Professional Documents
Culture Documents
Yogesh Hs Report
Yogesh Hs Report
Yogesh Hs Report
By
Yogesh H S
USN: 1CD21BA110
Submitted to:
INTERNAL GUIDE
Prof. Sanjana
Dept. of Management Studies
Cambridge Institute of Technology
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CAMBRIDGE INSTITUTE OF TECHNOLOGY
DEPARTMENT OF MANAGEMENT STUDIES K R
PURAM, BANGALORE -560036
Date:
CERTIFICATE
This is to certify that Mr. Yogesh H S bearing USN: 1CD21BA110, is a bonafide student
Of Master of Business Administration course of the Institute 2021-2023, affiliated to
Visvesvaraya Technological University, Belgaum. Internship Study on “An Organizational
Study of BharatPe” is prepared by him under the guidance of Prof.Sanjana, in partial
fulfilment of the requirements for the award of the degree of Master of Business
Administration of Visvesvaraya Technological University, Belgaum Karnataka.
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DECLARATION
I Mr. Yogesh H S , Cambridge Institute of Technology, hereby declare that the internship
has been carried out by me and submitted in partial fulfilment of the course requirements of
III semester Master of Business Administration as prescribed by Visvesvaraya Technological
University, Belagavi, during the academic year 2021-2023.
I also declare that, to the best of my knowledge and belief, the work reported here does not
form part of any other report on the basis of which a degree or award was conferred on an
earlier occasion on this by any other student.
Date: Yogesh H S
Place: Bangalore 1CD21BA110
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ACKNOWLEDGEMENT
The present work is a result of the help, guidance, encouragement and assistance of many
people.
In particular,
I would like to place on record my deep sense of gratitude to Shri D. K. Mohan, Chairman,
Cambridge Group of Institutions, Bangalore, India for providing excellent Infrastructure
and Academic Environment at CITECH without which this work would not have been
possible.
I thank my college principal Dr. G. Indumathi for providing all the facilities required to
complete this internship.
I would like to thank all the faculty members and non-teaching staff of Dept. of MBA, for
their constant support.
Yogesh H S
[1CD21BA110]
Dept. of MBA
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TABLE OF CONTENTS
7. Bibliography
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EXECUTIVE SUMMARY
This study is aimed at an overall exposure to the working of an organization and to relate
theoretical concepts. This study has been conducted by collecting relevant data from the
records of the company.
The report deals with the introduction to the industry profile and to the company profile.
Later part of the report is concerned with topics covering company profile. This report
mainly consists of the business and various products which are produced by the company
and it also includes the vision and mission of the company.
A separate focus has been given towards the study of the organization. The structure gives
the information about the owner, various functional departments, the training method
followed by company in updating knowledge of employees, duties and responsibilities,
the strategy used by the company, shared values to achieve its objectives have also been
included.
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ORGANISATION STUDY OF BHARATPE
CHAPTER-1
INTRODUCTION ABOUT
THE ORGANISATION AND
INDUSTRY
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ORGANISATION STUDY OF BHARATPE
CHAPTER 1
Introduction to Organization
BharatPe was the first company to launch interoperable zero MDR UPI QR,
intending to universalize digital payments in 2018. In just two years,
BharatPe has become the #1 offline acquirer for UPI QR transactions in the
country. The company has been processing 5 crore+ UPI transactions a
month with an annualized TPV of over US$ 7 bn).
Today, BharatPe is a full-stack service app for merchants across small and
medium businesses, offering loans, investments, insurance and other
financial services. At present, it has an extensive network of over 5 million
merchants across the country across 35 cities in the country. The company
has plans to expand its presence to 65 cities by the end of December 2020.
Apart from enabling UPI payment acceptance from over 150+ apps, the
company is the first to partner with a P2P NBFC to offer an investment
product. BharatPe offers a unique P2P Lending product, wherein BharatPe’s
merchants have the option to take 1M/3M/6M/12M loans starting from INR
25k and going up to INR 7 Lakhs at competitive rates and payback in the
form of EDIs (Easy Daily Installments).
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ORGANISATION STUDY OF BHARATPE
The company’s lending business has been scaling up well and it has already
facilitated disbursement of more than 40,000 loans (worth Rs. 500 crores+)
to its merchants since its rollout. It has set a target of disbursing loans to the
tune of Rs. 1000 crores by the end of the fiscal year.
The company has received several awards and accolades for the
commendable work it has done to enable the businesses of SMEs.
Recognizing BharatPe’s efforts to help digitise India at the grassroots level,
the Government of India and Ministry of Electronics and Information
Technology (MeiTY) awarded BharatPe for Innovation in Digital Payment at
its annual awards in August 2019. This year BharatPe also won a place in the
CB Insights List of the world’s most promising fintech companies and was
amongst top 20 Indian start-ups. Recently, BharatPe was declared as one of
the winners at the National Startup Awards organized by the Government of
India. It was the only startup in the ‘finance’ category to be adjudged as a
winner.
The company has raised close to US$ 143 million over four rounds of
funding from seasoned and top-quality investors from across the world.
BharatPe’s list of marquee investors includes Beenext, Sequoia, SteadView
Capital, Ribbit Capital, Coatue Management LLC, Insight Partners, amongst
others.
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ORGANISATION STUDY OF BHARATPE
Introduction to Industry:
Fintech Industry
The Fintech segment in India has seen an exponential rise in funding over the
last few years; the sector received funding worth ~$9.8 Bn in 2021, led by the
Payments segment (53% share of fintech funding across all fintech verticals in
India.) Equity funding into Indian FinTechs has grown at a CAGR 26% over last
4 years, but more rapidly so from 2020 onwards, fuelled by the post-pandemic
impact of high growth via increased digital services adoption. The Indian Fintech
growth story continues to hold strong, with ~150 deals/quarter
While Payments and Alternative Finance segments constituted more than 90% of
the sector’s investment flows in 2015, there has been a major shift towards a
more equitable distribution of investment across sectors since to include
InsurTechs, WealthTechs, etc.
India has 23 Fintechs which have gained ‘Unicorn Status’. 1/5 Startup Unicorns
are from Fintech
At its core, fintech is utilized to help companies, business owners, and consumers
manage their financial operations, processes, and lives better by utilizing
specialized software and algorithms that are used on computers and, increasingly,
smartphones. The term fintech is a combination of "financial technology"
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ORGANISATION STUDY OF BHARATPE
CHAPTER-2
Company Profile
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ORGANISATION STUDY OF BHARATPE
Background
Team members:
Shashvat Nakrani
Co-Founder
Suhail Sameer
Chief Executive Officer
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ORGANISATION STUDY OF BHARATPE
Nishant Jain
Chief Business Officer
Ankur Jain
Chief Product Officer
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ORGANISATION STUDY OF BHARATPE
Sumeet Singh
General Counsel & Head - Corporate Affairs and Corporate Strategy
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ORGANISATION STUDY OF BHARATPE
Amit Jain
Chief Risk Officer
Parth Joshi
Chief Marketing Officer
Nehul Malhotra
Head - Consumer Lending
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ORGANISATION STUDY OF BHARATPE
Rajat Jain
Chief Product Officer - Lending and Consumer Products
Business nature
BharatPe announced its future plans of scaling up its POS business via a PR
dated July 15, 2021. BharatPe, which now stands 3rd when it comes to private
POS solutions, plans to expand its POS business, BharatSwipe by 3x. Eyeing
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ORGANISATION STUDY OF BHARATPE
Privacy Policy
“BharatPe” is the trademark of Resilient Innovations Private Limited, a company
incorporated under the provisions of the Companies Act, 2013, having its
registered office at 3rd Floor Ramnath House Building, 18 Community Centre,
Yusuf Sarai New Delhi 110048, India (Company). The Company is engaged in
the business of, inter alia, providing aggregator services to Merchant(s)/ User(s)
by offering a single unified QR code to the Merchant(s)/User(s) for accepting
push payments through third party UPI apps / net-banking.
All users of the mobile application (Application)/ website (Website) are advised
to read and understand our Privacy Policy carefully, as by accessing the
Application you agree to be bound by the terms and conditions of the Privacy
Policy and consent to the collection, storage and use of information relating to
you as provided herein. By using the BharatPe mobile application, you expressly
consent to our use and disclosure of your personal information in accordance
with this Privacy Policy. This Privacy Policy is incorporated into and subject to
the Terms of Use.
Workflow model
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ORGANISATION STUDY OF BHARATPE
The QR can be scanned and then payments are accepted from all renowned
mobile apps such as PayTm, WhatsApp, Mobikwik, Amazon Pay,
BHIM, Google Pay, Freecharge and TrueCaller. Retailers also get immediate
credits for transactions made in their bank accounts on the same day
Product Profile
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ORGANISATION STUDY OF BHARATPE
Ownership Pattern
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ORGANISATION STUDY OF BHARATPE
Investor Sequoia Capital India is the largest shareholder in BharatPe with a 19.6
per cent stake, followed by Coatue at 12.4 per cent and Ribbit Capital at 11 per
cent.
• Last year, BharatPe had announced that it aims to scale its presence
to 300 cities by March 2023.
• Become a prime application for any online payments.
• Aims to achieve six billion dollars TPV for FY 2023
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ORGANISATION STUDY OF BHARATPE
CHAPTER-3
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ORGANISATION STUDY OF BHARATPE
Mc KINSEY’S 7s
FRAMEWORK & PORTER’S
FIVE FORCE MODEL
CHAPTER-3
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ORGANISATION STUDY OF BHARATPE
Mc KINSEY’S 7s FRAMEWORK
The model is based on the theory that, for an organization to perform well,
these seven elements need to be aligned and mutually reinforcing. So, the
model can be used to help identify what needs to be realigned to improve
performance, or to maintain performance during other types of change.
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ORGANISATION STUDY OF BHARATPE
interrelated, and so ensure that the wider impact of changes made in one area
is taken into consideration.
The 7S are;
• Structure
• Strategy
• Systems
• Skills
• Styles
• Staff
• Shared values
STRATEGY
BharatPe follows a unique marketing strategy that has helped the company reach
skyrocket. Before the establishment of the company, other UPI payment
platforms focused on consumers and customers. The consumer is the buyer
(generally a youth) and the customer is the QR Code which acts as a support
system. So the platform had to target two different entities and had to provide
cashback to two different entities. Whereas, for BharatPe its customers were its
consumers. Its consumer is the merchant. Thus the company decided to provide
cashback to the merchant himself.
The unique marketing strategy of the company led to two popular campaigns.
They were “Ek Bharat Ek QR” and “Team BharatPe”. BharatPe decided to select
only crickets for its brand ambassadors. The makers of the campaign “Team
BharatPe” realized that the cricket industry has a huge fan following. They have
plans to open up their payment bank for which RBI has already approved the
license.
SYSTEMS
The daily activities and procedures that staff use to get the job done.
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ORGANISATION STUDY OF BHARATPE
STRUCTURE
MANAGING DIRECTOR
WHOLE TIME DIRECTOR
EXECUTIVE DIRECTOR
SPECIAL DIRECTOR
GENERAL MANAGER
DEPUTY GENERAL MANAGER
ASST.GENERAL MANAGER
DIVISIONAL MANAGER
SENIOR MANAGER
MANAGER
DEPUTY MANAGER
ASST.MANAGER
SENIOR OFFICER
OFFICER
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ORGANISATION STUDY OF BHARATPE
STYLE
They are committed towards building a culture that brings everyone together,
nurtures creativity and encourages growth. They take ownership of their
own work. The leadership styles are of transferred in nature.
STAFF
Staff refers to the people in the enterprise and their socialization into the
organizational culture. They have almost 500 employees working under the roof
to serve continuous access to services to their customers.
SKILLS
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ORGANISATION STUDY OF BHARATPE
SHARED VALUES
To meet the needs and expectations of the customers and even delight them
through quality systematic services. By using the Website/App and/ or by
providing the customer information, they consent to the collection and use of the
information that are disclosed on the Website in accordance with their Policy,
including but not limited to customer consent for collecting, using, sharing and
disclosing your information as per this company policy.
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ORGANISATION STUDY OF BHARATPE
Suppliers
There are a lot of suppliers in this industry. Product is ordinary and has small
switching costs making it easier for firms to switch. There are no substitutes for
the product other than the ones provided from the suppliers which makes this a
main driver. In the fintech industry firms manage suppliers and customers just as
critical as each other. Key players buy raw materials from suppliers at low cost
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ORGANISATION STUDY OF BHARATPE
and if the cost does not suit firms will switch. Firms might have separate
suppliers depending on its location which will be efficient in the supply chain.
Substitute products
There are few high-quality substitutes but are more expensive in this industry.
Buyers are less likely to switch to substitute products because firms that produce
within the industry sell at a lower price than substitute products. Key players
provide quality in its products resulting in buyers to choose them. Competitors
differentiate products to ensure buyers see products as being unique and do not
move to substitutes that do not provide the unique benefits.
Buyers
Product differentiation in this industry is high meaning that buyers cannot find
alternative firms making a certain product. Income of buyers is low meaning
there is pressure to purchase at low prices resulting in the buyers being more
price sensitive. Buyers will not downgrade in this industry and go back on
technology once they know how to use it. Key competitors focus on innovation
and differentiation to attract more buyers. Product differentiation and quality are
important to buyers. Top firms also build a large consumer base and do so
through marketing aimed at constructing brand loyalty.
CHAPTER-4
SWOT ANALYSIS
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ORGANISATION STUDY OF BHARATPE
CHAPTER-4
SWOT ANALYSIS
Every SWOT analysis will include the following four categories. Though the
elements and discoveries within these categories will vary from company to
company, a SWOT analysis is not complete without each of these elements:
Strengths
Strengths describe what an organization excels at and what separates it from the
competition: a strong brand, loyal customer base, a strong balance sheet, unique
technology, and so on. For example, a hedge fund may have developed a
proprietary trading strategy that returns market-beating results. It must then
decide how to use those results to attract new investors.
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ORGANISATION STUDY OF BHARATPE
Weaknesses
Weaknesses stop an organization from performing at its optimum level. They are
areas where the business needs to improve to remain competitive: a weak brand,
higher-than-average turnover, high levels of debt, an inadequate supply chain, or
lack of capital.
Opportunities
Threats
Threats refer to factors that have the potential to harm an organization. For
example, a drought is a threat to a wheat-producing company, as it may destroy
or reduce the crop yield. Other common threats include things like rising costs
for materials, increasing competition, tight labor supply and so on.
Strengths of BharatPe:
• Sponsorship
• Big Investors
• Bucket of offers
• Ease of Payments
• User and Merchant base
• Investment and acquisition user friendly service application
Weaknesses of BharatPe:
• IT Infrastructure
• Customer service
• Fear of losing money
• TDR rates that are higher
• Services creating confusion
• Requires an internet connection
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ORGANISATION STUDY OF BHARATPE
Opportunities of BharatPe:
• Infrastructure
• Digital cryptocurrency
• From cash economy towards Digital economy
Threats of BharatPe:
• Competition
• Fraud and hackers
• Strong economic regulations and policies
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ORGANISATION STUDY OF BHARATPE
CHAPTER-5
ANALYSIS OF FINANCIAL
STATEMENTS
Financial statements
(INR in Crores)
2020-21 2019-20
Revenue from Operations 3,280.84 3,232.01
Other Income 348.01 347.66
TOTAL REVENUE 3,628.85 3,579.67
Less: Expenses
Employee Benefit Expense 1,119.30 856.22
Finance Cost 48.52 16.87
Depreciation and Amortization Expense 174.52 99.51
Other Expenses 4,883.97 6,757.54
TOTAL EXPENSES 6,226.31 7,730.14
Profit/Loss before share of result of associates and taxation from (2,597.46) (4,150.47)
continuing operations
Profit/Loss before exceptional items and tax from continuing (2,653.46) (4,135.86)
operations
Exceptional items (304.66) (82.52)
Profit/Loss before Tax from Continuing Operations (2,958.12) (4,218.38)
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ORGANISATION STUDY OF BHARATPE
Basic & Diluted EPS for continuing and discontinued operations (488.13) (743.12)
ASSETS IN CRORES
Non-current assets
Property, plant and equipment 3(a) 2 42.97 2
68.72
Right-of-use-assets 3(b) 2 52.84 -
Capital work in progress 1 1.73 5
0.58
Intangible assets 4 1 1.82 1
7.42
Intangible assets under development 0 .16 0
.22
Investment in subsidiaries 5 6 18.05 6
93.44
Investment in associates 6 2 15.54 1
74.10
Financial assets
Investments 7(b) 2 22.70 1
00.19
Loans 7(c) 1 55.23 1
04.39
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ORGANISATION STUDY OF BHARATPE
Current assets
Financial assets
Investments 7 (a) 3 ,155.51 2
,472.65
Trade receivables 8 3 27.50 2
42.21
Cash and cash equivalents 10(a) 2 85.60 2
35.22
Bank balances other than cash and cash equivalents 10(b)
- 6 .21
Loans 7(c) 6 9.33 3
03.63
Other financial assets 7(d) 1 ,112.84 1
,892.83
Other current assets 9 1 ,286.71 1
,384.83
Total Current Assets 1 0,507.02 8 ,683.13
6 ,237.49 6
,537.58
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ORGANISATION STUDY OF BHARATPE
TOTAL ASSETS
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ORGANISATION STUDY OF BHARATPE
Financial liabilities
2 ,095.57 2 ,647.10
1 0,507.02 8 ,683.13
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ORGANISATION STUDY OF BHARATPE
Financial technology firm BharatPe has seen its revenue and transaction volume
jump manifold in the financial year 2020-21, as the pandemic has forced people
and businesses adopt digital transactions and fund-starved small businesses
seeking more credit avenues like this start-up.
The company gives small-ticket fully unsecured loans averaging at Rs 75,000 to
it merchant members. It disbursed Rs 1,600 crore in 2020-21 to 1.8 lakh
merchant customers, which was only Rs 150 crore in 2019-20, BharatPe Group
President Suhail Sameer told PTI on Thursday.
This helped the start-up net a seven-times growth in revenue to over Rs 700
crore, up from around Rs 110 crore in 2019-20, Sameer said.
While the number of merchants jumped to 60 lakh in 2020-21 from 24 lakh in the
previous year, transaction volume rose over four times to 10 crore a month or 120
crore annually from 2.7 crore a month in FY20, he said.
"The financial year 2020-21 was a great year for us, as the pandemic turned out
to be a game changer for the payments and financial services industry," Sameer
said adding that this, along with the company's entry into the credit business,
helped it grow manifold.
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ORGANISATION STUDY OF BHARATPE
The lending business, which started right in the end of 2019, turned out to be the
biggest game changer for the company, Sameer said.
He added that the loan book has grown more than 10 times to Rs 1,600 crore in
small-ticket loans during 2020-21, up from Rs 150 crore in 2019-20.
It charges an interest rate of 1.5-2 per cent per month for a period one to six
months and a customer with good repayment history can get it even at 1.2 per
cent per month, he said.
He claimed that the company has one of the lowest bounce rates in the unsecured
credit industry at four per cent as against the industry average of over 20 per cent.
"We plan to focus more on lending going forward as this is our revenue earner.
We have set a target of disbursing over Rs 15,000 crore in FY22," Sameer said.
It is also planning to enter 300 cities this year from 100 now.
He said the company has set a target of more than doubling the number of
merchants to 1.2-1.3 crore this fiscal and take it to three crore next fiscal, on the
revenue rise.
BharatPe has so far raised USD 300 million in equity and debt from marquee
investors such as Coatue Management, Ribbit Capital, Insight Partners,
Steadview Capital, Beenext, Amplo, and Sequoia Capital.
Of the USD 240 million equity funding, it has used up only USD 60 million so
far, Sameer said, indicating that it does not need capital now.
Our monthly cash burn is only USD 2.6 million, spent primarily on merchant
acquisition, and this expense can easily be controlled, he said.
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ORGANISATION STUDY OF BHARATPE
CHAPTER-6
LEARNING EXPERIENCE
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ORGANISATION STUDY OF BHARATPE
CHAPTER-6
LEARNING EXPERIENCE
I learned how to introduce myself, talk about my interests, knowledge and skills with
entrepreneurs and business owners, as well as how to ask questions and gain a better
understanding of businesses not only in the co-working space, but also others in the market.
4. Enthusiasm is invaluable
I am really grateful to have had the opportunity to do an internship and have received so
much value from what I learned.
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BIBLIOGRAPHY
https://bharatpe.com/
https://finshiksha.com/understanding-companies-bharatpe/
https://www.moneycontrol.com/news/business/earnings/bharatpe-sees-jump-in-
revenues-in-fy21-losses-widen-8346061.html
https://in.linkedin.com/company/bharatpe
https://twitter.com/bharatpeindia?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ct
wgr%5Eauthor
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