Reviving a Lending NBFC in 90 DaysBFSI

A mid-sized NBFC with ₹300 Cr in AUM, operating across Tier 2 and Tier 3 cities, was facing liquidity strain, growing NPAs, and fractured internal reporting. The institution had grown aggressively over the past 3 years but lacked the financial discipline and control systems required to manage portfolio risk.

Despite a strong origination engine, its disbursal quality had weakened. Collections were slipping, branch-level accountability was low, and audit flags were piling up. The board had flagged a possible credit rating downgrade and was seeking a turnaround within 90–120 days.

Service Focus: Turnaround Consulting – Revive

Industry: NBFC (Non-Banking Financial Company)

challenge

  • NPA levels had breached internal thresholds (>9%)
  • Cash flow mismatches were emerging due to poor recovery discipline
  • No central dashboard to monitor zone/branch-level performance
  • Budgetary control was absent; OpEx was spiraling without scrutiny
  • Strategic focus was diluted across too many segments and geographies

our approach

  • Capital Crest Consulting was engaged to run a focused 90-day turnaround blueprint under our Revive model. We structured the engagement in three parallel tracks:

    1. Cash Flow Stabilization Track – 13-week rolling cash forecast and collections acceleration
    2. NPA Recovery & Risk Track – Zone-level NPA segmentation and early warning system
    3. Governance & Reporting Track – Budget visibility, control dashboards, and leadership rhythm

    We worked with the CFO, COO, and Collections Head to reset key control parameters and build an execution culture around branch performance.

key intervention

  • Implemented a 13-week cash flow model with weekly visibility for leadership
  • Rebuilt segment-wise borrower risk scorecards and restructured delinquent accounts
  • Introduced zone-wise collection dashboards with color-coded flags
  • Rolled out a branch-wise P&L tracking sheet linked to disbursal quality and recovery
  • Created a Central Performance Command Sheet reviewed every Monday by leadership
  • Set up a short-term NPA recovery task force with daily closure tracking

the solution

  • A measurable reduction in NPA levels over 90 days through structured recovery focus
  • Cash flow visibility and forecasting enabled better working capital control
  • Streamlined zone-wise monitoring created healthy branch competition and accountability
  • Non-strategic expenditure could be frozen or redirected with dashboard-driven review
  • Board confidence could be restored with clear metrics and early warning systems

strategic insight

A turnaround isn’t about firefighting—it’s about restoring control through visibility, accountability, and execution cadence. For financial institutions, the right dashboards and discipline can revive confidence before cash.

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