SBFC Finance Ltd. is a direct play on 'increasing formalisation of micro, small and medium enterprise financing' and is targeting formal MSME customers. Its strong focus on collection and score-card based underwriting could help keep credit cost low. This report is authored by an external party and does not constitute investment advice. Users have no license to copy, modify, or distribute the content without permission of the Original Owner. To be precise, SBFC Finance Ltd. is a direct play on ‘increasing formalisation of micro, small and medium enterprise financing,’ with its most diversified distribution network (presence in more than 15 states with no single state contributing more than 20% of assets under management), targeting formal MSME customers (income tax return is mandatory for all borrowers), in-house operations divided into six independent verticals, and highly experienced management team having the potential to drive more than 25% AUM growth in the near term.