For SMEs, India availing funding is the hardest task and most of them depend on traditional bank loans to handle their business. A worldwide review by American Express underlines that 42% of Indian respondents discover access to funding to develop a business troublesomely when compared with 33% of their worldwide friends. The overview says that 82% of all SMEs plan to utilize bank loans. Be that as it may, with rising borrowing costs, Indian SMEs is investigating their funding alternatives. 69% of the quickly developing ones say they will tap different wellsprings of financing, for example, public equity. Managing costs have viably been a key central aspect for Indian SMEs who are currently putting equivalent need on cost the board as much as an expanding income.
Saru Kaushal, VP, and general administrator, Global Commercial Services, American Express Banking Corp, India say: Small ventures are offsetting income development with proficiency upgrades and utilizing advanced and solid client connections. The American Express Global SME Pulse 2018 overview, features that tedious application process, high loan costs, and concealed expenses are the best pain points for SME entrepreneurs
“At present, it takes around 30-40 days for small business people to get the loan from banks in view of the documentation process and credit assessment. Yet, with new technological solutions, the procedure should be possible quicker and entrepreneurs can motivate speedy access to funds,” Kaushal says. More than 75% of Indian SMEs say that clients are requesting all the more new or custom-fitted products and services, and some 44% arrangement to apply new innovation to enable them to overhaul product and services