Deepak Aggarwal, Co-founder, Co-CEO, and CFO of Moneyboxx Finance Limited, says the company operates in areas that have seen little or no lending interest. From financing farmers to planting fruit-bearing trees, Aggarwal says the company is looking beyond merely providing loans. In a conversation with ET Digital, Aggarwal talks about what makes Moneyboxx different, its financing models, the range of products it provides and the company’s expansion plans. Edited excerpts:

Moneyboxx Finance is an impact-investing NBFC that was founded in 2019 with a mission to empower the unsung heroes of Bharat—micro and small enterprises—by bridging the unmet credit needs, particularly those in financially underserved segments in tier-3 cities. These enterprises are key for inclusive economic development, and with focused policy initiatives and huge unmet credit needs in the segment, lending to them presents a huge opportunity. Traditional financial institutions often overlooked this ‘missing middle’ segment due to perceived risk and a lack of formal credit history.

Since inception, our mission has evolved beyond simply providing loans, with a more focused approach to fostering grassroots entrepreneurship, promoting financial inclusion, and enabling sustainable livelihoods by offering customised, responsible, and tech-driven lending solutions. Supported by 32 lenders, including major banks like State Bank of India, HDFC Bank, and Kotak Mahindra Bank, we seek to empower small business entrepreneurs through innovative financial solutions and drive economic growth within Bharat through income generation and job creation. Our secured and unsecured, fast, and flexible business loans empower customers, helping them expand their businesses.

Moneyboxx aims to pave the way for financial inclusivity by ensuring that every entrepreneur, with a greater focus on three segments—women entrepreneurs, livestock rearing communities, and new-to-credit borrowers—has access to capital. This approach is our route to fostering economic prosperity in Bharat.

We are focused on the direct-to-customer relationship-based approach with no third party or DSA involved. A feet-on-street and ‘phygital’ model results in extremely efficient sourcing and collection processes and strong portfolio quality. This approach combines digital loan processing with strong on-ground presence through field officers, which is crucial, especially for first-time borrowers who may lack familiarity with formal financial systems. Combining high-tech convenience with human support, Moneyboxx builds trust and long-term borrower success in regions where financial inclusion still faces fundamental barriers.

Beyond disbursing loans, the company provides holistic post-loan support that includes veterinary advisory for livestock borrowers, financial literacy initiatives, and personalised borrower engagement, ensuring that micro-entrepreneurs not only access credit but also build sustainable businesses.

Moneyboxx offers a range of financial products designed to meet the specific needs of micro-entrepreneurs. These include Vyapaar Loans (secured and unsecured), Saral Mortgage Loans, and the recently launched Sikka app.

Vyapaar Loans (secured and unsecured) offer working capital support for business expansion, inventory management, or livelihood enhancement, with ticket sizes aligned to small business needs.

Secured loans cater to medium-to-high-ticket-size needs in the range of Rs 1 lakh to Rs 25 lakhs, giving small businesses a strong financial start and helping them grow and create lasting benefits for rural communities; they stand out for their competitive interest rates, minimal documentation, and EMI discounts.

The unsecured small business loans that we offer in the range of Rs 50,000 to Rs 3 lakhs play a significant role in bridging credit gaps for small and medium enterprises and addressing the critical missing middle. We offer unparalleled support to all, providing the finest unsecured business loans, regardless of credit history. This commitment ensures financial inclusivity and empowerment for aspiring entrepreneurs. These loans come with the benefits of no documentation, a fast turnaround time and a seamless digital journey so that our customers can focus on their businesses.

Our Saral Mortgage Loan skips the heavy paperwork and credit score checks often required by other lenders, enabling those without a credit history or a lower score with credit access against residential or commercial properties, enabling borrowers to unlock the value of their assets without traditional banking hassles. Saral Mortgage Loans are particularly focused on women entrepreneurs, encouraging them to work towards achieving financial independence.

Sikka app is a digital lending ecosystem that simplifies borrowing while equipping users with financial tools beyond just credit. The app enables quick loan applications, offering a fully paperless, hassle-free process. Sikka’s impact extends beyond lending. Borrowers can track their credit scores, manage repayments, and start investing in digital gold with a minimum of Rs 10. The app also provides access to one of the affordable health insurance plans in the country.

Moneyboxx uses technology at every stage, from customer onboarding to loan monitoring. Through its in-house Sikka platform, it ensures paperless loan applications, real-time tracking, and digital KYC processes. For risk assessment, it leverages a combination of alternative data and business cash-flow analysis. This tech-enabled, human-touch approach allows Moneyboxx to lend responsibly to underserved customers with limited formal credit history while maintaining speed and efficiency. The company has had a sectoral impact in key industries such as livestock farming, retail, and micro-manufacturing, which are vital to India’s rural economy.

By offering accessible savings solutions, real-time credit tracking, and a very affordable health insurance through the Sikka app, Moneyboxx has built a scalable and sustainable platform that supports long-term financial growth and will help small business owners strengthen their financial future and set a new standard for digital inclusion in the lending industry.

DA: While limited credit visibility is a challenge, it does not deter Moneyboxx from lending decisively. We stayed true to our vision to become the lender of choice for the underserved and unserved segments in India.

To achieve this, we have developed a proprietary credit assessment process for each segment that we operate in, giving us a unique advantage in underwriting and collection processes. We assess borrowers on real income generation potential, cash flows, and sector-specific risks rather than depending only on credit scores. We aim for an in-depth study of the customer’s enterprise to draw out the assessment peculiarities of that specific business trade. These business trades are continuously monitored, and changes are incorporated in the credit evaluation tools accordingly. Based on this knowledge, we are also able to create products suited to the needs of our customers.

With the aid of technology, the company ensures that even first-time borrowers can receive quick loan approvals, often completing the disbursement within a few days of application, which ensures that a lack of a formal credit history does not delay financial inclusion.

ET: Beyond financial services, what initiatives has Moneyboxx undertaken to support community development, such as livestock awareness camps and agroforestry drives?
DA: Our business aims to transform the lives of our customers in numerous ways. We focus on ensuring the overall health of our customers' cattle, offering advice on feed, and working on improving cattle breeds to increase milk production. Considering our focus, we have committed full-time vets to be stationed at our branches, who can assist our customers with their queries and provide hands-on support for their livestock, supporting them with treatment, vaccination, and artificial insemination at zero cost. We have conducted over 50 livestock awareness camps, and our in-house team of over 30 veterinary doctors has undertaken over 495,000 free cattle diagnosis along with providing complementary vaccination and artificial insemination services.

Additionally, Moneyboxx has facilitated the plantation of over 12,000 fruit-bearing trees at no cost to our customers till now. With the aim of contributing to environmental sustainability and enhancing farmers’ incomes, our initiatives actively contribute to the protection of biodiversity and carbon sequestration by planting trees, thus creating positive socio-ecological impacts, aligning with our commitment to fostering holistic growth in the communities we engage with.

We are now furthering our support with credit funding for the installation of biogas digesters for our livestock borrowers, which not only produces cooking gas but also yields organic slurry that serves as a natural fertiliser, all at zero marginal cost.

ET: With the recent inauguration of the 100th branch in Firozabad, what are Moneyboxx's strategies for further expansion across India?
DA: Moneyboxx’s expansion strategy is focused on deepening its presence in tier III and beyond markets across India. The company has scaled to over 160 branches in FY25, focusing on regions with high concentrations of underserved micro-entrepreneurs. The company has strategically focused on secured lending, with secured loans accounting for 44% of AUM (assets under management) as of FY25.

Alongside, Moneyboxx is continuously enhancing its digital infrastructure to ensure faster loan processing, broader outreach, and greater operational efficiencies. Future growth will be supported by product diversification and customer-centric innovations.

As part of our future plans to expand customer support, Moneyboxx is developing an AI-powered app to revolutionise cattle tracking and health monitoring. Known as ‘FaceID for Cattle’, this tool will allow farmers to scan a cattle’s muzzle to instantly assess key metrics like age, breed, disease status, and lactation cycle in real-time.

ET: Could you discuss the company's financial growth, including recent revenue figures and profitability milestones?
DA: Moneyboxx has demonstrated robust financial growth. As of December 2024, we recorded an AUM of Rs 837 crore, a 56% year-on-year growth. In 9M FY25, the company achieved a 30.08% YoY growth in net profit to Rs 6.54 crore and a 53% YoY increase in total income to Rs 147.09 crore.

ET: What roles have institutional investors, such as SBI, HDFC Bank, and Kotak Mahindra Bank, played in the development of Moneyboxx?
DA: The institutional backing has helped us maintain competitive borrowing costs, reduce dependency on any single funding source, and invest in expanding our branch network to over 160 locations across 12 states.

These investors have also enabled us to diversify our lending portfolio by moving from unsecured microloans to secured income-generating loans, particularly in the livestock, trading, and microenterprise segments. We maintain a sharp focus on women borrowers, with over 50% of our customer base consisting of women, which has helped us scale operations rapidly across tier III and rural regions.

Institutional lenders have acted as growth catalysts, improving our balance sheet strength, credit ratings, and overall impact on transforming credit access for Bharat’s underserved entrepreneurs.