Company Background: A Karnataka-based NBFC, incorporated in 1995, provides a wide array of services, including inward money transfers, money changing, travel and ticketing, gold loans, insurance services, and prepaid payment instruments, including domestic money transfers.
Problem: The company faced significant hurdles in scaling up its business due to its inability to secure an investment-grade credit rating. Despite attempting to improve its rating through different agencies, the company was unsuccessful, leading to challenges in raising funds and limiting its growth potential.
Solution: FinMen Advisors transformed the company’s credit profile by simplifying its group structure to enhance transparency and align with industry standards. They prepared detailed notes to bridge understanding gaps, enabling the rating agency to accurately assess the company’s strengths. FinMen also guided the selection and collaboration with the rating agency, ensuring a fair evaluation. This comprehensive approach secured the crucial investment-grade rating.
Impact:
The intervention helped the company secure an investment-grade rating on time, unlocking fundraising opportunities, reducing borrowing costs, and boosting market credibility. This enabled the company to scale operations, expand services, and strengthen its position in the competitive NBFC sector.
