History- It was originally incorporated as L.N. Finco Gems Private Limited in Jan 1996 & founded by Mr. Sanjay Agarwal. In year 2000 the company received certificate of registration under section 45 I A of RBI Act from the RBI for carry on the business of non-banking financial institution without accepting public deposits. In 2010 the company received fresh certificate of registration under section 45 IA of RBI Act from the RBI pursuant to which RBI classified the company as NBFC- ND-AFC. The company was converted into a public limited company in Jan 2013 and the name of the company was changed to `Au Financiers (India) Limited'. The RBI granted the final approval to the company to establish an SFB by its letter dated 20 December 2016. The name of company was changed to `AU Small Finance Bank Limited' and a fresh certificate of incorporation was issued by the RoC on 13 April 2017. Its retail loans products and services includes wheels, secured business loan, gold loan and Kisan loan. Its wholesale banking products and services include business banking; NBFC, household finance corporation, micro finance institutions lending; and real estate group.

It also provides Government banking. Kisan Loans are specifically designed to meet the production and investment credit requirement for farmers in a timely and simplified manner. In 2005 the company became commercial associate of HDFC Bank for carrying on the business of financing commercial vehicles. Company expand its operations in Maharashtra and Gujarat. Insurance Broking Services Private Limited was established as a subsidiary of the company to provide insurance and broking services.