We offer a term loan product customized to meet the requirements of each MFI. Other products can be offered by affiliates of the MicroVentures Network.
MicroVentures India offers to Indian Microfinance Institutions a term loan product, customized to meet their cash flow requirements.
We partner with institutions characterized by
Professional governance and management
Reasonable scale of operations - outstanding portfolio of at least Rs.200 million
High quality of portfolio
Acceptable profit margins
Positive rating by an external credit rating agency
The broad terms of our products tend to be:
Amount
INR 50 million - 150 million
Tenure
12 months - 36 months
Interest Rate
SBI Prime Lending Rate + spread based on risk assessment
Principal Disbursement
Bullet or Multiple tranches
Interest Payment
Quarterly
Processing Fee
Maximum 1% of the loan disbursed
Principle Repayment
Bullet or Multiple tranches
Collateral
Cash collateral and hypothecation of assets on a case-by-case basis
The specifics of the product are designed through discussion with each potential partner.
Other financial products such as convertible debt, quasi-equity and equity investment can be offered to promising Microfinance Institutions through international affiliates of the MicroVentures Network.
