MAM
Zomato partners with InCred to extend credit facilities to restaurant partners
NEW DELHI: Adding a fillip to India’s burgeoning food tech industry, Zomato has recently entered a strategic partnership with InCred, one of the leading fintech lenders in India. As part of the tie-up, InCred will extend hassle-free credit facilities to Zomato’s restaurant partners.
The food delivery industry was one of the worst-affected segments during the pandemic with its gross merchandise value (GMV) falling short of the pre-Covid levels. However, we can now see a revival trend in the industry. The food delivery business has crossed the pre-Covid run rate and is expected to grow further in the months to come. The InCred-Zomato partnership will extend financial assistance to cash-strapped businesses for meeting their business growth and working capital needs.
InCred empowered Indian businesses with unsecured business loans even during the peak of the lockdown. The tech-driven lender offers loans with minimal documentation and gives loan approval within 48 hours with zero physical interactions.
InCred CEO (SME business) Saurabh Jhalaria said, “At InCred, we understand the value of financial assistance for businesses, especially the SMEs. The Covid2019 outbreak has led to a sharp decrease in footfall, order volume, and bucket size within the food services segment. In this context, platforms such as Zomato have emerged as a true gamechanger by enabling physical businesses to recover seamlessly. We are happy to join hands with Zomato and are confident that it will further aid the economic recovery of the vertical.”
“While the food delivery business has made a strong comeback, the overall food service industry is still far from reaching pre-Covid levels. We have been working on many initiatives to boost its recovery and one such is our partnership with InCred. It will help our restaurant partners with easy, risk-free credit options designed to achieve their operational and bottom-line goals,” added Zomato chief sales officer Rakesh Ranjan.
InCred offers tech-driven credit services to its customers that are time-efficient and cost-effective. Apart from its SME loans (which comprises working capital loans, term loans, and channel finance), the product portfolio of the company also includes personal loans (wedding loans, medical loans, and travel loans) and education loans.
Brands
Jubilant FoodWorks faces Rs 47.5 crore GST demand, plans appeal
Tax authorities flag alleged misclassification of restaurant services
MUMBAI:Â Jubilant FoodWorks Limited has landed in a tax tussle after receiving a GST demand of Rs 47.5 crore from the office of the additional commissioner of CGST and central excise in Thane, Maharashtra.
The order, issued under the provisions of the Central Goods and Services Tax Act, 2017, relates to an alleged incorrect classification of certain services under the category of restaurant services. According to the tax authorities, this classification resulted in a short payment of goods and services tax for the period between the financial years 2019-20 and 2021-22.
The demand includes Rs 47.5 crore in GST along with an equal amount as penalty, in addition to applicable interest. The order was received by the company on March 13, 2026.
In a regulatory filing to the BSE Limited and the National Stock Exchange of India Limited, the company said it disagrees with the order and believes its arguments were not adequately considered.
The company is preparing to challenge the decision and plans to file an appeal. It added that once the redressal process is complete, the demand is likely to be dropped.
Despite the sizeable figure attached to the notice, the company said it does not expect any material impact on its financials, operations or other activities.
The disclosure was signed by Suman Hegde, EVP and chief financial officer, who confirmed that the company received the order at 19:06 IST on March 13 and has already initiated steps to contest it.
The development places the quick service restaurant major in the middle of a tax debate that could hinge on how certain restaurant-linked services are classified under GST rules. For now, the company appears ready to take the matter from the tax office to the appeals desk.
