lending money is the easy part collecting it is the real deal… UGRO is doing the vetting ,disbursal and collection… colending bank is doing nothing, its just is providing capital from savings account deposits where cost of capital is very low… whatever the bank makes is bonus on the colending book which is short term lending in nature… banks have no ability to efficiently make short term msme loans… they are always lookign for big fish iw lend once and kep collecting interest for many years like home loan or car loan… atlest this is my understanding… any one can correct me if i have got this wrong…
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