Shell Foundation and non-bank lender Intellecash have tied-up to provide collateral-free lending to small business units in the energy and infrastructure sectors.
The credit facility will help provide short-term loans for a tenure of less than a year under Rs 1 crore without insisting on any asset collateral or a multi-year profitability record, a press release issued said.
It is aimed at providing short term working capital, against specific anticipated cash inflows, such as an order or government subsidy and the partners expect to disburse over $10-million in the next 2-3 years, it added.
"The credit facility aims to address the structural gap that currently exists in the financial market, mainly the unavailability of small loans, which is a key bottleneck in the growth of small businesses," the release said.
Clients will also be offered business and financial advisory services, it added.
