Sundaram Home Finance expands small biz loan reach to Kancheepuram
Following its foray into the small business loans segment in October 2022, it has opened over 25 exclusive branches in South and West TN and registered disbursements of Rs 65 crore in the first year.
Lakshminarayanan Duraiswamy
CHENNAI: Targeting the north TN market and continuing with its expansion into tier 2 and 3 towns, Sundaram Home Finance on Friday opened an exclusive small business loans branch in Kancheepuram.
The new branch will provide small business loans of up to Rs 20 lakh against residential property to support the business growth and working capital requirements of small businesses in this historic temple town as well as nearby locations such as Cheyyar, Vandavasi, Arakkonam, Walajabad, Oragadam, and Sriperambudur.
Following its foray into the small business loans segment in October 2022, it has opened over 25 exclusive branches in South and West TN and registered disbursements of Rs 65 crore in the first year.
Lakshminarayanan Duraiswamy, MD, Sundaram Home Finance said, “Kanchipuram is a trading hub and the SMEs there have been doing well in recent times. The town also attracts lakhs of tourists and devotees around the year. We already have a strong presence in North TN for our home finance business and understand this market well. We are confident of tapping into the opportunity in the small business loan segment in this region in the coming years.”
The company is targeting disbursements of around Rs 10 crore in the initial phase of its launch in this region.
As part of its growth plans for this region, Sundaram Home Finance will explore further expansion into Tier 2 and 3 towns such as Arani, Ambur, and Tiruppattur next year. The company has plans to double its Small Business Loans (SBL) branch network to 50 including expanding into Telengana over the next 9-12 months.
Also, the company is currently in the process of expanding into the affordable housing segment and is looking to open 10 branches and hire up to 75 people for that segment in the initial phase.
Sundaram Home Finance registered a net profit of Rs 117 crore on disbursements of Rs 2,307 crore for the half year ended September 30, 2023.
