Tamil Nadu-based financial intermediary Samunnati to start 12 branches

“We plan to start 12 operational branches in Thiruvannamalai in the first three months of our operations. Our first branch is likely to be operational by this Diwali in Thiruvannamalai. Each branch will cost around 5 lakh capex and 1 lakh of opex per month. All branches will operate in Tier 5, rural villages,” Samunnati’s Chief Executive Officer Anil Kumar SG told PTI.

It would take two years for the entity and the first branch would take around six months to turn operationally positive, he said.

Samunnati would take another one year to break even, he said adding the company would recruit locals and train them with skills necessary for financial services providers.

“Since the business’ focus is on local agricultural value chains, it is imperative that the staff has a deep understanding of the agricultural value chain specific to the district they operate in. Hence, we would recruit local talent from remote rural areas so as to harness native intelligence,” he said.

Samunnati would focus primarily on the unbanked part of the agricultural value chain.

“We will go live in the dairy segment to start with, and then get into post-harvest as well as farm mechanisation after around eight months of the pilot project,” Anil Kumar said.

Leave a comment

You might also like

Samunnati launches new scheme to crowdsource funds to cover small farmers’ risks

4 October 2021

Samunnati launches new scheme to crowdsource funds to cover small farmers’ risks

Featured in BusinessLine The start-up plans to cover 5 million such farmers and their families by 2025. Specialised agri value chain...

Farm Finance: How this Budget can give a push to rural credit, post-demonetisation

19 January 2017

Farm Finance: How this Budget can give a push to rural credit, post-demonetisation

Current indications are that the farm sector has emerged from the initial shocks of demonetisation. Just across the road from...

Samunnati’s playbook to create a holistic agri-lending ecosystem

24 March 2021

Samunnati’s playbook to create a holistic agri-lending ecosystem

Featured in TECHCiRCLE Nearly 58% of India’s population relies on agriculture as the primary source of livelihood, as per data from...

Samunnati ties with Economic Times for India’s first-ever FPO Awards

9 December 2019

Samunnati ties with Economic Times for India’s first-ever FPO Awards

Samunnati and the Economic Times, in conjunction with its institutional partners, advisory team and editorial members launched the inaugural edition...