Fusion Microfinance: Building Opportunities by Serving Financial Services

The financial evolution of the country is cultivating every day with a major thrust towards the digital and cashless economy. NBFC sector is having dynamic flexibility operations and offers an opportunity to tap into the huge potential market segment by giving a competitive advantage. Established in January 2010, Fusion Microfinance operates on the time-tested Grameen Joint Liability Group (JLG) model with 100% women clients from rural and semi urban areas.

Situated in Delhi, Fusion is providing financial services through 264 Branches in 145 districts spread across 12 Indian states. Over 85% of its active loan clients belong to the marginalized communities and backward classes of the Society.

Fusion believes in healthy business practices, crystal clear policies conveyed in its Customer Centric efforts towards its Clientele. Striving to deliver sustainable socio-economic growth to its Clients, Fusion reaches out to the most backward and poorest districts in Madhya Pradesh and Uttar Pradesh under Poorest State Inclusive Growth Program of SIDBI.

About the Instigator of  Fusion Microfinance 

Devesh Sachdev, Founder & CEO of Fusion Microfinance, an XLRI Post Graduate with 16 years of experience in the Service Industry prior to starting his Fusion in 2009-10. He started his career with Citigroup in 1996.

His entrepreneurial quest started with BSA, a small size logistics company. He spearheaded the growth of BSA from single city operations with limited service offerings to Pan India foothold with diversified services making BSA the Market Leader in its segment. Devesh was the first professional manager to be appointed Director on the Board of all the group companies of BSA.

Amongst the diverse experiences, his expertise lies in building a business, managing large teams in a cost efficient manner, strategy, key relationship management and handling all dimensions of the business. Under the leadership of Devesh, Fusion has grown into one of the prominent microfinance institutions and endures to expand its operations.

In 2015, he attended and successfully completed Strategic leadership program in Harvard Business School.  He also sits on the Board of MFIN, a Self-Regulatory Organization for NBFC-MFIs. MFIN works meticulously with regulators and other key stakeholders and plays an active part in the larger financial inclusions dialogue through the medium of microfinance.

Awards and Recognition:

  • ‘Business World Digital India Award 2017’ for the usage of Information Communication and Technology (ICT) in Rural Development.
  • ‘Super Achiever’s Award 2016’ under BFSI category instituted by Stars of the Industry Group, Mumbai
  • ‘Best MFI of the year 2014 Award’ at ‘Microfinance India Awards 2014’ instituted by ACCESS
  • CRISIL has included Fusion in the list of India’s 25 leading MFIs.
  • MFIN has ranked Fusion as fastest growing NBFC-MFI in 2014

Distinctive service with unique serving style 

Since inception, Fusion’s strategy has been on client centricity, collaborating team,  risk governance, transparency, robust IT platform and prudent lending while acclimating to progressions in line with the embryonic business environment in the background of microfinance crisis. These attributes helped Fusion to overcome the teething challenges of raising Equity, frequently changing regulatory norms and credit risk that was created a post the microfinance crisis.This is all due to the strong foundation laid down at inception.

Fusion offers an extensive range of products and services to its Clients. These include Products which enable income generation. Income Generation Loans are provided either to start a new business or to scale up existing business. To provide a risk cover, Life insurance is provided to both the Client and her Spouse.

Fusion’s clients get a cutting edge as they have a bouquet of products to choose from as per their financial need. The company strongly believes in providing flexible financial solutions, hence a vivid range of products have been launched. Moreover, Fusion has conceptualized and formulated a pictorial tool kit for raising Clients awareness on Financial Management.

Delivering the class of business

Fusion brings a formal structure in the lives of its Clients while making them financially literate thereby empowering them. The clients have become economically better off and self-sufficient in earning their livelihood with doorstep services. This has improved their overall standard of living, financial security and socio-economic conditions.

Fusion’s client base comprises of approximately 7,00,000 women. The company promotes women entrepreneurs and strengthens women’s workforce in marginalized communities. About 90% of Fusion Clients are Aadhar linked, with the majority of them holding a Bank Account. The company has conducted more than 25 Digital Literacy Workshops, building awareness on various modes of digital payments.

Driving towards future goals

Fusion wants to build a brand image on pillars of transparency, continuous improvement and strong governance, thereby creating value for all the Stakeholders. The company has the vision to increase its coverage in new territories pan India and expand in the existing areas of operation. It is launching new products in the market that appeal to the customer requirements and market dynamics.

Fusion has taken a huge stride in helping clients shift to digital payments in less than a year through cashless payments.Further, Fusion is going to become more technologically savvy combined with strategic decisions and backed up by data analytics.

Source :- The 10 Most Valuable Nonbanking Financial Companies