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CredAble Partners with Aditya Birla Finance Limited for Unlocking the Future of Credit Underwriting in MSME Lending

With CredAble’s advanced solution, ABFL has witnessed a substantial increase in lead flow, with nearly 80,000 leads sourced in the past 6 months

CredAble, India’s leading fintech company specializing in supply chain finance, and Aditya Birla Finance Limited, a prominent player in the financial services sector, have announced a strategic partnership aimed at transforming MSME (Micro, Small, and Medium Enterprises) lending in India. This strategic partnership is poised to revolutionize the traditional approach to MSME financing by leveraging cutting-edge technology and advanced analytics.

With CredAble’s advanced solution, ABFL has witnessed a substantial increase in lead flow, with nearly 80,000 leads sourced in the past 6 months. Additionally, it has enabled the creation of a significant database for a large NBFC such as ABFL, enhancing analytics for cross-selling various products like Merchant financing, top-up loans, and equipment financing. The implementation has also contributed to increased Net Interest Margins (NIMs). Relationship Managers are now able to easily manage both manual and digitally sourced leads, showcasing the efficiency of the integrated solution. 

To bolster ABFL’s digital lending capabilities, CredAble has designed a multi-faceted digital underwriting solution that combines dynamic case management, intelligent workflow, and robust credit risk and decisioning support systems. Through the digital underwriting expertise of CredAble, Aditya Birla Finance Limited has successfully brought to the SME ecosystem-  Udyog Plus, an end-to-end solution that addresses critical pain points in the B2B lending process and plays a crucial role in supporting the diverse needs of MSMEs.

Highlighting the significance of their advanced underwriting solution, Nirav Choksi, Co-founder and CEO of CredAble stated, “Accuracy and precision are crucial in the digital lending landscape. State-of-the-art underwriting today involves a fully digital workflow and extensive use of a wide range of third-party data. Entities lacking systems with alternative credit scoring mechanisms will be at a disadvantage in pricing risk effectively and supporting MSMEs competitively. We’re extremely delighted to back ABFL with our underwriting solution that automates the end-to-end lending experience that was previously highly manual. As a result, our digital lending solutions are enabling low-interest credit offerings and faster credit decisions, empowering MSMEs with unprecedented access to unsecured business loans and bringing ‘credit invisible’ customers under the formal financial fold.”

Leveraging advanced machine learning algorithms, employing in-built analytics tools, and backed by a deep understanding of customer segments—CredAble has developed a suite of innovative financing solutions to cater to small and medium-sized businesses, typically classified as high-risk assets.

Commenting on the collaborative efforts of CredAble and ABFL in streamlining the MSME lending process, Rakesh Singh, MD & CEO, of Aditya Birla Finance, said, “At Aditya Birla Finance, we are on a journey to empower MSMEs and entrepreneurs, assuring them that we are the financing partner they can always count on. The collaboration with CredAble marks a pivotal moment for ABFL. CredAble’s digital underwriting solution has not only streamlined our lending processes but also significantly improved our efficiency in serving businesses, setting a new benchmark in unsecured business loans for MSMEs.”

This strategic alliance aims to empower MSMEs with accessible and tailored financing solutions, driving sustainable growth for these enterprises. Moreover, the association is a commitment to fostering innovation and co-creation in the financial sector.

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