The initiative is open to companies registered throughout 200 cities and cities of India, the corporate mentioned in a press release.
The announcement got here at a not too long ago held digital occasion — Enabling MSME Development by means of Monetary Inclusion — hosted by Fb India in partnership with Federation of Indian Chambers of Commerce and Trade (FICCI).
“Fb is deeply dedicated to creating financial alternatives for India’s small companies. Entry to well timed capital is extra necessary than ever as it may well assist them jump-start their restoration and drive large development,” mentioned Ajit Mohan, VP and MD Fb India, within the assertion.
“As an organization, we’re on the spear finish of the digital transformation and we imagine that the Small Enterprise Loans Initiative can present large impetus to early entrepreneurs to gasoline their concepts and their urge for food for taking dangers,” he added.
Fb has additionally tied-up with lending associate Indifi to assist the SMBs get loans at a predefined rate of interest of 17-20 per cent each year, and won’t be charged a processing charge, the social media big mentioned.
Many small companies face challenges in securing loans of decrease quantities, however by means of this programme, SMBs can get loans between Rs 5 lakh and Rs 50 lakh.
The brand new programme will assist SMBs to use for loans with out collateral by means of a fast on-line software and Indifi will disburse the mortgage quantity inside 5 working days of finishing all documentation, the assertion mentioned.
Additional, Fb can also be dedicated in the direction of women-led companies in India. Small companies which are wholly or partly women-owned can get a particular 0.2 per cent discount each year on the utilized mortgage rate of interest from Indifi, it added.
The programme is a very not-for-profit association with Fb’s lending companions and small companies usually are not obligated to spend their mortgage quantity on Fb promoting.
Fb has, within the final one 12 months, taken quite a few steps to assist the financial restoration of small companies. These embody providing grants to small companies, and increasing the corporate’s industry-leading skilling initiatives to assist the offline to on-line journeys of small companies.