Arohan Financial Services Limited | Annual Report 2021-22

DIVERSIFIED PRODUCT LINE All of Arohan’s products are designed to best cater to the needs of its target customers. This plays a key role in enhancing customer experience and increasing the tenure of customer lifecycle with Arohan. The Company has transformed its existing product range with strengthening the existing product dynamics, readying it for scale it with the help of digitalisation. All products introduced in the recent years have grown stronger, creating immense value towards customer experience and their overall life cycle. Core loan products Saral Suite of Products: Arohan’s flagship product, ‘Saral’, which caters to women who are residing in low-income areas generally involved in trade and services, continues to hold a dominant share in the organization’s portfolio. Arohan predominantly provides loan to groups consisting of three to five women, using the Joint Liability Group (JLG) model. The product is for economically active women residing in low-income areas, generally involved in trade and services. Additionally, ifacustomerhasrepaidaminimum of 10 EMIs under her existing loan and she has a good attendance record at centre meetings, the customer becomes eligible for ‘Saral Plus’ or ‘Saral Plus Plus’, which provides access to larger loan amounts for a longer tenure under a Joint Liability Centre (JLC), which consists of all the women in that customer’s centre, the number of whom range typically between 25 and 30 women. These product services loan sizes from INR 55,000 to INR 75,000. Arohan also provides ‘Saral Prime’ Loans to repeat customerswithgood repayment records and whose credit requirements are higher, with the objective of retaining these customers. Overall, the Saral loan amounts range from INR 10,000 to INR 75,000 (including Saral, Saral Plus Plus and Saral Prime loans) and typically has a term of 12 to 24 months. Bazaar: Arohan’s ‘Bazaar’ product is a Group loan product offered to address the working capital needs of small businesses operating out of authorisedmarket places or clusters of shops organised under local Traders’ Associations. Bazaar loan borrowers are predominantly men involved in small trading andmicro-enterprises. The Bazaar loan amounts generally range from INR 15,000 to INR 50,000 and have a term of 12 to 24 months. Secondary Loan Products WhileArohan intends tocontinue to focuson its core business of providing microfinance, it also plans to continue to diversify its businessmodel with the strengthening of its product loans. In addition to offering the above-mentioned Core Loan products, Arohan caters to its customers’ requirements for both financial products such life and non-life insurance, as well as, non- financial products such as utility products including solar lamps, agricultural supplies, consumerdurables, kitchenappliances, bicycles and other household items in association with various third party vendors and partners. Cross selling at Arohan is facilitated through an in-house technology platform called “ApnaBazaar”, on which various products are madeavailabletothecompany’sfieldemployees on mobile or tablet devices, for them to in turn make it available to the customers. This plays a key role in increasing customers’ access to a range of financial inclusion products that helps the overall credit relationship with Arohan. Financial Safety Net Products: In order to ensure a financial safety net for its customers, 54 Annual Report | 2021-2022