U GRO & SBM Bank India tie-up to roll out credit card for MSMEs

GRO Smart Business' Credit Card holders can receive smart banking benefits, receive additional credit facility as well as the security of a Fixed Deposit at competitive interest rates from SBM Bank India. GRO Smart Business cards are issued in a fast, paperless, and convenient manner

Photo by Avery Evans on Unsplash

U GRO Capital, a BSE-listed company focused on small business lending fintech platform, announced today its partnership with SBM Bank India to launch the ‘GRO Smart Business’ credit card, driven by RuPay and EnKash. These are a range of secured credit cards created specifically for underbanked micro, small, and medium-sized businesses (MSMEs). Borrowers of U GRO Capital can obtain these against a fixed deposit with SBM Bank India.

The pandemic-induced complex circumstances have highlighted the need to innovate and find systemic solutions to MSME credit issues. Several companies have been impacted as a result of the inability to obtain necessary funds during times of crisis. Needless to say, due to their nimble nature, fintech’s and NBFCs are well-equipped with operational and technical capabilities to bridge the credit gap.

The credit card provides access to #SmartBanking features that help MSME entrepreneurs overcome a range of economic challenges. This includes meeting immediate expenses such as equipment and materials purchases, handling vendor payments, making business utility bill payments, and managing employee reimbursements for travel and entertainment expenses. Furthermore, MSME borrowers will be able to build a long-term wealth generating asset with the Fixed Deposit facility.

Shachindra Nath, Executive Chairman & Managing Director, U GRO Capital, commenting on the launch stated, “We are elated to collaborate with SBM Bank India and launch this distinctive arrangement powered by the RuPay Network. The ‘GRO Smart Business’ Credit Card will allow our MSME customers to manage their urgent credit requirements and cash-flows effectively. MSMEs face a frequent need of urgent credit, catering to which becomes a challenge causing drastic cash flow disruptions. This arrangement will enable the businesses to tackle these situations effectively. We have been constantly exploring impactful solutions to support the revival and growth of the nation’s MSMEs. We believe this collaboration to be a significant initiative in the right direction.” 

Neeraj Sinha, Head – Consumer & Retail Banking, SBM Bank India, commented on the initiative, saying, “At SBM Bank India, we are committed to use the power of banking, technology and collaboration to create uniquely smart solutions. The launch of ‘GRO Smart Business’ credit card is in line with the same strategy. We are proud to partner U GRO Capital for the new product.”