UGRO Capital Ltd Company Profile : Products,Promoters and Clients

Company Description:

UGRO Capital Ltd is a leading NBFC specializing in financing MSMEs. Established in 1993 as Chokhani Securities Ltd, it was rebranded in 2018 under Mr. Shachindra Nath's leadership. Listed on BSE since 1995 and NSE since 2021, it boasts an AUM of Rs 8,364 crore as of Dec 2023, with 45% off-book. Led by Mr. Nath, its seasoned management team drives strategic growth. UGRO focuses on eight sectors, offering customized loan solutions to address the US $600Bn small business credit gap.

Q1. What are the Product and service offerings of the company?

Business Loans

Secured: Leverage your property as collateral for loans up to ₹5 crore. Enjoy a quick, paperless process with a scorecard assessment for fast approval.

Unsecured: Access loans up to ₹25 lakhs without collateral. Benefit from a simple online application, fast approvals, and minimal documentation, with special options for self-employed professionals.

Plant & Machinery Loan: Finance equipment needs without affecting working capital, with quick approvals and a digital application process.

Supply Chain Finance: Obtain revolving credit lines to ease working capital, partnering with major companies for fast approvals and easy invoice management through our app.

Green Financing: Options include Green Supply Chain, Solar Rooftop, and Electric Vehicle Financing.

GRO X App

Introducing the GRO X App:

• Instant financing: Get funds on the spot.
• Scan and pay: Instantly pay bills and suppliers.
• Flexible repayment: Choose a plan that fits your budget.
• No hidden fees: Pay only for the credit you use.
• No collateral: Approval without assets.

Download the GRO X App for nonstop business operations.

Pragati (Special Loan for Women)

Empowering women entrepreneurs with loans to expand their businesses and adopt green solutions like solar power.

Q2. Who are the Promoters of the company?

Shachindra Nath: Founder & Managing Director of UGRO Capital, brings over 26 years of financial services expertise to his entrepreneurial role. In 2017, he launched UGRO Capital with a significant institutional capital raise of INR 9500 million, one of the largest in early-stage FinTech. With a mission to "Solve the Unsolved," UGRO aims to bridge the credit gap for small businesses in India. Leveraging sector specialization, data analytics, and technology, the company targets serving 1 million small businesses and capturing a 1% market share in the coming years.

 Anuj Pandey: Chief Risk Officer at UGRO Capital, where he spearheads risk management and drives innovation in product policies and analytics. With a background in founding and operating roles, he has established functions in technology, operations, analytics, product, and marketing. Anuj's expertise lies in SME and consumer lending, honed through his experience at organizations like Religare Finvest, Barclays Bank, and ABN AMRO Bank. His specialties include product and strategy development, P&L management, change management, sales and distribution setup, business analytics, and underwriting and portfolio management. 

Amit Mande: Chief Revenue Officer at UGRO Capital, boasting over 20 years of diverse experience in consumer banking across renowned multinational banks and Indian NBFCs. With expertise in both unsecured and secured assets, he has held leadership roles at Standard Chartered, ABN AMRO, Barclays, Capital First, Mswipe Technologies, and presently at U GRO Capital.

 Rishabh Garg: Chief Technology Officer at UGRO, with over 19 years of expertise in various technologies. He excels in all stages of the Software Development Life Cycle (SDLC), possesses strong leadership skills, and has experience in leading successful teams. Rishabh is highly organized, detail-oriented, and adept at multitasking. His specialization includes small business lending, global credit bureau integration, and architecting cloud deployments for financial institutions worldwide, particularly in Amazon AWS.

Q3. Who are the Clients of the company?

Customer Base Overview

Geographical Distribution

Our portfolio is concentrated in key geographical areas across India, with branches in various states to ensure comprehensive coverage:

• Tamil Nadu: 26 branches
• Rajasthan: 25 branches
• Gujarat: 15 branches
• Karnataka: 16 branches
• Telangana: 15 branches
• Maharashtra: 6 branches
• Madhya Pradesh: 14 branches
• Andhra Pradesh: 15 branches
• Other States: 6 branches
• Total: 150 branches

Sector Mix

Our clients span a diverse range of sectors, including:

• Auto Components: 23%
• Chemicals: 24%
• Education: 19%
• Electrical Equipment: 6%
• Food Processing: 8%
• Healthcare: 5%
• Hospitality: 3%
• Light Engineering: 6%
• Micro Enterprises: 4%
• Other MSME: 1%

Product Categories

We offer a variety of financial products to cater to different business needs:

• Secured Business Loans: AUM of ₹2,385 Cr, ROI of 14.2%, average ticket size of ₹69 Lakh
• Business Loans: AUM of ₹2,936 Cr, ROI of 19.5%, average ticket size of ₹17 Lakh
• Micro Enterprise Loans: AUM of ₹813 Cr, ROI of 21.2%, average ticket size of ₹8 Lakh
• Supply Chain Financing: AUM of ₹632 Cr, ROI of 14.0%, average ticket size of ₹12 Lakh
• Machinery Loans: AUM of ₹1,168 Cr, ROI of 13.8%, average ticket size of ₹36 Lakh
• Partnerships & Alliances: AUM of ₹1,112 Cr, ROI of 14.9%, average ticket size of ₹4 Lakh

Total Portfolio:

UGRO's total AUM across all product categories stands at ₹9,047 Cr with an average ROI of 16.6% and an average ticket size of ₹13 Lakh.