Online food ordering and delivery platform, Swiggy has tied-up with Indifi Technologies to launch what it calls the ‘Swiggy Capital Assist’ programme, through which it will provide easy access to working capital loans for its restaurant partners, reports PTI. Once a restaurant partner submits the requisite documents, Indifi will perform a credit evaluation in under 24 hours, following which the loan amount will be disbursed within a week’s time.
The documents required are:
- Pan Card
- Aadhar Card
- Address proof of self and firm
- Business registration proof
- Bank Statement last 6 months
- In case of loan >10 lacs, ITR and VAT returns
All restaurant partners on Swiggy are eligible for this programme. It was piloted in mid-September and Swiggy claims to have already received more than 200 applications from restaurants in all cities it is operational in, including Delhi-NCR, Mumbai, Bangalore, Hyderabad, Kolkata, Pune and Chennai.
These are the Terms & Conditions for Swiggy’s restaurant partners:
You acknowledge that the Lender and Indifi are authorized to seek information pertaining to you from Bundl Technologies Pvt Ltd (Swiggy). You hereby agree and give your irrevocable consent to Swiggy to disclose and share the Restaurant Data with Indifi and Lender. The consent shall remain valid till the loan is repaid and obligations under this Agreement are completely performed. You expressly waive any confidentiality obligation upon Swiggy in the agreement between Swiggy and the Restauramt and further waive any right of notice, privacy, defamation for such disclosure by Swiggy to Indifi and/or Lender.
Gurgaon-based Indifi provides loans of up to Rs 50 lakh. It provides term loan, line of credit, invoice discounting and merchant cash advance solutions for several market segments, including travel, e-commerce, hotel, retail, and used car dealer, besides restaurant. For more details check here.
Indifi already works with the likes of MakeMyTrip, GoIbibo, ShopClues, Foodpanda, Yatra, and Pine Labs among others. And its lending partners include Lendingkart, India Infoline Finance Limited (IIFL), Edelweiss, Capital First, IDFC, and InCred.
In December last year, it had raised $10 million in Series B funding from Omidyar Network, with participation from existing investors Accel Partners and Elevar Equity. At the time, Infidi’s co-founder and CEO Alok Mittal told Livemint that the funds will be used to “scale its technology platform, expand the workforce, create new loan products and invest in partnerships with data vendors.”
Swiggy funding: Earlier this year, in May, Swiggy raised $80 million in Series E funding from global internet and entertainment group Naspers, along with participation from existing investors Accel India, SAIF Partners India, Bessemer Venture Partners, Harmony Partners and Norwest Venture Partners. Note that Accel India is an investor in both Swiggy and Indifi.
Can Swiggy see and raise Zomato?
At the start of this year, Swiggy launched ‘The Bowl Company’ – its own kitchen in select areas in Bangalore. The idea was to run its kitchen in collaboration with popular restaurants to offer some items in areas where the restaurant does not have a physical presence, with Swiggy taking care of payments and deliveries.
Meanwhile, Zomato has:
- In September, Zomato did away with delivery commission for some restaurants after it had turned profitable in three key regions – India, Southeast Asia, and the Middle East. Restaurants that met the eligibility criteria, including number of orders processed with Zomato on a weekly basis, and customers’ ratings were not charged a commission. Note that Zomato charges around 10% commission per order while its rival Swiggy charges a higher fee of 15% per order.
- This month, it stopped charging a fee for table reservations for its restaurant partners. “Retrospectively from June 1, 2017 onward, our restaurant partners will not need to pay a “per cover” fee or even a platform fee to accept seamless digital table reservations from Zomato. Yes, the service will be completely free,” said Deepinder Goyal, founder and CEO of Zomato.
- Also in October, Zomato launched a ‘report abuse’ feature for its restaurant partners to fight against malicious user reviews.