Bhupinder Singh promotes unique NBFC model in India with InCred

InCred, the non-banking financial company (NBFC) floated by former Deutsche Bank senior executive Bhupinder Singh, has garnered high-profile backers including the bank’s former co-chief Anshu Jain. Anshu Jain would be the chairperson of the advisory board. It will start operations soon with a capital base of Rs 500-600 crore.

The NBFC, which would focus on financing to small and medium enterprises (SMEs), low-cost housing, education and healthcare sectors has garnered strategic investments from Rajan R Pai (Manipal group), Gaurav Dalmia, chairman and director of Landmark Holdings (Dalmia Group), IDFC PE and Alpha Capital. Investors are confident that the business will scale up considerably. “We have always looked for investment opportunities in this space and we seized it when we met Bhupinder Singh and the high quality team he has put together,” said Ranjan R Pai of Manipal Group, which has had very successful legacy in the banking space as founders of the Syndicate Bank.

The NBFC will start business with SME financing and three retail-focused ventures - unsecured consumer finance, mortgages and education loans with a globally proven business model even though quite unique in India.

Bhopal-born Bhupinder Singh has spent most of his career outside India post his graduation from the Indian Institute of Management Ahmedabad, yet he is deeply familiar with the middle class Indian sensibilities. Singh doesn’t see a chance of default unless the whole intention is to defraud. The basic premise of banking on the integrity of the borrowers will be based on rigorous analytic by his team, and will be pursued by soft follow-ups every now and then once a loan is disbursed.

Singh, a banking veteran of about 20 years, has no plan to apply for a banking licence. His aim is to make InCred one of its kind success model in India. He’s willing to learn from established players in the segments he is venturing into.