An RBI registered rural finance NBFC is unlocking affordable, direct to farmer credit for India’s millions of smallholder dairy farmers, blending strong risk discipline with high impact growth.
What the company does
- Provides income generating term loans directly to small and marginal dairy farmers to finance milch animals, using a branchless, village level aggregator (VLA) model instead of traditional branches which are far and few.
- Combines “high tech + high touch” origination, farm monitoring and advisory to improve cattle productivity and household income while keeping delinquencies low.
Market and impact
- Targets a large, under served opportunity: 70-80 million dairy farmers, ~300 million cattle, and an estimated USD 40 billion credit gap due to low formal credit penetration (<20% institutional credit, <4% KCC coverage in dairy).
- Focuses on “impact by design”: loans are typically a farmer's first formal credit.
Business model, economics and traction
- Operates a capital efficient co lending model with partner banks, enabling off balance sheet growth, 0.25-0.5x cost structure vs traditional microfinance, and a path to >25% long term RoE.
- Has already impacted 5,500+ farmers, disbursed ~INR 950 million (~USD 11 million) with zero write offs, and secured its first co lending partnership.
Technology & team
- Uses data driven credit evaluation, alternative scoring and early warning analytics that can flag performance risks up to three months in advance.
- Backed by a seasoned board and management team with decades of experience in rural banking, NBFCs and payments.