U GRO Capital: Empowering MSMEs through Innovative Financing Solutions
In India, Micro, Small, and Medium Enterprises (MSMEs) form the backbone of the economy, contributing significantly to employment, innovation, and GDP growth. However, despite their pivotal role, these businesses often face a critical challenge—access to timely and affordable capital. This is where U GRO Capital, a leading Data-tech company, steps in to bridge the financing gap and empower MSMEs to thrive.
With its strong institutional legacy, commitment to innovation, and a deep understanding of the MSME sector, U GRO Capital has emerged as a trailblazer in providing customized, tech-enabled financial solutions.
A Legacy of Empowering MSMEs
U GRO Capital, India’s first listed startup was founded with a singular mission: to empower India’s MSMEs by providing them with the much-needed financial support they require to scale their operations. The company was founded in 2018 by Mr. Shachindra Nath, a visionary leader who recognized the untapped potential in the MSME sector and the acute need for specialized financial services.
From its inception, U GRO has been driven by the vision of transforming MSME financing. The company’s leadership team is composed of seasoned professionals with decades of experience in finance, technology, and MSME development. With a commitment to client-centric solutions and innovation, U GRO has quickly established itself as one of the most trusted names in MSME lending.
Bridging the Credit Gap for MSMEs
U GRO specializes in providing customized financing solutions to MSMEs, an often-underserved segment in India’s financial ecosystem. The company’s offerings are designed to meet the diverse needs of MSMEs, ensuring flexibility and accessibility. U GRO’s approach is grounded in technology, leveraging data analytics, artificial intelligence (AI), and machine learning (ML) to deliver more efficient and reliable loan services.
U GRO’s suite of MSME product offerings includes:
1. Secured Business Loans: Long-term financing solutions sourced through DSAs, channel partners, referral partners etc., that help MSMEs invest in infrastructure, machinery, and other capital expenditures.
2. Business Loans: Unsecured loans designed to meet the working capital needs of MSMEs, ensuring smooth business operations.
3. Micro Enterprise Loans: Secured loans for small-scale businesses in semi-urban and rural areas, directly sourced, backed by residential or commercial properties.
4. Machinery Loan Financing: Asset financing for standard machinery across industries, sourced via OEMs and channel partners, with secondary market resale potential for defaults.
5. Retail Financing: A flexible financing option that allows businesses to access funds against their outstanding invoices.
By focusing on these key areas, U GRO ensures that MSMEs have access to a broad spectrum of financing options tailored to their specific needs.
Excellence, Innovation and Trusted Partner
U GRO’s core values are built around commitment to excellence, industry innovation, and customer satisfaction. The company strives for perfection in every aspect of its operations, from customer service to product development.
1. Excellence in Service Quality: At U GRO, every loan is backed by a commitment to providing seamless and hassle-free service. The company ensures quick loan disbursements, easy documentation, and transparent terms, empowering MSMEs to focus on their core operations.
2. Industry Innovation: In a rapidly changing financial landscape, U GRO continually adapts to new trends, leveraging technology to make financing more accessible and efficient. By using AI, ML, and data analytics, the company is able to create smart credit models that reduce risk and offer more tailored solutions for MSMEs.
3. Long-Term Goals: U GRO is focused on building long-term relationships with its borrowers. The company’s objective is not just to provide immediate financial solutions but to become a trusted partner in the growth and success of MSMEs and is committed to fostering an ecosystem where MSMEs can thrive, creating value not just for its clients but for the Indian economy as a whole.
Setting New Standards in MSME Financing
U GRO’s journey has been marked by numerous achievements that underscore its leadership in MSME financing.
• Institutional Recognition: U GRO has received several accolades for its innovative approach to MSME lending, including the prestigious Best Fintech Award, presented by Finance Minister Smt. Nirmala Sitharaman. This recognition highlights the company’s pioneering efforts to bring modern financial solutions to the MSME sector.
• Pioneering Initiatives: One of the company’s most groundbreaking initiatives is its use of artificial intelligence (AI) and machine learning (ML) in underwriting loans. By using these technologies, U GRO has enhanced its ability to assess creditworthiness, enabling quicker loan approvals and reducing the risks traditionally associated with MSME lending.
• Strategic Partnerships: Over the years, U GRO has formed strategic alliances with around 60 leading banks, non-banking financial companies (NBFCs), and other financial institutions. These partnerships have broadened the company’s reach and enabled it to offer a more diverse range of financing solutions.
• Leader in Co-lending: U GRO is a leader in co-lending, partnering with top banks and NBFCs to provide MSMEs with easier access to larger loans, lower interest rates, and flexible terms.
A Commitment to Growth and Innovation
In just 6 years, U GRO has achieved remarkable growth and innovation in the MSME financing space:
• Expansion: With 210 branches as of September 2024 and plans to expand to 285 branches by March 2025, U GRO continues to extend its reach to MSMEs across India, including in remote and underserved areas.
• Customer Base: Serviced around 1.5 lakh MSME customers, providing tailored financial solutions to help them grow and thrive in a competitive market.
• Remarkable AUM: The company has achieved a significant AUM of INR 10,000+ crores, reflecting its strong market presence and ability to manage large-scale financing operations.
• Leader in Co-Lending: U GRO has also emerged as a leader in MSME co-lending, partnering with top banks and NBFCs, further expanding its impact in the MSME sector.
Adding Value to the MSME Ecosystem
U GRO is adding significant value to the MSME ecosystem through its strategic collaborations with key trade bodies like Laghu Udyog Bharati, CIMSME, PSL Association of India, and others. The company works closely with policymakers, providing policy recommendations to improve access to credit and support MSME growth.
U GRO also holds leadership positions in prominent industry bodies such as FIDC, PHDCCI, ASSOCHAM, CII, and FICCI, enhancing its influence on MSME-related policy and regulations. These memberships not only enhance U GRO’s visibility but also provide the company with a platform to influence discussions on financial regulations, MSME support mechanisms, and the overall business environment.
Current Management Vision: A Future of Empowerment and Growth
Looking forward, U GRO aims to continue innovating in MSME financing. The company’s management visions expanding its reach, improving customer experience, and enabling more MSMEs to access financing easily and efficiently.
“At U GRO, our mission is to empower MSMEs with innovative, technology-driven financial solutions that enable them to grow, compete, and succeed. We believe that ‘MSME Acchaa Hai’ and by providing timely and accessible financing, we are not only unlocking the potential of small businesses but also contributing to the overall growth of India’s economy. Our focus on co-lending, technological integration, and deep collaboration with industry bodies ensures that we continue to be trusted as a partner in the success stories of MSMEs across the country.” — Mr. Shachindra Nath, Founder & MD, U GRO Capital
