Bangalore: A joint project between Optimatic, a Singapore-based media company to run startups focused on online publication e27 and Milaap, a peer to peer microlender, has launched a $50,000 funding for micro entrepreneurs in India, reports StartupCentral. Named as the Entrepreneur Development Fund, the funding is expected to achieve its target in three months. Microlender Milaap is all set to distribute the loans from the fund to entrepreneurs from small towns in India.

The plan behind this raise is obtaining half of the funding from public contributors and the other half from a group called ‘super angels’. According to the promoters, the list includes e27 co-founder Mohan Belani, Singapore-based angel investor Jayesh Parekh, MIT professor and angel investor Wong Poh Kam, Billpin founder Darius Cheung and GreenPost co-founder Harveen Narulla.

According to e27’s co-founder Mohan Belani, the idea for the funding was initiated after the company researched on the situation and hardships that Indian entrepreneurs face in today’s world.

Milaap co-founder Sourabh Sharma exclaimed that the funds will be provided to Indian micro enterprises that already have proved their potential and are in need of funds to better their production. Sharma also said that the loans can be reimbursed in 12-24 months.