Snapdeal offers Rs 1,000cr loans to sellers before Diwali

Indian online marketplace Snapdeal is offering collateral free loans totaling to Rs 1,000 crore to its sellers to help them stock up on inventories, before the onslaught of Diwali festive season sales. These loans would be disbursed through its Capital Assist programme, for which it has partnered with 27 banks and non banking finance companies.

The on-going Capital Assist programme is a platform to get direct market access and tap wider financing opportunities for sellers and raise funds without collateral or lengthy documentation.

The initiative has disbursed loans worth Rs 450 crore to more than 2,200 small and medium-sized enterprises till now.

Snapdeal has co-evolved a scoring process with partner banks and NBFCs to provide credit rating to its sellers, which enables instant decision on loan applications and quick disbursal.

Vishal Chadha, senior vice president, market development at Snapdeal said, “Through Capital Assist, we have made the funding process frictionless, so that our seller partners can scale up to their full potential, without any financial constraints.”