- Lower land cost and rent charged– Investment necessary to set up shop in a smaller city is generally significantly less, when compared to metros. There’s more land and rental space available at a lower cost.
- Availability of talent– Gone are the days when the cream of the crop needed to leave their home towns in search of better education, better jobs or a better life. Today, thanks to the connectivity that technology has brought in, millennials have started returning to their home-towns upon completion of their formal education. Talent is presently easily available in these cities with lower salary slabs.
- Widen customer base– Many MSMEs address problems that are geographically agnostic. Entering these markets serves as a way to create networks, feel the pulse of the cities and produce goods and solutions that meet their needs.
As a leading NBFC in India with a focus on urban development, Capri Global Capital hopes to lend over Rs 7,000 crore by providing home loans and MSME loans in these smaller cities. The company sees the need to create a network of branches across and plans to expand its operations from 84 to 232 branches in the next five years.