MUMBAI: Peel-Works Pvt Ltd, a B2B e-commerce grocery firm, has partnered with three NBFCs to provide short-term credit to kirana stores at reasonable interest rates.
The three NBFCs — RBL, Karbon Cards and Indifi — will provide credit in the range of Rs 50,000 to Rs 2,50,000 for seven to 15 days to the small retailers registered on Peel-Works’ mobile app Taikee.
The interest will be 18 percent to 28 percent depending on the retailers’ purchase history and credit score.
“To begin with, the credit will be made available to retailers in Delhi-NCR, Chandigarh, Bengaluru and Chennai. The facility will be slowly rolled out to other cities soon. Close to 20,000 retail outlets that are registered on Taikee app will benefit as they can access to credit with just one click on the app,” said Sachin Chhabra, Founder, Peel-Works, in a statement.
Taikee app is the retail management arm of Mumbai-headquartered Peel-Works. The payment will be collected automatically from the retailer’s account after the fixed tenure with nominal interest charges.
Small retailers have been known to operate on credit due to lack of working capital but they have to pay interest in the range of 40-100 percent.
“With this partnership of Peel-Works with the NBFCs, retailers can avail credit at a much lower interest rate, thereby reducing their cost of operations significantly,” said Nidhi Ramachandran, co-founder, Peel-Works, in a statement.
Founded in 2010, Peel-Works enables better lives for kirana stores. The company has a direct tie-up with leading FMCG brands, making it convenient for retailers to source through Taikee instead of interacting with multiple brands’ salesmen.
The company has clocked a monthly turnover of over Rs 100 crore ever since the lockdown. Recently, Peel-works secured venture debt of around $3 million from BlackSoil Capital and others.
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