
Since then, Samasta has come a long
way in providing financial assistance
to rural and semi-urban women who
are economically active and
enterprising. The company’s main
objective is to support women’s
entrepreneurial endeavors with access to critical financial services, thereby helping families to increase their incomes and improve lives.
Samasta Microfinance was
established to drive social change
among the urban and rural poor in
South India. It believes that the
participation of the private sector in
social development can ensure
transparency in governance, which is
essential for transformation at the
grassroot level.
Getting Financial Services to the
Unbanked
People from the unbanked category
have financial needs that are typically
not addressed by conventional
financial institutions. This hinders
their aspiration to progress. This is
where Samasta comes in the picture.
Samasta brings affordable financial
services to the customers’
neighbourhood, giving them quick
access to finance to materialise their
growth aspirations. Today, Samasta
has become synonymous with trust,
warmth and responsible lending.
Venkatesh N
Managing Director
‘‘
Impacting
the lives
of women
in society
‘‘
Empowering Individuals, Enriching Communities
32 DECEMBER 2018

35. Samasta has a comprehensive portfolio of financial
products ranging from loans for income generation, dairy
cattle, education and consumer products to MSME loans.
Its services are tailored to suit varied needs of customers.
The company, a subsidiary of financial conglomerate
IIFL Group, carries out regular survey in the areas where
it operates to understand the kind of activities that people
are engaged in there. This helps the company to tailor
products that suit customer needs rather than providing
the one-size-fits-all products. The solutions meet a
variety of needs like increasing working capital, buying
inventories or supplies, purchasing of machinery or
equipment and even providing start-up capital for new
businesses.
Through training sessions and financial literacy
programs, Samasta provides necessary support to
customers to engage in economic activities. The
company tracks utilisation of loans, provide timely
guidance and make credit interventions with top-up loans
to help customers grow and sustain their businesses.
Catalyst for Financial Inclusion
Microfinance industry plays a crucial role in sustainable
financial inclusion and economic empowerment.
Samasta acts as a catalyst for financial inclusion by
giving unbanked population access to affordable
financial services and products to build businesses,
increase incomes, meet their needs and drive the
progress they desire.
“We are in the responsible lending business. We help our
customers to create opportunities for themselves by
giving them timely access to finance. By doing this, we
contribute largely to the upward mobility of our
customers and promote sustainable and inclusive
economic growth of the country,” says Venkatesh N,
Managing Director, Samasta Microfinance.
Services from Samasta help customers to improve their
financial resilience and achieve better standard of living.
What is more important is, over a period of time, the
customers become eligible to access mainstream
financial services. Customers, once denied access to
mainstream financial products due to subprime credit
scores or non-existent credit files, become eligible to
access mainstream financial services. This is made
possible by timely financial support from Samasta to
improve their income levels and also with credit history
and record of financial transactions.
Huge Opportunities Ahead
With RBI giving differentiated bank licences for small
finance banks and payments banks, customers have
access to a wide range of options to select from. Samasta
still sees a huge demand for credit and financial services
facilities in rural and semi-urban areas. It is entering new
geographies, improving and strengthening their
connection to customers with new branches across the
length and breadth of the country.
The company leverages state-of-the-art technology to
streamline operations, standardize processes and deliver
services efficiently while ensuring superior customer
experience. By following the latest advances in
technology, the company continuously improves
operational efficiency while scaling the business for
growth. It has adopted a technology driven approach that
helps to reduce turnaround time for service delivery, get
better visibility into the performance of the product
portfolio and gain insights about customers.
Making a Mark
It requires a determined, focused and positive approach
to grow any business. Like any other business, Samasta
also had ups and downs, but faced those challenges
heads-on. The company strives to provide the entire
gamut of financial services to customers, leaving a
lasting impact on their lives. It also chases bigger dreams
of transforming the business to the next level -
mainstreaming within the larger financial services
market.
Most Acclaimed
Micro Finance
10
T
h
e
Companies
DECEMBER 2018 33

36. MICROFINANCE
DECEMBER 2018
M
icrofinance is an idea whose time has come” - Kofi Annan, 7th Secretary-
General of the United Nations (1997 - 2006)
The commercial banks traditionally concentrate on large formal enterprises which have
the expertise of doing business and possess collateral. They miss out SMEs as they lack
expertise as well as riskier investment. Major problem faced by the
micro-enterprises is the access to finance. This improper access to finance is one of the
factors hindering the SMEs growth. Thanks to the Microfinance channels which are
facilitating finance at its best. Easy accessibility of services which directly impact the
sales, profit and physical assets development of SME’s as well as other low income
individuals is what describes the word microfinance.
In India, microfinance exclusively operates through two channels:
Self-help Group Bank Linkage Programme – Here, a small group of ten-twenty women
or men make savings by contributing periodically and begin the lending processes.
Further, they get linked to banks and banks lend to self-help group after checking their
flexibility.
Microfinance Institutions – It is an organization that offers microfinance services to
small non-profit organization to larger banks. These institutions emerged as
a cornerstone for informal credit and an effective instrument for
providing funds and financial help in order to strengthen
the SME's.
“
34 DECEMBER 2018

37. MICROFINANCE
Empowering SMEs and Low Income Individuals

Microfinance is a prominent trend which is revolutionizing the world of banking and
finance by providing loans to existing as well as aspiring small and medium sized
business players. Backing SME's, it is playing a pivotal role in economic development
by creating employment, eradicating poverty and generating profitable outcomes. On
the other hand, it is promoting the business development and acts as a source of
business growth by uplifting the working capital. Microfinance is amongst the key
ingredients which helped SMEs to create a niche in its sector and establish itself as a
one-of-its-kind brand. It can augment the supply of capital, labour and appropriate
management and opportunities for investments that are profitable.
Besides, microfinance channels also offer a few highly standardized products which
can effectively help the Micro and Small enterprises to manage large-scale operations.
These products come up with few advantages including Streamlined loan
administration, Simplified decision-making for field staffs, Reduced information
requirements from clients, Low operational costs, and Simplified repayment
obligations. Along with this standardization, the microfinance institutions are also
paying a closer attention to product flexibility. This will also increase the individual
need-based loans designed to cater to the specific requirements of the clients.
One of the significant roles that microfinance has in boosting
the SMEs is by providing them with financial
stability. It gives them the opportunity
to generate enough income to
Evolving with New Directions
Micro N Finance
DECEMBER 2018DECEMBER 2018 35

38. attain the basic necessities such as food, clothing and shelter. Providing stability it is driving the mankind
towards the pathway of civilization. This will also eradicate the poverty and offer low-income or poor families
with the means long-term financial stability. Additionally, it also reduces the number of people on public
assistance programs, which benefits local and national economies.
Microfinance has created a platform for the SMEs, where small communities are earning more income and
spending their earnings within their community. This helps stimulate local economic growth as well as empower
the growth of SMEs. Hence, as these communities will grow and the local economies begin to prosper, the
SMEs would go beyond and see beyond the traditional horizons of business and create a history.
Creating Possibilities like Never Before
Opening and operating as a result of a microfinance loan cannot create jobs in as large numbers as bigger multi-
national corporations, but, it can surely change the lives of poor. With each passing day, the microfinance loans
are unlocking various job opportunities for the people who live in some of the poorest areas of the world. This
in turn, is diverting the people to embrace these opportunities and associate with the corporate world.
Lack of money leads to lack of food and lack of clean water leads to lack of sanitary living conditions. By
extending microfinance opportunities, the people can enable access to small amounts of credit, which can then
stop poverty at a rapid pace. Microfinance changes this scenario by generating sufficient amount of capital. By
extending microfinance opportunities, the people can enable access to small amounts of credit, which can then
stop poverty at a rapid pace.
Microfinance is helping break the poverty cycle of the current generation and work towards ending global
poverty for the Gen Z. It tends to target women borrowers and is contributing in women empowerment with an
aim to energize the economy in the longer run.
To be precise, when these basic needs are met, families can successfully invest into better wells, better
sanitation, and afford the time to access the health care they need. Also, people can stay more productive and
play a significant role in being the building blocks of tomorrow. And when this happens, the possibility of future
investments will occur and create possibilities to flourish like never before.
36 DECEMBER 2018

40. SMARTCFOServices
I
n today’s complex and uncertain
markets, companies require
accurate and timely corporate
accounting. But more than that, they
need financial advice that gives
certainty and assurance. The role of the
CFO plays a pivotal role in the growth
of the enterprise. With more startups
coming up and raising money, the need
for shared CFO Service is growing
day-by-day. Entrepreneurs are looking
forward for an experienced finance
professional who overlooks their
finance department, make a business
plan for their concept and arrange
funding, negotiate a deal with the
Investors.
SMART CFO Services is founded
with the vision to drive significant
improvement to clients' financial health
through innovative business solutions
& supportive implementation while
building enduring business
partnership. The company aims to
benefit growing SMEs and startups by
providing access, advice, and insights
of expert CFOs & business consultants.

Meet the Veteran Leader
When Balkishan was working with
Aramark India as Country CFO, he
met a couple of Directors of SME’s
and understood that many small
businesses struggle to find the right
financial expertise. With an experience
of more than 10+ years as CFO, he
knew the exact roles and responsibility
of a CFO. Later he decided to leave the
corporate world and provide services to SME’s, as there is a huge gap in this market for skill services to a smaller organization at a reasonable cost. To
provide the right financial services to smaller organization Balkishan
Chandak founded SMART CFO
Services.
Balkishan has comprehensive, in-depth
experience of over two decades across
all components of corporate finance,
strategic planning, financial analysis,
capital restructuring, fund-raising &
treasury, performance management,
corporate tax planning. He has
demonstrated the ability to quickly
learn the intricacies of diverse
industries and make immediate
improvements on cash flows, costs
reductions, planning, reporting, and
controls. He has given his fruitful
contribution to Aramark India (Food
and Facility Management) as Country
CFO and Corporate Secretary. He also
contributed for JV’s of Future Group
as CFO. His experiences were in
Shoppers Stop (Retail), Goldshield
International (Pharma), Coca-Cola
India (FMCG) and HINDALCO
(Manufacturing).
Balkishan is an excellent leader with a
track record of documented
contributions leading to improved
financial performance, heightened
productivity, and enhanced internal
‘
Balkishan Chandak (BK)
Founder Partner
‘
We deliver exceptional
nancial and
commercial
expertise to enable
the business to seize
opportunities for
growth,
change, and success
‘‘
38 DECEMBER 2018

41. controls. On account of his superior management,
communication, leadership, and supervisory skills, the
company paved a way towards success. He is a keen
planner, strategist, and implementer with demonstrated
abilities in spearheading finance functions and accelerating
the business growth.
One-stop Platform for all Financial Advisory Needs
SMART CFO is a Shared CFO Services firm with a strong
network of associate partners providing a one-stop solution
for all financial advisory needs especially for Startups, SME
& and companies in need of a CFO. It’s a specialist firm of
experienced Chief Financial Officers (CFOs) and Business
Consultant who deliver exceptional financial and
commercial expertise to enable a business to seize
opportunities for growth, change and success. In the
company, CFOs and Business Consultants are engaged full
time, part time, project, interim, outsourced or supplemental
basis specifically to suit the business needs.
Below is the coverage of the broad service by the firm
• Develop or refine the business model
• Create a financial model, cost structure & cash flow
projections
• Assistance with development and implementation of
growth strategies
• Develop Key Performance Indicators (KPIs) and a
dashboard to track progress
• Determine funding requirements, type of funding, and
preparation for due diligence
• Create Capitalization Table and determine dilution
effects
• Corporate Governance/Board Management/Investor
Relations
• Development of accounting processes (A/R, A/P,
Procurement, etc.)
• Oversight of existing accounting staff or work with
outsourced accounting Firm
• One-time accounting system assessment, catch-up, and
clean-up
The company also helps start-up clients in accounting
outsourcing & tax filings services for a temporary period
until the time the client is able to recruit & build the team.
Since these are not a permanent assignment, the company
helps them to select the right CFO candidate and then do a
transition of the knowledge.
Standing Out in the Crowd
CFO Service adds significant value to the clients’ strategic
and operational capability and efficiency through enhanced
quality of decision-making on a day-to-day basis. SMART
CFO provides top-of-the-line CFO capability at Finance-
Manager cost levels. SMART CFO’s one-stop solution offer
services far beyond standard accounting practices. The
company’s easily accessible team of experts with
diversified skills ensures that the client’s financial and tax
positions are considered throughout the year not just at tax
time. This helps business owners make better decisions,
grow their business and plan for the future
SMART CFO has developed a strong network of Associated
Partners covering all fields in legal, finance and investment.
Attention to detail, correct and timely information and a
strong commitment to personal service ensure a superior and
satisfying experience.
Consumer-based philosophy
Having worked with large corporates and MNC’s for the last
15+ years, the company’s chief financial officers are not only
well versed with nuances of accounting and auditing but also
with business-oriented skill sets to resolve all issues and guide
the overall financial requirement of a company. With shared
CFO services, entrepreneurs would integrate good business
ideas to take forward their brand value of the company. With a
practical hands-on approach, the company offers with hassle-
free, cost-effective and high-quality services to clients.
The company’s expert team is powered by Chief Financial
Officers (CFOs) of large companies, senior management
and finance professionals, chartered accountants, company
secretaries, and business analysts. Additionally, the
company’s associates and partner firms provide with
additional expertise and experience in the fields of
investment banking, international taxation, and legal
advisory.
“The key is to stay relevant and focused on what the client
actually requires. The success of the client is our success
and the philosophy is walking that painful road with them”,
says Balkishan
Future Ahead
“We all know that India has a tremendous amount of talent
and so many people don’t move out of their geographical
boundaries and spread their knowledge. My long-term goal
will be to expand my boundaries to some developing
countries in the African region eg. Nigeria, Tanzania and
provide the CFO Services as there is a genuine need of
skilled people in those countries”, says Balkishan
Most Acclaimed
Micro Finance
10
T
h
e
Companies
DECEMBER 2018 39

42. P
overty exposes poor to unfavorable and uncontrollable
circumstances, restricting them to avail numerous services from
financial sector. Microfinance is considered as a tool for
socio-economic development for low income individuals. Financial
services could enable the poor to leverage their initiative, accelerating
the process of building incomes, assets and economic security.
Technological advancements and developments in world has changed
the way world operates and has improved standard of living of the
nation. Technology has become key driver of the Indian economy.
Digitalization represents huge opportunity to enhance financial inclusion
in nation. It is changing the way in which financial services are delivered
by MFIs in India.
Benefits of Digitalization
Customer-centric Approach
Convergence of digital platform in financial inclusion benefits MFIs and
clients alike. Automation of transactions due to digitization enables MFIs
enhance capital, flow of information, and makes it convenient to organize
and scrutinize data.
Digital
Revolution of
Microfinance
Sector
40 DECEMBER 2018

43. Digitalization helps financial service providers to interact
better with customers. It allows microfinance companies
to provide range of financial products and services based
on a deeper understanding of their financial needs.
Reducing Risk
It has opened various opportunities by reducing use of
cash in operations resulting in significant cost savings
and has also led to increase in outreach in cost effective
manner. In digitalization clients have the flexibility to
repay loans through their mobile phones, avoiding the
risks of cash-in-transit.
New Business model
Loan applications with clients in remote areas are now
processed using handheld device, eliminating need for
paper loan applications. Simultaneously clients are also
benefitted by faster turnaround time of loan processing
and approval, safe and secure way of repayment of loans
through mobile wallets.
Cost effectiveness
The adaptation of digitalization allows microfinance
institutes through a variety of channels resulting in
quicker processing times for loan approval and disbursal,
reduced costs of physical data storage, and reduced risk
of cash.
Digital Channels Driving Growth of Digitalization
Digitalization has allowed microfinance to reach
customers in more efficiently and conveniently at a lower
cost. Following are some of the channels that are
leveraged by microfinance institutes.
Mobile and Internet: Extensive use of mobile phone is
transforming the services which are provided by
microfinance sector. MFIs have made successful foray
into mobile technology for operations through better
tracking of transactions on real-time basis, digitization of
huge physical records, bringing higher levels of
transparency in operations, time-saving & process
efficiency and greater scalability.
Biometrics: Biometric micro ATMs integrated with
biometric modality for authentication are contributing
towards development of micro finance. Biometric
identity authentication is must before performing
transactions like withdrawing or putting money into their
bank accounts. It enables MFIs to conduct secure
transactions remotely besides eliminating presence of
staff members during authentication.
Management Information System: Automation due to
development of computers and software applications like
MIS has transformed the way MFIs operate. Information
is made readily accessible by MIS. It facilitates loan
officers track clients’ repayment schedules &balances
Digital Revolution
DECEMBER 2018 41

44. and monitors progress toward attainment of operational objectives.
Challenges to overcome
Path to digitalization is not free from challenges. Following are some of the challenges with digitalization.
Education: To adopt the digitalization it is very important to have basic knowledge of interacting with
technology. Customers of MFI are often illiterate and lack education. Educating customer is necessary step for
digitalization of India.
Infrastructure: Lack of transportation, communication, electric wiring in remote and rural areas act as a hurdle
in implementation of digital mode by MFIs. Even if there is proper infrastructure, there are additional
transaction costs associated as clients are spread out in the rural areas.
Affordability: Small microfinance institutions are either not able to afford mature software packages and ICT
solutions or they are unsuitable for them. Lack of skilled staff to support technology, lack of budget to upgrade
technology, and high need of localization of software are some of challenges for small MFIs in adopting digital
channels.
A New Wave
Over a period of time, performance and progress of microfinance institutions both in private and public sector
has improved significantly along with benefitting deprived sections of society. Digitization of microfinance
institutions has emerged as the new wave of hope that will reach the last mile for consumer in the most
convenient and affordable manner. Outreach of MFIs due to digitization has undoubtedly increased in terms of
its operations, clients and loan disbursement but it has not been able to capture giant market share. The future
will witness remarkable advancements which would help to capture these giant market shares and successfully
contribute in making India ‘Developed’.
42 DECEMBER 2018