Rohit M. is the cashier at Needs, the students’ store at the Nehru College of Management. A few of his classmates are clerks and employees at the Nehru Mint, the students’ bank. The college opened the store and bank recently.
The college has established the institutions to provide on-hand training for students of the management and computer applications programme, says P. Krishnakumar, chief executive officer, Nehru Group of Institutions.
It has grouped students into 12 batches of 10 each to run the ‘Nehru Mint’, which will operate with a share capital of Rs. 48,000, mobilised from among the students with each contributing Rs. 400. The Needs will run with a similar set up but with a share capital of Rs. 12,000.
Starting Monday, the bank will offer loans to students to meet their education, hostel and personal expenses, charging interest at Rs. 10 and multiples thereof. It will take interest-free deposits from faculty, says Franklin John, principal.
To get the loan, though, the students will have to have faculty approval.
The Needs will house all essential items that boys and girls need.
Both the students’ institutions will operate out of the campus. The store will also take party orders from the students.
The principal says that the role of the computer applications students will be developing the software needed to run the bank and store.
Mr. Rohit says that it seems to be a good learning experience because his friends and he have got to learn things that they took for granted and lessons that were not in the books.
“It’s interesting but tough and not as easy as it looks from outside.”
At the end of the first month of business, the batch that ran the institution will audit the accounts with the help of faculty to hand over the baton to the next batch for the next month.
Mr. John says that when students pass out and leave the campus, the institution will repay the share capital with a share of the profit earned.
The same will hold good for those who have contributed for the store as well.
Mr. Krishnakumar says that like in engineering colleges, the management school has incubated the bank and store.
As it grows, the college will also take steps to make it compliant with the relevant rules.
