Gurgaon based micro-lender AYE Finance has received $3m in debt funding from State Bank of India. AYE Finance lends to mirco and small enterprise businesses.
The non-banking financial company (NBFC) will use the funds to ensure financial inclusion for small businesses, the statement added. “While the MSME sector continues to be under-served, we believe it holds a lot of promise for growth, development and job creation. These funds will allow us to reach out to micro and small enterprises and provide them with the much-required line of credit,” said Sanjay Sharma, co-founder and managing director of AYE Finance. The company was founded in 2014 by Sharma and Vikram, former executives at micro-finance institution Ujjivan Financial Services. It provides working capital loans in the range of Rs 50,000 to Rs 25 lakh to micro and small enterprises. The company’s operations are spread across 33 branches in seven states, and it has catered to more than 250,000 borrowers so far.