Kinara Capital launches Rs 500 crore fund to empower women entrepreneurs

Kinara Capital, a leading fintech company in India, has announced a significant new fund of Rs 500 crore to celebrate the 5th anniversary of its HerVikas program. The initiative is designed to support women entrepreneurs by providing them with easier access to formal credit. 

The HerVikas program, known for its commitment to empowering women-owned MSME startups, is expanding its benefits to mark this milestone.

Enhanced benefits for women entrepreneurs

The newly introduced benefits under the HerVikas program include a 1% interest rate discount on collateral-free business loans, a 60-day repayment holiday, and a 50% reduction in loan processing fees.

These benefits are aimed at reducing the financial burden on women entrepreneurs and encouraging more of them to take the leap into business ownership. The program also offers bias-free credit decisioning through the AI/ML-powered myKinara App, making it more accessible for newly-registered MSME startups in the manufacturing and trading sectors.

What did Kinara Capital CEO say?

Hardika Shah, Founder & CEO of Kinara Capital, said, "Every year, we are inspired by our own HerVikas customers who are collectively breaking the glass ceiling. And, now in the 5th year of this program, we are proudly committing our largest allocation to date of Rs 500 crore in FY25 and introducing new benefits aimed at empowering more women-owned MSME startups to thrive," Shah stated. 

Disbursed over Rs 700 crore in collateral-free business loans

Since its inception, the HerVikas program has disbursed over Rs 700 crore in collateral-free business loans, supporting 5,800 women MSME entrepreneurs across more than 100 cities in India. With the additional allocation of Rs 500 crore, the total disbursement is expected to exceed Rs 1,200 crore by FY25.

The program has not only facilitated financial inclusion but also contributed to the creation of over 31,000 jobs in local economies, including more than 5,500 new jobs by women entrepreneurs. Furthermore, women entrepreneurs have experienced an average 16% increase in their proprietor salary.