Facebook ties up with Indian firm to help provide loans for small businesses
Small businesses that have advertised on Facebook or its group apps for at least 180 days are eligible for the loans. In addition, the program may encourage more of these businesses to promote on the social network and its apps, which are extremely popular in India.
Facebook associating with Indifi, an Indian firm has announced that Facebook advertisers in India will now be able to apply for loans up to ₹50 lakh at a predefined interest rate of 17-20%. Businesses partly- or wholly owned by women will get an additional 0.2% reduction in the applied loan interest rate.
Indifi will be the decider of eligibility criteria like the credit worthiness of the borrowers and bear the risk of loan defaults. Indifi, a SME-focused financing platform that has been functioning for the last six years is led by Alok Mittal, who founded Canaan Partners in India.