Protium’s Loan Against Property Fuels Saravanan Power Looms’ Growth and Expansion
Overview
- Company name: Saravanan Power Looms
- Business owner names: Saravan Govindhan
- Location: Elampillai, Salem, Tamil Nadu
- Industry: Textile Industry
- Initial investment by the owner: 30 lacs
- Current turnover: Between 15 to 20 lacs monthly
- Protium customer since: 2021
Background
Elampillai is a small village situated in the district of Salem in India, renowned for its exquisite handloom products crafted from silk, cotton, polyester, and silkhon. Elampillai silk sarees hold a significant place of honor, being chosen to adorn deities during poojas.
Business History and Expansion:
With 2 handlooms Mr. Raja Govindhan, ventured into the the loom business 24 years ago. His son, Mr Saravanan Govindhan, took over the business 14 years ago after completing his high school. With the help of his mother, he learned the art of weaving and made it into a full-fledged business, expanding its operations from a modest 2 handlooms set-up to a thriving enterprise with 38 Power looms. The business operates with a mixed model, producing both owned and assigned which are sold to vendors in and around Salem district. That led to a strong and successfully established ‘Mathan Textiles, his own textile shop, in May 2022. This was possible due to financial assistance procured from Protium which helped him expand his production capacity.
A surge in supply and demand led the customer to invest in additional power looms to meet the growing market needs. In March 2023 Protium’s swift top-up loan provided the crucial financial support for this expansion.
| Challenges | Solutions |
| Less hand looms and more demand | Protium’s Loan Against Property of 85 lacs in 2021 fueled the growth of Saravanan Power Loom from 2 Handlooms to 21 Power looms along with his own textile shop. |
| Demand in pure Silk Saree | With a quick Top-up loan of 1.3 crores in 2023 the customer was able to procure 17 more Power looms which helped him to create pure silk sarees and supply more. |
Results
- With a team of 23 weavers, he produced sarees made of Kota, Cotton, Polyester, and Pure Silk.
- Mathan Textiles has seen a major boost in sales, going from 500 to 4000 sarees per month.
- Mr. Saravanan has transformed his business, achieving a current annual turnover of 2.4 crores, demonstrating the potential for growth within the textile industry.
Quote from the Founder
“Protium has been instrumental in my business growth. Their loan application and disbursement process was incredibly smooth. I didn’t even have to step foot in a branch! They conveniently picked up and facilitated the signing of all necessary documents at my location. The interest rate and loan amount perfectly aligned with my business needs.”