How we would explain what we do to a 13-year-old
For over 5 years, we have been actively building Apollo. However, interview candidates, potential and current shareholders, and sometimes even my own mom, ask me, "What exactly do you do?"
The world of finance thinks it's so cool to be full of jargons that it ends up complicating the simplest of things.This is our attempt at explaining what Apollo does to a 13-year-old with the hope that more people will hopefully get what we do.
In one line we are a ‘Digital Lending company’. Though, to a 13-year-old today, the concept of anything being done without tech might seem alien. Even today people have to go to a bank branch to take a loan, but at Apollo, we help people borrow money digitally. On the same lines as buying those cool Jordans online rather than standing in a queue at the Nike store.
What problem is digital lending solving?
Get a loan at any time of the day- Pretty much like your mom’s kitchen, open 24*7 when you’re hungry
Even someone sitting in a far-off village can borrow money with no bank branch nearby- Similar to learning how to play the guitar from a teacher on Youtube
Digital footprint helps in getting to know whom to lend to and whom not to- it’s like when your friend shares her Spotify playlist with you and you feel like you know her better now
Now, not every company is allowed to lend. You need a license to lend which Apollo has (NBFC License) and RBI is our regulator. Think of RBI as our school Principal who has set out very clear rules that everyone with a license needs to follow.
At Apollo, we work with many technology companies that may or may not have a license to lend. These companies are already serving their customers using digital means. They know their customers way better than we know them. They could be in healthcare, education, e-commerce etc Since customers need money to use their services, these companies want to offer them digital loans and they take Apollo’s help to do so.
How does this work?
Now remember, since Apollo has the license to lend and also the expertise, the tech company shares its customer leads with Apollo. For the sake of an example let's assume Amazon is the company that wants to offer digital loans to its end customers. And Jay their customer (above 21 years) wants to buy a PlayStation 5 and is falling a little short of the budget. Since Amazon knows Jay well because he has shopped often, they know where they have delivered past orders and he has a good history as a customer they recommend Jay to take a loan from Apollo. Because Amazon has recommended Jay, it gives Apollo a lot more comfort than if Jay had directly approached Apollo. It’s like if a friend your parents trust is coming to a party, it's easier to get permission to go to that party. And Jay uses this loan to buy the PlayStation 5 digitally!
What value do we add to the tech company?
Capital to lend- So that they can use their own funds to focus on building their business
Compliance- Since we know the RBI rules well, we ensure the loan is compliant and at places even make sure the tech company is compliant. We are like that annoying elder sister who sometimes just refuses to mind her own business
Technology- All the interaction between us and them is via API’s which makes it way faster and scalable. Just like you, we also believe in- ’Who calls? Just message!’
So to sum it up, we technically can't say we are building the future because this all sounds fundamental, right? Borrowing money online! So yes, we are building the present :) And we need to step up, cause your generation will expect way more from the lending industry before you turn 21.