Community Finance Private Limited (CFPL) is registered as NBFC – Non-Systemically Important Non-Deposit taking with Reserve Bank of India started its operations in the year 2017. Community Finance Private Limited is an emerging Indian NBFC based on the unique business model called the ‘Community Model’ This approach to business follows a vision for economic growth by empowering rural semi urban households (those self employed in particular) through the availability of financial services Cover the last mile between its various branches where financial services are available and the home or place of business of the customer This is to make quality financial services available to the customer and achieve the objective of maximum financial inclusion It is a relationship based model as against a product based model followed by most NBFC’s in the market.
Community Holdings Pte. Ltd., a company domiciled in Singapore is holding company of CFPL. It is a Investment Company owned by Mr. Francis Andrew Rozario and family. CFPL is wholly Owned Subsidiary Company of Community Holding Pte. Limited, is the investment holding company of Mr. Community Holdings was incorporated for the purpose of making investments into the financial sector. The company will leverage the expertise of its directors in the financial sector, to support and grow Financial Institutions, with special focus on Mass Market, Salaried, Self Employed and SME segments.
The availability of financial services in rural areas is extremely important for the growth of the economy as this will enable a large number of rural households, which are primarily self-employed, to fund the growth of their livelihoods. The growth of the economy is dependent to a large extent on the growth of the rural market in the country. Community Holdings intends operate a new community based NBFC in India. The business model has been named as ‘Community Model’.
Cover the last mile between its various branches where financial services are available and the home or place of business of the customer. This is to make quality financial services available to the customer and achieve the objective of financial inclusion.
Make a meaningful impact on the communities where the Company will operate, by helping raise incomes of the customers in all market segments while actively sponsoring initiatives which serve to improve the lives of each and every local community which the company will intend to serve.
The model is aimed towards rural and semi urban markets.
The model is proposed to enable rural people to identify newer opportunity of revenue stream or enhance and also grow the existing revenue streams.
The model is aimed to create and help the members of the society with some skill based training for income generation in the community.
The model will endeavour to understand the customer better and uses a consultative and coaching based approach to provide him/her the best solution available.
This model is envisaged to help finance where there is limited means of Finance available. Through this approach, the Company will initiate the relationship with secured product and thereafter offer the partially secured and unsecured products.
This will be a very high and continuous engagement model with the customers.
The model will endeavour to fulfil the huge need for finance due to growing aspiration of Indian customers in underpenetrated markets. This will create a better alternative to all customer segments as the local money lenders charge very high rates.
The disbursements of loans to customers will be decentralized and fast. The branch eco-system in each of the location is empowered to take maximum decision on the customer to ensure speedy processing and better services to the customer.
The model will aim to cover the entire community in the rural and semi urban areas based on customer segmentation.
The customers can identify newer opportunity of revenue stream or enhance and grow the existing revenue stream.
The potential in the rural market is high and the demand-supply gap in the markets provide high opportunity levels in creating a win-win scenario from the perspective of both the financiers and the customers.
‘Sustainable rural development is vital to the economic, social and environmental viability of nations. It is essential for poverty eradication since global poverty is overwhelmingly rural. The manifestation of poverty goes beyond the urban-rural divide, it has sub regional and regional contexts. It is therefore critical, and there is great value to be gained, by coordinating rural development initiatives that contribute to sustainable livelihoods through efforts at the global, regional, national and local levels, as appropriate. Strategies to deal with rural development should take into consideration the remoteness and potentials in rural areas and provide targeted differentiated approaches.’
At Community Finance, our long-term vision is to make a meaningful impact on the communities where we operate both commercially and socially; by helping raise incomes of our customers in all market segments while actively sponsoring initiatives which serve to improve the lives of each and every local community which we serve. We are committed towards offering a unique value proposition of dedicated relationship to the rural customers by analysing their lifecycle needs, coaching them about the best financial offering suited as per requirement and enabling them to sustain their livelihood and further enhance the same, with an objective of becoming the sole-lender to the customers. Our rural services have been named ‘Jan Vikas’ and the journey have started with the launch of 8 Pilot Branches in Maharashtra and Karnataka.
JAN VIKAS – RELATIONSHIP BASED APPROACH Our business model offers a unique value proposition of dedicated relationship for the rural customers. Our relationship officers have been groomed to be more than just a sales officer who will understand the financial need of the customer in various stages of his lifecycle, maintaining a strong relationship and provide an in-depth coaching to the customer about the priorities and offer the best suitable financial offering.
Our intention is to tap the neglected segments of the rural market and boost their household earning capacities through access to sources of finance. Our relationship officers are well trained to reach out to the customers in the most interior rural segments. Our branches cover about a radius of 25 km area in and around them and offer a bouquet of financial services to households in over 100 villages and small towns in the given area.
We have designed our offerings to cater to the various types of personal and business needs throughout the lifecycle of the customer. A customer can avail up to a loan amount Rs. 1 Lac under group loan with the flexibility to extend the tenor to 24 months.
We have invested in unique systems that will help to catalyse our processes and result in speedier processing of cases. The access of customer sourcing and verification through mobile devices, have enabled speedier decision making and also built a great level of transparency, trust and customer confidence. Our branches are linked with central systems and all operations are online providing access to customer information and transactions on a real time basis.
We offer a bouquet of product offerings to our customers in the Rural Financing segment: • Merchandise Loan • Personal Loan • Life Insurance
**Loans are at the sole discretion of Community Finance Pvt. Ltd. and are subject to the guidelines of the Reserve Bank of India (RBI). Community Finance Pvt. Ltd. may choose to engage the services of their marketing agents for the purpose of sourcing loan assets in certain locations.