Hero FinCorp

What Hero FinCorp does

Hero FinCorp is an Indian non-banking financial company (NBFC) and a subsidiary of Hero MotoCorp, controlled by the Munjal family, headquartered in New Delhi. The company provides a diversified retail and corporate lending portfolio including two-wheeler loans, personal loans (Rs 50,000-5 lakh, starting 18% p.a.), unsecured business loans for MSMEs, used and new car loans, and loan against property, alongside insurance distribution and home loans through its associate Hero Housing Finance. It serves over 13 million customers across 2,000+ Indian cities spanning 96% of PIN codes, with 1,001-5,000 employees and a distribution network of 6,461 dealers for two-wheeler financing.

The technology stack centers on two AI-driven layers: Project Dhruv Tara, an in-house AI-led lending platform launched in March 2026 for credit decisioning and portfolio risk management, and a Salesforce Agentforce deployment covering 92% of two-wheeler loan applications with measured outcomes of 72% faster turnaround and 77% reduction in document errors. Generative AI enables vernacular-language customer interactions, and digital KYC via Aadhaar and PAN is fully paperless. The company has expanded into embedded EV financing through OEM partnerships with MG Motor and Kinetic Watts & Volts, and in 2025 launched its own UPI payments app powered by NPCI infrastructure.

The business model combines interest income from lending (the dominant revenue stream, given FY March 2026 quarterly sales of Rs 2,329.70 crore implying an annualized run rate near Rs 9,300 crore), transaction and float revenue from the UPI app, and commission income from insurance distribution. Go-to-market mixes self-serve digital channels (mobile apps, website) for personal loans, a 6,461-dealer channel for two-wheeler loans, OEM-embedded financing for EVs, and a corporate relationship-management team for construction finance, supply chain finance, and structured lending. Apollo Global Management invested $125 million in a $267 million round in February 2022, and the company has SEBI approval for an Rs 3,600-3,700 crore IPO targeting a September 2026 launch. The latest fiscal year showed a swing to a Rs 226.77 crore net loss from a Rs 109.49 crore profit the prior year, alongside a 6.89% YoY quarterly revenue decline, reflecting portfolio seasoning and investment-phase margin pressure.

Name

Hero FinCorp

Legal name

Hero Fincorp Limited

Website

https://herofincorp.com

Company type

Private

Founded year

2011

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

Hero FinCorp is an Indian NBFC and Hero MotoCorp subsidiary providing two-wheeler loans, personal loans, MSME financing, and loan against property to over 13 million customers across 2,000+ Indian cities through digital channels and a 6,461-dealer network.

Ownership category

akta.pro rank

Product category

Non-Banking Financial Services (Consumer & MSME Lending)

NAICS

Sales Financing (52222), Sales Financing (522220)

SIC

Personal Credit Institutions (6141), Miscellaneous Business Credit Institution (6159), Finance Services (6199)

akta.pro primary industry

Bank & Credit Union Personal Loans (Unsecured Installment) (FSAKAAAL)

akta.pro secondary industry

Microloans & Working Capital Loans (FSAKAGAA)

Keywords

• Consumer lending
• Two-wheeler financing
• MSME business loans
• Loan against property
• Digital NBFC

Headquarters

HQ city

New Delhi

HQ country

India

HQ region

Asia

Offices1 record

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Operations, Personnel, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Retail Lending - Personal Loans: Unsecured personal loans ranging from Rs 50,000 to Rs 5 Lakh with tenures of 12-36 months, generating interest income at rates starting from 18% p.a.
2. Retail Lending - Two-Wheeler Loans: Financing for new and used two-wheelers through dealer partnerships and direct applications
3. Retail Lending - Auto Loans: New car loans, used car loans, and loan against property for retail customers
4. Business/MSME Loans: Unsecured business loans and working capital facilities for SMEs and business owners
5. UPI Payment Services: UPI-based payment services generating transaction fee income and float revenue
6. Corporate Lending: Construction finance, loan against property, corporate loans, structured finance, and supply chain finance/bill discounting for corporate clients
7. Insurance Distribution: Distribution of bike insurance, car insurance, and other insurance products earning commission income

Pricing tiers

Go-to-market motion3 records

Distribution channels6 records

Marketing channels7 records

Core offering

Hero FinCorp is an RBI-registered Indian NBFC that originates and services secured and unsecured loans for retail consumers, MSMEs, and corporate clients. Its core portfolio includes two-wheeler loans, personal loans, used and new car loans, unsecured business loans, and loan against property, with home loans distributed via associate Hero Housing Finance. Lending is delivered through a fully digital, paperless origination platform supported by a 6,461-dealer distribution network and AI-led credit decisioning.

Product overview

Hero FinCorp is a diversified Indian Non-Banking Financial Company (NBFC) registered with the RBI, offering a portfolio of lending products and digital financial services. The core product portfolio centers on secured and unsecured lending: Two Wheeler Loans (the largest volume product, processed via Salesforce Agentforce AI automation), Personal Loans (up to Rs 5 Lakh, fully digital, paperless, approved in 10 minutes), Unsecured Business Loans for MSMEs, Used Car Loans, New Car Loans, Loan Against Property, and Home Loans through associate brand Hero Housing Finance. These are complemented by Insurance Distribution (bike and car insurance) and a UPI Payments product (Hero FinCorp UPI app). The company operates digital-first through three mobile platforms: the Hero Instant Personal Loans (HIPL) App for loan origination, the Customer App for servicing and UPI payments, and the Partner App for the dealer network. AI capabilities are delivered through its proprietary Project Dhruv Tara lending platform and a Salesforce Agentforce-powered loan processing system that covers pre-sanctioning through disbursement across 6,400+ dealers. The company serves over 13 million customers across 2,000+ cities in India.

Differentiator

Problem solved

Functional benefit

Products and services

• Personal Loan Unsecured personal loans ranging from Rs 50,000 to Rs 5 Lakh for individual retail borrowers, offered at interest rates starting from 18% p.a. (~1.50% per month) with tenures of 12 to 36 months; fully digital, paperless application with approval in as little as 10 minutes.
• Unsecured Business Loan Unsecured business loans for MSMEs and self-employed professionals for business expansion and working capital needs, without requiring collateral. Documentation requirements vary based on loan amount and business vintage.
• Two-Wheeler Loan Loans for purchasing new and used two-wheelers, processed through 6,461 dealer locations with AI-powered Agentforce automation achieving 72% faster turnaround; largest product segment by volume.
• Used Car Loan Loans for purchasing pre-owned or used cars offered with competitive interest rates and flexible repayment options through a fully digital application process.
• New Car Loan Loans for purchasing new cars provided through Hero FinCorp's association with automotive dealers, leveraging the Hero Group's distribution network.
• Loan Against Property Secured loans against residential or commercial property offering borrowers access to larger loan amounts based on property valuation with competitive interest rates.
• Loyalty Personal Loan Pre-approved personal loans for existing Hero FinCorp customers with a clean repayment history, offering faster access to credit based on the established customer relationship.
• Home Loan (via Hero Housing Finance) Affordable housing loans offered through Hero FinCorp's associate company, Hero Housing Finance, targeting customers seeking long-term home financing.
• Insurance Distribution Distribution of insurance products including bike insurance and car insurance, providing customers with bundled protection products alongside loan offerings and earning commission income.
• Hero FinCorp UPI Payments Digital UPI payment app enabling instant money transfers 24x7, QR code and contact-based payments, UPI Circle delegation, and UPI Autopay for EMI repayments; backed by NPCI and RBI infrastructure with multi-factor authentication and real-time fraud detection.
• Corporate Lending (Construction Finance, Supply Chain Finance, Structured Finance) Construction finance, loan against property, corporate loans, structured finance, and supply chain finance/bill discounting for corporate clients, served by dedicated relationship managers.

Quantifiable outcome

• 72% improvement in loan turnaround time for two-wheeler loans using Salesforce Agentforce
• +3 more outcomes

Named customers7 records

Segments6 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration5 records

AI capability8 records

Feature5 records

Partnerships

Four partnerships are on record, tiered core, strategic and minor.

• SalesforcecoreTechnology or IntegrationSalesforce collaboration with Hero FinCorp to deploy Agentforce AI technology for loan processing automation. The partnership achieved measurable results including 72% improvement in loan turnaround time for two-wheeler loans, with 92% of applications processed through Agentforce-enabled workflows and 77% reduction in Not In Good Order cases. The solution currently supports 6,461 dealers across India.
• MG Motor IndiastrategicOEM/ Whitelabel/ Licensing PartnerMG Motor's Battery-as-a-Service program allows customers to purchase EVs without the battery and pay per-kilometer rental charges through financing partners including Hero FinCorp. Available across MG Windsor EV, Comet EV, and ZS EV models with upfront prices ranging from Rs 4.99 lakh to Rs 13.99 lakh.
• Kinetic Watts & VoltsstrategicOEM/ Whitelabel/ Licensing PartnerPune-based Kinetic Watts & Volts partnered with Hero FinCorp along with Bajaj Finserv and fintech CleverPe to create a retail finance network for Kinetic DX and DX+ electric scooters. The partnership offers EMI-based loans and digital payment solutions at authorized EV dealerships across India.
• Hero Housing FinanceminorStrategic or Co-development PartnerHero Housing Finance is an associate company of Hero FinCorp offering affordable housing loans. Hero FinCorp redirects home loan customers to Hero Housing Finance's platform for housing finance solutions.

Scale indicators10 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• Bajaj Finance: India's largest diversified NBFC with overlapping consumer lending (personal loans, EMI cards), two-wheeler and auto financing, MSME loans, and digital lending via Bajaj Finserv app — the closest direct competitor to Hero FinCorp across both retail and MSME segments.
• Shriram Finance: Major Indian NBFC focused on two-wheeler financing, MSME loans, and used commercial vehicles — directly comparable to Hero FinCorp's two-wheeler and small business lending franchises with similar semi-urban/rural customer base.
• Cholamandalam Investment and Finance: Leading Indian NBFC under the Murugappa Group with a vehicle finance-heavy book (two-wheelers, used cars, tractors) plus MSME and home loans — comparable to Hero FinCorp in auto-asset distribution and dealer-led lending.
• Mahindra Finance: Mahindra Group NBFC specializing in auto/equipment/two-wheeler financing, MSME loans, and rural lending — analogous OEM-anchored dealer-financing model and similar customer demographics to Hero FinCorp's two-wheeler book.
• Sundaram Finance: TVS Group-affiliated NBFC with strong two-wheeler, car, and commercial vehicle financing plus MSME and home loans — overlapping product mix and OEM-driven dealer distribution model similar to Hero FinCorp.
• IIFL Finance: Diversified Indian NBFC offering gold loans, MSME, personal, and home loans with a digital-led distribution approach — comparable to Hero FinCorp in the diversified NBFC + digital lending overlap.
• Muthoot Finance: Largest Indian gold-loan NBFC that has diversified into MSME, personal, and vehicle loans — comparable diversified-NBFC peer with similar branch-led and now digital-led distribution focus.
• HDB Financial Services: HDFC Bank-promoted NBFC offering personal loans, two-wheeler/auto financing, MSME loans, and enterprise lending — a comparable diversified NBFC peer with a strong distribution franchise and similar product breadth to Hero FinCorp.
• Manappuram Finance: Indian NBFC with gold loans as the anchor product, expanded into MSME, personal, and vehicle loans plus a digital lending app — analogous diversified NBFC with comparable customer segment targeting.

Emerging players

• PaySense / LazyPay (PayU India lending): Digital-first consumer lending fintech offering personal loans and credit lines to salaried and self-employed segments — overlaps with Hero FinCorp's digital personal loan offering and 'Aspiring India' target customer.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/hero-fincorp-ltd
• Xx.com/herofincorpltd
• Facebookfacebook.com/herofincorpofficial

Compliance4 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Subsidiaries1 record

Funding overview

Funding rounds2 records

Investors4 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments1 record

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Hero FinCorp