Godrej Capital introduces industry-first LAP 25 loans with up to 25 yrs tenure; details here  

Financial services arm of the Mumbai-based multinational conglomerate Godrej Group—Godrej Capital (GCL) – has introduced a new offering in its loan against property (LAP) portfolio called LAP 25. This is an industry-first product offering loans with tenure of ~25 years and is focused primarily on small and medium enterprises or SMEs to allow flexibility of lower outflows during the loan term.

According to the company, LAP25 will also be available in locations like Chennai, Indore, Jaipur Chandigarh, Surat and Hyderabad besides existing markets in Delhi NCR, Mumbai Ahmedabad, Bengaluru and Pune. GCL has rolled out this offering with a focus on becoming the preferred lender for the SME segment.

The company further said that GCL plans to address the issue of seasonal and uneven cash flows characteristic to SMEs in India with ‘Design your EMI’ being one of the focal features. Godrej Capital will also launch an option to pay instalments quarterly or bi-monthly (once in 2 months) to enhance the options of availing flexible repayments.

For instance, those eligible can choose to pay interest for up to first three years of the loan, thus, enabling the efficient use of the financing availed.

Godrej Capital MD and CEO Manish Shah said, “Our intent and approach have always been to address the credit supply gap through fair, fast, and flexible offerings. As we expand, the introduction of LAP 25, an industry-first product offering, further highlights our focus on flexibility to empower our consumer base".

Meanwhile, Godrej Capital also said that it aims to grow its balance sheet by Rs 6,000 crore by 2023 and Rs 30,000 crore by 2026.