SBI Enters into Agreement with Snapdeal for Seller Financing under Snapdeal – Capital Assist Program

State Bank of India (SBI) the largest commercial bank in India, pioneer & market leader in financing MSMEs in India, having MSME loan book of approx. Rs.1679 bn as on 3rd quarter of FY 14-15 took one more strategic step towards structured financing to MSMEs. Today SBI enters into a preferred partnership agreement with Snapdeal for financing their sellers under Snapdeal- Capital Assist program in the presence of Smt. Arundhati Bhattacharya, Chairman, SBI & Shri. Kunal Bahl, CEO, Snapdeal. This is currently the first and only such agreement for seller financing entered into by SBI keeping in the view of specific requirements of sellers in e-commerce industry. With this, the existing customer base of approx. 9 lakh MSMEs of SBI will record further growth and the robust technology platform of SBI will comfortably manage the same. E-commerce is currently the future of business in India and State Bank of India has been always committed to adapting to such new business trends.

It will benefit the sellers as Snapdeal- Capital Assist Program will be offering digital platform with SBI for instant loan approval and customized product for e-commerce industry. Bank will provide hassle free loans to the traders and manufacturers, under the Snapdeal- Capital Assist platform to scale up their business levels. Pricing under the scheme is very competitive. Further, there will be concession of 0.25% in interest rate for Women Entrepreneurs. For manufacturing units, no collateral security will be required upto the limit of Rs. 100 Lacs as it will be covered under CGTMSE scheme. CGTMSE fee will be absorbed by the Bank. For Traders, there is no requirement of Collateral Security upto the limit of Rs. 25 Lacs. Snapdeal has now become a preferred partner for SBI and the bank aims to enter in many such strategic agreements with Snapdeal in next financial year.

Snapdeal’s vision is to create India’s most impactful digital commerce ecosystem that creates life-changing experiences for buyers and sellers. In February 2010, Kunal Bahl along with Rohit Bansal, started Snapdeal.com - India’s largest online marketplace, with the widest assortment of 11 million+ products across 500+ diverse categories from thousands of regional, national, and international brands and retailers. With millions of users and 10,000 sellers, Snapdeal is the shopping destination for internet users across the country, delivering to 5000+ cities and towns in India. With its acquisition of Freecharge in 2015, a leading mobile transactions platform, Snapdeal has become the largest mCommerce company in the country. In its journey till now, Snapdeal has partnered with several global marquee investors and individuals such as SoftBank, BlackRock, Temasek, eBay Inc., Premji Invest, Intel Capital, Bessemer Venture Partners, Mr. Ratan Tata, among others.