CreditVidya, Flipkart partner to offer BPNL solution for MSMEs

With the ambitious goal of bettering a lot of Indian Micro, Medium, and Small Enterprises (MSMEs), SaaS lending platform CreditVidya and mega online marketplace Flipkart Wholesale have joined forces.

The duo will empower Kirana stores and other SME merchants to avail a ‘Buy Now Pay Later (BNPL) credit solution. Flipkart Wholesale’s 1.5 lakh merchants are likely to benefit from this service offering according to the company. Via this arrangement, there will be capital access of $100 million through multiple financial institutions that assist in addressing the credit needs of MSME merchants.

Flipkart’s and CreditVidya’s teams have jointly devised a user-friendly multilingual application for easy onboarding of businesses. With onboarding down to less than a minute, businesses on Flipkart Wholesale can now opt for entirely digital and instant credit with a ticket size as small as ₹500, according to the eCommerce giant.

Abhishek Agarwal, Co-founder, and CEO, CreditVidya, stated that both companies share a similar vision of using the latest technology to create a digital ecosystem for MSMEs; and now this is set to become a reality. The company specializes in lending as-a-service-for capital partners and digital businesses to create customized credit and lending products in their own branding with 90% less time and effort.

Adarsh Menon, senior vice president, and head, of Flipkart Wholesale, stated that BNPL is set to be a disruptive process for the current credit system. The MSME clients of Flipkart Wholesale will now be adopting BNPL solutions via CreditVidya and can embed credit products into their own experiences at the point where customers and SMEs need financial services and not where traditional FIs force them to.

CreditVidya has de-constructed financial services into smaller digital components through a suite of Application Program Interfaces (APIs). The company has seen over 108x growth since its launch of the lending-as-a-service platform. B2B BNPL is the second offering after their white-labeled digital loans.