Question 1: What is the overview of the company?

Dar Credit & Capital Ltd. (DCCL) is a Non-Banking Financial Company (NBFC) established in 1994, with its registered office in Kolkata, West Bengal, and a regional office in Jaipur, Rajasthan. The company is promoted by Mr. Ramesh Kumar Vijay, a seasoned professional with extensive experience in the financial sector.

Business Model Overview

DCCL operates with a mission to provide efficient financial services to low-income customers in urban, semi-urban, and rural areas who lack access to formal financial institutions. The company’s product portfolio includes:

• Personal Loans: Targeted at self-employed and salaried individuals for purposes such as income generation, education, medical needs, and social requirements.
• Unsecured MSME Loans: Aimed at small business owners and economically challenged individuals to support business growth and improve quality of life.
• Secured MSME Loans: Designed for small business owners, backed by property as collateral, to meet seasonal requirements or support business expansion.

The company emphasizes personalized service, low interest rates, easy installment options, and complete transparency with borrowers.

Expansion Strategy

DCCL has established a presence in six states across India, operating through 208 branches and camps, and serving over 27,000 customers with a workforce of 223 employees. The company focuses on expanding its reach to underserved regions, particularly in West Bengal, Rajasthan, Bihar, Jharkhand, Madhya Pradesh, and Gujarat.

The expansion strategy involves:

• Geographic Expansion: Establishing a presence in untapped markets by opening new branches and camps in different cities and states.
• Product Diversification: Introducing new financial products and services to complement existing offerings, thereby diversifying revenue streams and increasing market share.
• Technology Integration: Leveraging digital platforms to enhance service delivery, improve customer experience, and streamline operations.

DCCL’s approach to expansion is rooted in its commitment to social impact, aiming to empower individuals and small businesses by providing accessible financial solutions.

Business Model:

Category wise Revenue Bifurcation:

Branch Network: The Company has 24,608 active customers, who are served by their 27 branches and Camps across 64 districts in 6 state in India, as of December 31,2024 Further, they also serve around 0.01 Lakhs customers under the managed portfolio.

Loan Portfolio:

Lenders Base: As of December 31,2024, the company’s lender base included a diversified mix of financial institutions, comprising of 6 banks and 21 NBFC, among other.

Question 2: Who are the promoters of the company?

Promoters and Their Roles

1. Mr. Ramesh Kumar Vijay – Chairman, Whole-Time Director, and Promoter

• Qualifications: Bachelor’s Degree in Commerce, Chartered Accountant (FCA), and Company Secretary.
• Experience: Over 39 years in personal loans, unsecured and secured MSME loans.
• Responsibilities: Oversees MSME loan operations, fund mobilization, expansion, corporate planning, budgeting, and performance review.

2. Mr. Rajkumar Vijay – Whole-Time Director and Promoter

• Qualifications: Bachelor’s Degree in Commerce and MBA.
• Experience: Over 30 years in the personal loan portfolio and NBFC sector.
• Responsibilities: Manages the personal loan portfolio operations.

3. Mrs. Rakshita Vijay – Promoter

• Role: Listed as a promoter of the company.

Key Management Personnel

1. Mr. Jayanta Banik – Chief Executive Officer (CEO)

• Qualifications: B.Sc., Chartered Accountant.
• Experience: Over 6 years in internal audit, financial planning, and strategy.
• Responsibilities: Responsible for lending and resource mobilization.

2. Mr. Saket Saraf – Chief Financial Officer (CFO)

• Qualifications: Bachelor’s in Business Administration, Company Secretary.
• Experience: Over 2 years in accounts and finance.
• Responsibilities: Manages the accounts and finance department.

3. Ms. Priya Kumari – Company Secretary and Compliance Officer

• Qualifications: Bachelor’s in Commerce, Master’s Degree, Company Secretary.
• Experience: Over 2.6 years in legal, financial, and secretarial departments.
• Responsibilities: Oversees secretarial, legal, and compliance functions.

Board of Directors

• Mr. Umesh Khemka – Non-Executive Director
  • Qualifications: Bachelor’s in Commerce, Chartered Accountant, Company Secretary.
  • Experience: Over 14 years in taxation, trading, and investment industry.
• Mr. Saswata Chaudhuri – Independent Director
  • Qualifications: Bachelor’s in Chemistry Honours.
  • Experience: Over 35 years with SBI Bank, including as Chief General Manager.
• Ms. Neha Baid – Independent Director
  • Qualifications: Bachelor’s in Commerce, Company Secretary.
  • Experience: Over 15 years in corporate law, FEMA & FDI regulations, and NBFC matters

Question 3: How company performed in the past?

Figures for FY 2021-22 are considered on a consolidated basis, as the company had a wholly-owned subsidiary. “Dar Credit Microfinance Private Limited,” which was subsequently struck off in FY2022-23

Question 4: How much money is the company raising and why

In the IPO, the company is offering 42.76 Lakh shares, priced at INR 57-60 per share, aggregating to total of INR 25.66 Cr, with a lot size of 2000 shares. For the purpose of:

Augment the capital base of the company – INR 22 Cr

General Corporate Purpose – INR 3.6 Cr

Question 5: Valuation of the company and comparison with other companies

Question 6: Summary of Ongoing Litigations

✅ Strengths of Dar Credit and Capital Ltd.

1. Experienced Promoters and Management

• Promoted by seasoned professionals like Ramesh Kumar Vijay (39+ years experience) and Rajkumar Vijay (30+ years).
• Strong leadership in finance and NBFC operations enhances strategic decision-making and risk control.

2. Focus on Underserved Markets

• Operates in semi-urban and rural areas across six Indian states.
• Offers tailored financial solutions to MSMEs and low-income individuals with limited access to formal credit.

3. Diversified Loan Portfolio

• Offers both secured and unsecured MSME loans as well as personal loans.
• Diversification helps mitigate risk across customer segments.

4. Wide Network and Growing Reach

• Operates through 208 branches and camps.
• Presence in multiple states like Rajasthan, Bihar, West Bengal, Gujarat, Jharkhand, and Madhya Pradesh.

5. Customer-Centric Approach

• Emphasizes transparency, low interest rates, easy installment plans, and personalized service.
• Builds trust and loyalty among underserved borrowers.

❌ Weaknesses of Dar Credit and Capital Ltd.

1. High Dependence on Promoters

• Strategic and operational control is concentrated in a few key individuals.
• Succession planning and professionalization may be limited.

2. Geographically Concentrated

• Though present in six states, operations are still regionally clustered.
• Lack of pan-India presence limits national brand recognition and scalability.

3. Exposure to Credit Risk

• Lending to low-income and MSME sectors involves higher credit default risk.
• Economic disruptions (e.g., monsoons, inflation, political unrest) can impact borrowers’ repayment capacity.

4. Limited Technological Differentiation

• While the company is expanding, no significant mention of digital lending platforms or fintech integration.
• May face competition from tech-savvy NBFCs and fintech startups offering faster, app-based services.

5. Small Market Share

• Compared to larger NBFCs and banks, DCCL is relatively small in terms of loan book and customer base.
• Scaling up against big players requires robust capital, systems, and digital reach.

🏢 Company Contact Details

Registered Office:
Business Tower, 206 A.J.C. Bose Road, 6th Floor, Unit No. 6B, Kolkata, West Bengal – 700017
📞 Phone: +91-33-40646495 / 22873355
📧 Email: info@darcredit.com
🌐 Website: www.darcredit.com

Regional Office (Jaipur):
210–213, Shri Gopal Tower, Ashok Marg, C-Scheme, Jaipur, Rajasthan – 302001
📞 Phone: +91-141-2366778 / 4033778
📱 Mobile: +91-86192-96633
📧 Email: rajkumarvijay@darcredit.com

Investor Grievance Contact:
Ms. Priya Kumari – Company Secretary & Compliance Officer
📞 Phone: +91-33-40646495
📧 Email: co.secretary@darcredit.com

📝 Registrar & Transfer Agent

KFin Technologies Limited
Tower B, Plot No. 31 & 32, Selenium Building, Financial District, Nanakramguda, Gachibowli, Hyderabad, Telangana – 500032
📞 Phone: 040-67162222 / 040-79611000
📧 Email: dccl.ipo@kfintech.com
🌐 Website: www.kfintech.com

📌 Dar Credit and Capital Ltd. – FAQs

1. What is Dar Credit and Capital Ltd.?

Dar Credit and Capital Ltd. (DCCL) is a Non-Banking Financial Company (NBFC) registered with the Reserve Bank of India. It focuses on providing financial services such as MSME loans and personal loans, particularly in underserved areas.

2. When was the company incorporated?

The company was originally incorporated on December 19, 1994, under the Companies Act, 1956.

3. What type of loans does the company offer?

DCCL offers:

• Secured MSME loans
• Unsecured MSME loans
• Personal loans
  These loans are designed to meet the needs of individuals, self-employed persons, and micro/small enterprises.

4. In which states does DCCL operate?

The company operates in:

• Rajasthan
• Bihar
• West Bengal
• Gujarat
• Jharkhand
• Madhya Pradesh

Operations are conducted through branches and camps, making credit accessible in semi-urban and rural regions.

5. Who are the promoters of the company?

The main promoters are:

• Mr. Ramesh Kumar Vijay – Chairman & Whole-Time Director
• Mr. Rajkumar Vijay – Whole-Time Director
• Mrs. Rakshita Vijay

6. What is the business model of DCCL?

DCCL’s model focuses on:

• Lending to underserved markets (MSMEs, low-income groups)
• Offering flexible loan products with transparent pricing
• Operating a hybrid branch-camp model to reduce cost and increase outreach
• Risk management through local assessment and personalized servicing

7. Is Dar Credit and Capital Ltd. listed on the stock exchange?

As of now, the company is in the process of launching its IPO and will be listed on the NSE SME platform post-IPO.

8. How can customers apply for a loan from DCCL?

Customers can visit any of the company’s branches or attend financial camps in their locality. Loan officers help in documentation, eligibility checks, and disbursal processes.

9. Where is the registered office of the company located?

Registered Office:
Business Tower, 206 A.J.C. Bose Road,
6th Floor, Unit No. 6B, Kolkata, West Bengal – 700017

10. Who is the Registrar & Transfer Agent (RTA) for DCCL?

KFin Technologies Ltd.
Tower B, Plot No. 31 & 32, Selenium, Financial District,
Nanakramguda, Hyderabad – 500032
Website: www.kfintech.com