Velicham Finance: Tech-Driven Loans for MSMEs And Families

Introduction 

Velicham is a Tamil Nadu-based Non-Banking Financial Company (NBFC), registered with the Reserve Bank of India (RBI). Since its beginning in 2016, Velicham has been dedicated to providing financial support to individuals and small businesses that often find it difficult to access credit from traditional banks. The company offers a range of loans such as MSME business loans, agricultural and allied loans, and family support loans. 

With these products, Velicham aims to empower local communities by giving them the financial tools they need to grow their businesses, support their families, and build a stronger future.

Over the years, Velicham has expanded its reach steadily and today operates across 6 states with 56 branches and a team of more than 400 employees. The company has also partnered with well-known financial institutions like State Bank of India, Blacksoil, Caspian, UC Inclusive, MAS Financial Services, Vivriti, Cholamandalam, InCred, and AU Small Finance, among others. 

These partnerships not only strengthen Velicham’s funding base but also show the trust and credibility it has built within the financial services sector. By combining strong institutional backing with a clear focus on customer needs, Velicham has positioned itself as a reliable partner for financial inclusion in India.

Board Of Directors Of Velicham Finance

Here is the list of Board of Directors and key management members of Velicham:

• Nagarajan Muthukrishnan — Managing Director & CEO
• Vijay Krishnan — Business Development Head
• S. Ganga Devi — Credit Head

Products Offered By Velicham Finance

Velicham offers three main types of loan products suited to different borrower needs. Below is a breakdown of each:

1. Micro, Small & Medium Enterprise Loan (MSME Loan)
This is a specialized loan designed for the growth and development of micro, small, and medium enterprises. The idea is to provide capital that businesses can use for expansion, working capital, buying machinery, or other business needs. 

This product helps enterprises gain access to credit when they might not otherwise be able to get it from large banks. Velicham aims to support business owners and entrepreneurs with fast, tailored financing under this category. 

2. Agriculture & Allied Enterprises Loan
This loan is targeted toward the agriculture sector and allied activities (such as farm inputs, processing, agri-value chain, allied rural livelihoods). It supports farmers, supply chain participants, and others involved in agriculture-based businesses. 

The aim is to provide credit to people in the agricultural ecosystem so they can invest in inputs, infrastructure, or operations that improve productivity or income.

3. Family Support Loan
This product is intended to help families meet personal, non-business needs. Typical uses are housing repairs or renovations, education expenses, health or medical emergencies, and other urgent or critical requirements that households often face. It is a flexible personal loan product aimed at improving the quality of life of families by giving them timely access to funds.

Source: Velicham Finance.¹

Velicham Finance Customer Care

For any queries or support, Velicham’s customer care team is here to help. You can reach them at +91-9942985699 or email : info@velichamfinance.com

Tech-Driven Financial Solutions for MSMEs, Agriculture, and Families

Velicham Finance focuses on delivering accessible, technology-enabled financial solutions tailored to the needs of MSMEs, agricultural enterprises, and families. By leveraging digital tools and a strong branch network across 6 states, the company ensures that loans are disbursed quickly, transparently, and with minimal paperwork. This approach helps businesses access working capital, farmers invest in modern equipment or inputs, and families meet urgent personal needs without delays.

The company’s tech-driven model also allows borrowers to track their loan applications, manage repayments, and access support conveniently, improving overall customer experience. By combining financial expertise with digital innovation, Velicham Finance empowers communities to grow sustainably while making financial services simple, fast, and reliable.

Key Strengths Of Velicham Finance

Following are the key strengths of Velicham finance:

1. Strong Asset Growth and Profitability
Velicham Finance has demonstrated consistent growth in its financial performance. As of March 31, 2025, the company reported an Assets Under Management (AUM) of INR 231.85 crore, up from INR 191.31 crore in the previous year, reflecting a year-on-year increase of approximately 21%. Correspondingly, the company achieved a Profit After Tax (PAT) of INR 7.33 crore in FY2025, compared to INR 6.20 crore in FY2024, indicating a growth of about 18%.This growth is attributed to the expansion of its loan portfolio and strategic lending practices.

2. Diversified Loan Portfolio
Velicham Finance offers a range of loan products, including MSME loans, agriculture and allied loans, and family support loans. The company's loan portfolio is well-diversified across these segments, with a significant portion of the portfolio consisting of secured and unsecured MSME loans. This diversification helps mitigate risks and ensures a balanced revenue stream.

3. Established Presence and Operational Scale
Operating across Tamil Nadu, Puducherry, and Kerala, Velicham Finance has established a robust presence with a network of 56 branches as of June 30, 2025. This extensive branch network enables the company to serve a wide customer base and effectively manage its operations across multiple regions.

4. Experienced Management Team
The company is led by a seasoned management team with extensive experience in the financial services industry. Nagarajan Muthukrishnan, the Managing Director & CEO, brings over 30 years of experience in rural appraisal, wastewater management, community formation, human resource handling, and micro-finance. His leadership is instrumental in steering the company towards sustainable growth and operational excellence.

5. Robust Asset Quality and Collection Efficiency
Velicham Finance maintains a strong focus on asset quality. As of March 31, 2025, the company's Gross Non-Performing Assets (GNPA) stood at 1.99%, indicating a healthy asset quality. Additionally, the company reported an average collection efficiency of 97.50% for the 12 months ending March 31, 2025, reflecting effective collection practices and low delinquency rates.

6. Strategic Funding Partnerships
Velicham Finance has established lending partnerships with reputable financial institutions such as State Bank of India, Blacksoil, Caspian, UC Inclusive, MAS Financial Services, Vivriti, Cholamandalam, InCred, and AU Small Finance. These partnerships enhance the company's liquidity, diversify its funding sources, and bolster its credibility in the financial market.

7. Commitment to Financial Inclusion
The company is dedicated to promoting financial inclusion by extending credit to underserved segments, including small and medium enterprises, agricultural businesses, and households in need of financial support. Velicham Finance's focus on these segments aligns with its mission to empower communities and contribute to economic development.

Financial Snapshot Velicham Finance

Source: Source: audited financials, credit rating reports

To raise capital, Velicham Finance also provides secured loan opportunities. These loans are rated by credit rating agencies, with Acuité assigning a BBB+ rating to reflect the company’s creditworthiness. On Grip Invest, investors have accessed these loans with attractive fixed returns of up to 13% per annum. To explore similar rated, regulated, and secured fixed-income opportunities, sign up for Grip Invest today and start earning fixed returns:

References:

1. Velicham Finance, accessed from: https://velichamfinance.com/

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