MSMEs are known for their labour-intensive nature, and they have emerged as vital contributors to employment generation in both Telangana and Andhra Pradesh. These enterprises provide livelihood opportunities to a diverse range of individuals, including skilled and unskilled workers. The presence of MSMEs ensures a balanced regional development by creating jobs in both urban and rural areas, thereby reducing unemployment rates and improving living standards.
Apart from their contribution to job creation, MSMEs have been playing a pivotal role in bolstering economic growth in the region. Their contribution to the Gross Domestic Product (GDP) of Telangana is around 28%, and Andhra Pradesh is nearly 30%. These enterprises have also facilitated a shift towards a more inclusive and sustainable growth trajectory.
MSMEs form the backbone of the economy, however, access to formal credit has been a major challenge for these enterprises, hindering their expansion and development. Kinara Capital recognized this gap and has been actively working towards bridging it by providing collateral-free business loans to MSMEs.
Telangana and Andhra Pradesh are known for their diverse industrial landscape, encompassing sectors such as textiles, pharmaceuticals, automotive, agro-based industries, and information technology. MSMEs have played an important role in the development of these sectors by providing ancillary support, enhancing the supply chain, and creating market linkages.
These states have witnessed a surge in export-oriented MSMEs, contributing to the overall export potential of the country. By actively participating in global trade, MSMEs have not only boosted foreign exchange earnings but have also helped in positioning Telangana and Andhra Pradesh as attractive investment destinations.
Telangana and Andhra Pradesh are two neighbouring states, each with its unique cultural heritage, rich history, and vibrant communities. The capital city of Telangana is Hyderabad, a bustling metropolis that serves as a major hub for information technology, pharmaceuticals, and other industries.
26+ lakh MSMEs in Telangana are the backbone of its economy, contributing significantly to its growth and development. With a forward-looking approach, the state has created an environment conducive to entrepreneurial success. The MSME sector in Telangana is known for its vibrancy and heterogeneity. These enterprises serve as engines of innovation, promoting competitiveness and sustainability, while diversifying the industrial base and propelling the state towards economic prosperity.
Andhra Pradesh has a long and illustrious history, dating back to centuries. It boasts a diverse landscape, ranging from pristine beaches along its coastline, such as Visakhapatnam and Vizianagaram, to the lush greenery of the Eastern Ghats. The state government has recently announded setting up 75 MSME Parks across Andhra Pradesh to accelerate the growth and expansion of MSMEs. The state has recognized the importance of fostering entrepreneurship and has implemented strategic initiatives to support the growth and development of MSMEs. Over 60,800 MSMEs in Andhra Pradesh contribute significantly to employment generation, industrial progress, and overall economic advancement.
MSMEs in Andhra Pradesh, spanning various sectors, bring fresh ideas, entrepreneurial spirit, and technological advancements to the table, fostering invention and creating a competitive edge. Their ability to adapt to changing market dynamics and embrace new technologies enables them to meet evolving consumer demands and contribute significantly to the state's GDP.
Since foray into the region, Kinara Capital has experienced remarkable growth and success. By offering fast, convenient, and customized loan products, the company has transformed the lending landscape for MSMEs. With its robust credit assessment process and innovative underwriting models, Kinara Capital has been able to extend credit to a large number of small businesses that would typically struggle to secure loans from traditional banking institutions.
The company has witnessed substantial demand for its loan products in Telangana and Andhra Pradesh. Building on its success, Kinara Capital has decided to further strengthen its presence and expand its operations in the region. The company is planning to disburse collateral-free business loans exceeding INR 800 crores in the coming fiscal year and empower the growth of the MSMEs across Telangana and Andhra Pradesh.
The expansion plans of Kinara Capital align perfectly with the government's vision of fostering financial inclusion and supporting the growth of MSMEs. By providing easy access to credit without requiring collateral, Kinara Capital enables small businesses to overcome financial barriers and unlock their true potential. This, in turn, leads to job creation, increased productivity, and sustainable economic development.
Kinara Capital leverages advanced technology and data-driven processes to streamline loan disbursals. Through its proprietary platform, myKinara app, the company ensures a seamless and efficient loan application and approval process. By embracing technology, Kinara Capital minimizes the time and effort required by MSMEs to access funds, allowing them to focus on their core business operations.
MSMEs are not just engines of economic growth but also catalysts for building stronger communities. By providing financial support and creating employment opportunities, MSMEs contribute to the development of local economies. The organization at the forefront of this support is Kinara Capital. Kinara Capital has made a significant impact on the MSME sector in Telangana and Andhra Pradesh in the following ways:
Since starting its operations in the region, Kinara Capital has disbursed more than INR 1,200+ crores to MSMEs in Telangana and Andhra Pradesh. This capital infusion has provided much-needed financial support to small businesses, allowing them to expand operations, invest in infrastructure, and meet working capital requirements. By offering loans at competitive interest rates and flexible repayment terms, Kinara Capital has empowered MSMEs to grow sustainably and seize new opportunities.
The impact of Kinara Capital's support can be seen through the substantial incremental income generation for small business entrepreneurs. The injection of capital has enabled MSMEs to scale their businesses, increase productivity, and explore new markets. As a result, these entrepreneurs have experienced a collective incremental income of over INR 36 crores, leading to improved livelihoods and economic stability for themselves and their families.
In addition to income generation, Kinara Capital's investment in MSMEs has played a key role in job creation within local economies. By expanding their businesses, MSMEs require a larger workforce, which has resulted in the creation of over 16,000 new jobs. These employment opportunities have had a positive ripple effect, boosting the overall socio-economic landscape of communities in Telangana and Andhra Pradesh.
Kinara Capital's unwavering support has boosted the growth and disbursement in key MSME sub-sectors, further strengthening the local economy. Some of the sub-sectors that have benefited immensely are Food Products, Building Materials, Electricals, Fabrication, Wood Products, Metal Components, and Fashion. By providing tailored financial solutions and industry-specific expertise, Kinara Capital has fostered growth and innovation within these sectors, encouraging entrepreneurial success.
Kinara Capital's impact is not restricted to the above sectors, it extends across a wide range of sub-sectors within the MSME space. With over 300 sub-sectors covered, spanning Manufacturing, Trading, and Services, the organisation caters to the diverse needs of small businesses. This comprehensive approach ensures that MSMEs in Telangana and Andhra Pradesh have access to the necessary financial resources to flourish and contribute to their local economies.
With 28 branches strategically located across Telangana and Andhra Pradesh, Kinara Capital has established a strong presence in the region. This extensive network ensures that MSMEs have easy access to financial services and personalised support. Understanding the diverse needs and preferences of its customers, Kinara Capital offers a range of communication channels to ensure convenient and hassle-free interactions. Customers can reach out to the dedicated support team through toll-free calling, a missed call facility, chatbot interactions, or email communication. This multi-channel approach enables MSMEs to choose the mode of communication that best suits their requirements and ensures that assistance is just a call or click away.
Kinara Capital takes pride in its dedicated team of nearly 300 field employees who go the extra mile to provide personalised assistance to MSMEs. These experienced professionals understand the unique challenges faced by local businesses and are equipped to offer tailored solutions. With an in-depth understanding of the local market dynamics and cultural nuances, the field workforce acts as trusted advisors, guiding MSMEs through the loan application process and providing valuable insights for business growth.
Recognising the importance of effective communication, Kinara Capital is committed to bridging language barriers. As part of its customer-centric approach, the company plans to expand its field workforce further and provide doorstep assistance in vernacular languages. This initiative will ensure that MSMEs can comfortably communicate their needs and aspirations, facilitating a deeper understanding of their business requirements.
Announcing Kinara Capital’s resolute commitment, Thirunavukkarasu R (Thiru R), the Chief Operating Officer (COO) of Kinara Capital, stated, “I am proud to reaffirm our unwavering commitment to the prosperity of Telangana and Andhra Pradesh. With the type of entrepreneurial commitment that we see here, we expect 20% of our growth this financial year to come from MSMEs in this region. We are dedicated to the success of our customers by providing tailored financial solutions and personalised customer service to supercharge their growth.”
Kinara Capital plays a crucial role in bringing formal credit access to MSMEs by offering collateral-free business loans in the range of INR 1-30 lakhs. Their comprehensive loan product range includes Long-term and Short-term Working Capital, Asset Purchase (Machinery Purchase), and Bill Discounting loans. Furthermore, Kinara Capital empowers women entrepreneurs through the HerVikas program, providing them with an upfront automatic discount on business loans.
Led by the visionary Founder & CEO, Hardika Shah, Kinara Capital distinguishes itself through a unique blend of cutting-edge technology and personalized customer service. Since its establishment in 2011, Kinara Capital has grown to operate 125 branches across 100+ cities in India, boasting a skilled workforce of over 1,600 employees. The company holds the prestigious status of being a Systemically Important NBFC as designated by the Reserve Bank of India (RBI) and is listed on the Bombay Stock Exchange (BSE).
MSME entrepreneurs can now enjoy a hassle-free and streamlined process when applying for a business loan online. Whether through Kinara's website or the myKinara app, individuals can access the online application and check their eligibility in 1-minute for a business loan. Once the eligibility is confirmed, they can proceed with the application by submitting the required minimum documentation. The approved loan amount is digitally transferred to their account within 24 hours, eliminating any unnecessary delays. With this fully digitalized process, MSMEs in Telangana and Andhra Pradesh can conveniently apply for business loans online. To seek further assistance, individuals can reach out to Kinara's customer support team by giving a missed call at 080-68264454.