1. WELCOME
spandana sphoorty
financial limited

2. What is Microfinance
• “Microfinance is the provision of
financial services to low-income
clients or solidarity lending groups
including consumers and the self-
employed, who traditionally lack
access to banking and related
services.”

3. Features of Microfinance:
• Borrowers are from the low income
group
• Loans are of small amount – micro
loans
• Short duration loans
• Loans are offered without collaterals
• High frequency of repayment
• Loans are generally taken for income
generation purpose

4. NAME MEANING
• Spandana stands for ‘responsiveness’.
Spandana started as a response to a
need and an opportunity
• Sphoorty stands for ‘inspiration’ – this
exemplifies the growth of Spandana in
provision of larger bouquet of financial
services to larger client base.

5. SPANDANA VALUES
TRICS exemplifies our core values -
• Transparency - Maintaining simplicity and clarity in
all activities and operations, so that high standards
of fairness can be established in all the dealings.
• Responsiveness-Constantly working to identify the
changing needs of clients and potential clients, and
developing suitable products and services to address
these needs thus keeping Spandana ahead of its
competitors.
• Integrity -Maintaining high standards of
conduct, truthfulness and honesty in all dealings, in
order to honour the commitment made to our clients
and organisation.
• Commitment -Performing all activities and tasks with
professionalism and enthusiasm in order to give the
highest level of client satisfaction and optimal
efficiency.

6. SPANDANA HISTORY
1997, Guntur Town, Andhra Pradesh, India.
During a hot summer afternoon, when most of the women would prefer a
siesta, Mrs. Padmaja Reddy saw a rag-picker woman on the street buying
household reject items on a push cart. Her entrepreneurship made her curious.
Speaking to her, Mrs. Padmaja Reddy realized that the lady was working very
hard but not getting commensurate returns. Despite her efforts, she was able to
provide only one meal to her family. This was mainly because the lady was
paying an exploitative daily rent for the cart that cumulatively far exceeded the
cost of buying scores of such carts. The lack of access to affordable and
serviceable capital was leaving little alternative options for her. While a bank
would never provide credit to her on many accounts, the money-lender was far
too exploitative.
Mrs. Padmaja Reddy decided to lend her a little money, enough to buy the cart.
The money was given with a promise of timely and reasonable repayments. The
hard working woman started using her new self-owned push cart, she could
save on the rent cost and repaid the money conveniently from her increased
returns. Now this women could afford better meals for herself and her children.
She also spread the word that there was an organization which was helping
economically active women with loans. It seemed to strike the right chord with
several low-income people, and soon there were many waiting to get such loans
at the doorstep.
6

7. Mission
we want to be one of the top 2 global Micro
finance Organization by 2012, offering a
range of financial and non financial
products and services to low income
households and individuals to improve the
quality of life. we constantly
Endeavour's to deliver quality services to
our customers and remunerative returns
to our investors by maintaining highest
levels of transparency and integrity. We
strive to be the most preferred employer
in the industry."

8. Mission specifies
• Women
• Clients living in rural areas
• Clients living in urban areas

9. Development Goals
• Increased access to financial services
• Poverty reduction
• Employment generation
• Growth of existing businesses
• Development of start-up enterprises
• Gender equality and women's empowerment
• Improvement of adult education
• Health improvement
• Children's schooling
• Housing
• Youth opportunities

10. Poverty Target
• Very poor clients
• Poor clients
• Low income clients

11. Range of Products and Services
• Financial products and services
credit products offered:
• Microcredit loans for microenterprises
• Microcredit for household needs/consumption
• Loans for agriculture
• Loans for education
Voluntary Insurance product offered
• Voluntary credit life insurance

12. BUSINESS MODEL
Capital/
Spandana Insurance
Debt
Equity Funds Companies
Partnerships
Repayment
Lending
Banks
branch Village Selection
Survey a Village
Group Formation
(8-10 Clients)
and Training
Formation and
Credit Assistant training of groups
Center Formation
Loan Repayment
Service at doorstep
Financial Services
Borrowers at the Door Steps
Deploy in the Repayment Invest in
household Productive
cash-flows Assets

13. INDIAN MFI UNIVERSE
comprises of very few large MFIs but large number of
small players
Medium size MFIs
Large size MFIs mF as a segment of Not-for Profit Startups/ Small
(AUM Rs.100 to 200
(AUM > Rs.500 cr) overall business MFIs regional players
cr)
1 Spandana Future Financial L&T Finance Cashpor Suryodaya
2 SKS ESAF SEIL SKDRDP Asomi
3 Share Satin Fullerton Sanghmitra Vistaar
4 Bandhan Trident IVDP
5 Asmitha Sahayata
6 Equitas Aarohan
7 Ujjivan Sonata
8 ASA-Gram Vidiyal BWDA Finance
9 Basix Sharda It is estimated that there are over 13,000 MFIs in this
10 Grameen Koota Awareness group of startups, not-for profits or the for-profits that
have not managed to achieve a critical scale.
Very few scaled/ scalable MFIs exist.
13

14. Credit Assistant
Credit assistant are the base of the
spandana
As we know every big building has a base
and only the strong base can give beautiful
shape to any building.
same as in spandana credit assistant play
very vital role for the Business.
Because CA are, of those employee who are
close to customer.

15. UPPERLEVEL
(CEO,MD,VP AND ALL)
MIDDLE LEVEL
(MANAGER AND OTHER)
LOWER LEVEL
(CREDIT ASSISTANT)

16. Schedule of the credit assistant
Branch
Office
6.00 am to
6:30 am
Evening
Field 4.00 DAY OF Morning
Field
pm to 7.00
pm A CA 6:30 am to
11.00 am
Branch
Office 11.00
am to 2.00
pm

17. . Key activities performed by a CA
• CA Responsible for identifying villages, conducting village surveys, and introductory meetings (along
with the Branch Managers).
1. Responsible for formation of groups (members/borrowers) for the growth of the organisation
2. Responsible for imparting training to prospective borrowers.
3. Responsible for taking the loan application of the members. His recommendation would be the key
input for arriving at a loan decision.
4. To conduct centre meetings as per scheduled time and at a scheduled place.
5. Responsible for sincerely carrying out, all the responsibilities allocated to him/her by the Branch
Manager or Head Office from time to time.
6. Responsible for the cash collected and cash taken for disbursements in the centre meetings, till it is
properly handed over to the Cashier at the Branch office.
7. Responsible for the following documentation/System work at the branch
1. Filling up of centre registers, loan cards, Applications and LD vouchers
2. Entry of recovery, LD and preclosed loan details
3. Submission of cash as per collections with denomination slips, updating DCB, DFS
4. Entering centre wise R&P in SIMS-GL
5. Update operations register, Movement Register, TA Book on a daily basis
8. Responsible for the publicity of the organization at the village level. Credit assistants should spread
information about all the loan products of the Organisation to the people.
9. Responsible for training new staff who get allocated to him/her, as a part of the training program.

18. • Delinquency Management: In case of delinquency /
default, CA has to manage the situation diplomatically
without hurting the feelings of borrowers. He should
motivate other group members to help the delinquent
client as promised at the time of loan disbursement.
CA should inform the BM well in time and seek his
support as required. CA should not become impatient
and shout at the borrowers. He should not leave the
slum / village without recovery. CA as demanded by the
situation, should wait until the group collectively
manage to repay the installment. If the CA knows that
a loan would fall delinquent, he should go and meet
the client one day before the centre meeting and
motivate her to repay loan on time. If the delinquent
borrower has some genuine reason to delay / default
the repayment, CA should discuss with the BM and well
in advance and give her the required support.

19. Dataflow from client level transaction
to monthly reports.
• Filling up of centre registers
• Submission of cash as per collections with
denomination slips, updating DCB, DFS
• Cash book (day to day)
• Operation register – progress
l/d, complete loan, recovery, total old loan, ALR
closing
by BM n check by RM
• General ledger = outstanding, recovery

20. Who fills what?
• Movement = every employee
• Centre Register = CA
• DCB = ca (check by BM)
• DFS = CA (check by BM)
• cashbook = CA or BM
• Operation register = CA or BM
• Acquaintance register (salary detail stamp) by Bm
• Application form = CA (approve by BM)
• Attendance register = by BM
• Auditing remarks register = auditor
• BM activity plan = by BM
• CASH FLOW STATEMENTS (DCB & DFS)
• Cash receipt and payment register=CA OR BM
• Operation register = CA or BM

21. • Members dropout details register = CA or BM
• General ledger (chashier)
• Ca plan (every CA)

22. Points of check /verification
• BM/RM should checks each and every
ALR adjust
DFS
centre visit check
cash check
DCB
ALR adjust register check why happen
movement
members attendance

24. THANK YOU