Public sector lender Indian Bank, in collaboration with IIT Madras Incubation Cell (IITMIC), has unveiled ‘Ind Spring Board,’ an initiative for funding start-ups.The occasion was marked by the distribution of sanction tickets of ₹3.90 crore to two entrepreneurs.
Under the MoU, IITMIC will refer start-ups with proven technology and established cash flows to the bank. The bank, in turn, will extend loans of up to ₹50 crore to these units for their working capital requirements or purchase of machinery and equipment, said a top official at the Chennai-based bank.
“It is a known fact that banks find it difficult to fund start-ups , as they do not meet the requirements under traditional models of financing. This initiative will be the spring board for start ups to realise their ambitions,” said Padmaja Chunduru, MD & CEO, Indian Bank.
“We see this collaboration as a perfect fit both for Indian Bank and IITMIC. We also recently launched “MSME Prerana” programme to empower MSME entrepreneurs through skill development and capacity building workshops in local languages,” she said.
Debasish Panda, Secretary, Financial Services, MOF said that Ind Spring Board will be a game changer in the banking industry.
The e-launch was attended by Dr. Ashok Jhunjhunwala, co-chairman, IITMIC, K. Ananth Krishnan, EVP & CTO, Tata Consultancy Services and by Indian Bank board members.