CICIL Expands to Close Loop Financing, Develops PayLater Products for Warung Pintar Partners

Platform LITTLE expand business to financing closed loops for MSME productive loans. Warung Pintar became the company's first partner, both with each other, in developing the financing product.

According to CICIL Co-Founder & CEO Edward Widjonarko, this diversification strategy is part of the company's innovation in developing its services. Even so, education financing is still the main focus of the company since it was first established in 2016.

"This step also opens an opportunity for us to be able to diversify our market segments and services to encourage inclusive and responsible productive financing," Edward explained to DailySocial.

In a series of education financing products, he continued, CICIL has four financing products, namely tuition fees (CICIL Tuition), college supplies (CICIL Barang), course financing and certification (CICIL Learning), in collaboration with various platform services. EdTech.

"Besides financing for students, we have also developed financing for institutions (CICIL Institutions), especially for financing for universities, schools, and course institutions in meeting the cost needs of developing digitalization of campus infrastructure."

Next, it launched a non-financing feature, namely CICIL Jobs which aims to help students using CICIL to get side jobs that can make it easier to pay off their education installments independently. Furthermore, CICIL Learns to provide a wide selection of course, training, and certification vouchers.

Currently, CICIL has distributed more than 85 thousand education funding for students spread across 260 universities in 57 cities by maintaining TKB90 at 97,8%. With a combination of all products, he targets throughout this year to achieve financing distribution of up to Rp300 billion by the end of 2021.

Smart Bonus Products

Together with Warung Pintar, CICIL develops Smart Bonus, a payment method solution that makes it easy for shop owners to buy goods now and payments are made when they are due (buy now pay later) on e-commerce platforms.

By utilizing transaction history data and application usage, Warung Pintar facilitates its users to increase stock without having to seek additional capital from outside the application ecosystem.

The mechanism is fairly simple, just through the Warung Pintar application, starting from submission, verification, to the use of the funds. After passing verification, the shop owner can immediately meet the stock needs and pay the bill 14 days later.

The shop's business operations are claimed to be more efficient because the Warung Pintar application is more functional, has all the needs of a stall business, from fulfilling stock of goods, tracking products, monitoring stall performance, to access to capital.

Warung Pintar Group CEO Agung Bezharie said, Warung Pintar as a platform tries to see the needs from the standpoint of the stall entrepreneur, who in challenging times like now, getting additional capital to increase stock or widen stock options is a pain-point faced by almost all Warung Pintar partners. .

“CICIL has the same vision to be able to provide loan products for MSMEs. [..] Within a few weeks of being launched, thousands of shop owners have been helped by Bon Pintar's services. We continue to bring the spirit of mutual cooperation to continue to grow this service so that it can rise with the half million shop owners on our platform," Agung said in an official statement.

He explained, each stall gets a different capital capacity according to the shopping history data and activities carried out in the Warung Pintar application. After obtaining permission from the shop owner, transaction data is used as a credit score that was developed together with CICIL. Thanks to this, Warung Pintar can minimize the risk of late payments.

Warung Pintar targets 150 thousand active skipper (as the shop owner at Warung Pintar) can use the Bon Pintar service. In the future, Warung Pintar will continue to strengthen its strategic partnership with more parties to continue to grow to provide financial solutions that can reach shop owners more broadly.

Edward said the same thing. He hopes that Bon Pintar can be a start for CICIL to expand its services closed loopsfinancing similar to other companies that want to develop productive financing services for partners in their ecosystem.

"Especially in collaborating with Warung Pintar, we hope that CICIL can continue to collaborate closely with Warung Pintar to provide more comprehensive financing service innovations for stall partners, not limited to Bon Pintar financing," concluded Edward.