A Hotelier in Tirupati Expands His Business With BharatPe

The Challenge: Bridging the Credit Gap for Unbanked Merchants

Access to formal credit in India faces challenges, marked by insufficient credit information, tedious application processes, and cumbersome paperwork. This void finds resolution in the innovative approaches of digital lenders who leverage technology and alternative credit assessment models to cater to the unbanked. With a focus on unsecured consumption loans at the point of sale, digital lending, as per a report by Praxis Global Alliance, is poised to offer an opportunity of around INR 104 trillion by 2030.

The Solution: BharatPe's Seamless Digital Lending

BharatPe steps into this landscape, providing collateral-free merchant loans to offline businesses and SMEs through an entirely online process with minimal documentation. These loans range from Rs 20,000 to Rs 10 lakhs for up to 15 months at competitive interest rates. The unique daily repayment mechanism offered by BharatPe makes loan repayment a hassle- free experience.

The Outcome: Sreekanth's Journey of Empowerment

Sreekanth Y, the owner of Hotel Surya and restaurant Ramakrishna Bhojnalay in Tirupati, embodies the impactful outcomes of BharatPe's credit empowerment. A first-generation entrepreneur, Sreekanth transitioned from being a Kitchen Supervisor to leasing a 12-room hotel opposite the railway station in Tirupati seven years ago. The success of Hotel Surya prompted the inception of Ramakrishna Bhojnalay, a pocket-friendly vegetarian restaurant, meeting the diverse needs of travelers.

However, the impact of the Covid-induced lockdown on both businesses prompted Sreekanth to reassess and adapt. Recognizing the shift in consumer behavior towards digital payments, Sreekanth embraced BharatPe's UPI QR in November 2021, creating a safer and more convenient payment option for his customers.

A month later, Sreekanth explored BharatPe's merchant loan facility, availing a loan of Rs. 7 lakhs in December 2021. This financial boost enabled him to acquire a neighboring tea and coffee shop, rebranded as Café Mumbai, expanding his business footprint.

Sreekanth's journey is a testament to the transformative power of conviction and hard work. His story exemplifies how BharatPe's support and innovative financial solutions can empower individuals to turn dreams into reality.