Indian MSMEs are a resilient lot, existing amidst funding crunches, inaccessibility to financial services and yet being one of the most significant contributors to the country’s manufacturing output and GDP. However, here’s listing 5 smart ways for MSMEs to upgrade their profile and easily access the financial services made available at their disposal.
Ensure a good CIBIL Score
MSME with the required wherewithal, must always ascertain a good CIBIL score. As safe practice, they must always payback instead of having the loan waived off, otherwise, the same will reflect badly on the CIBIL score. Regardless of the difficulties, small and medium sized enterprises must definitely try to maintain a healthy credit history.
Keep proper records of bills
Whether it is a formal invoice or a KACCHA bill, MSMEs should maintain records of all the transactions. Furthermore, they must endeavour to route all transactions through formal banking channels. Although in the short term, this may appear costly, but the same will pay off in the due course of time.