New Delhi : Progcap, a pioneer in corporate-led financing solutions for small and mid-size businesses (SMBs) in India disbursed over 3000 Cr in credit during this Diwali season, a growth in excess of 300% from last year. The growth comes over and above the ~4x scaleup that the Company saw last year. The Company also turned profitable this quarter.
Progcap is solving for the credit, technology, operational and financial gaps in the $800 Bn general trade channel. The Company is systematically addressing all the banking needs of the distributor-retailer segment by offering them well-structured financing products akin to their business needs. Progcap envisions itself as the operating system at the intersection between the Distributors and Retailers, providing an end-to-end platform that powers finance and technology solutions to empower last mile merchant and trade retailers. The Company is also solving for the payments, software, accounting, business Insights and ordering & inventory management requirement of the merchants thereby helping them to grow their business.
The Company aims to continue the growth momentum and attain 5,000 Cr+ book size in the mid-term. Other key plans include taking the company towards listing in a few years. Currently, the platform has 800,000+ retailers across a multitude of industries.
Commenting on the growth trajectory of the company, Ms. Pallavi Shrivastava, Co-founder, Progcap, said, “Progcap is built on the fundamental belief that empowered SMEs are key to an empowered economy. Over the last 5 years, we have been building for the end-to-end spectrum of supply chain through a gamut of services, becoming core to the way it operates. Our focus has been to constantly deliver top notch customer service while maintaining the best unit economics and efficiency metrics in the industry.”
Co-founder, Himanshu Chandra, Progcap, said, “It is encouraging to see a healthy economic recovery post Covid. However, the growth has been uneven across customer segments. Demand for premium products held strong in comparison to mass goods across categories, indicating lower income households feeling the pinch of high inflation more which is consequently hitting the demand. Entry level segment may continue to see muted growth over the next few quarters.”