Small Enterprise - July'23 Issue

["COVER STORY | Sustainable Development MANAGING CASH FLOW: FINANCIAL STRATEGIES FOR MSME RESILIENCE India's small and medium enterprises (MSMEs) crucial role in achieving a more equitable are pivotal in the nation's economy, contributing distribution of national wealth. While small and nearly 40% of its GDP. With a staggering 60 medium-sized businesses face various hurdles in million MSMEs, these businesses drive economic accessing private equity capital through growth and serve as significant employers across traditional methods, their primary concern the country. However, despite their impressive revolves around effective cash flow management. contributions, these enterprises' reliance on banks for financial support could be much In addition to financial obstacles, these higher. enterprises navigate the intricacies of human resources and marketing. Whether securing Financing and managing cash flow continue to funding for a pharmacy or a medical store, pose substantial challenges for small businesses arranging finances proves to be a daunting task in India. In this regard, MSMEs have garnered for the average small business. As a result, these increasing attention and have become a focal enterprises encounter many challenges along point for the government, which recognizes their their entrepreneurial journey. 101 \\\\ Small Enterprise \\\\ Jul 2023","Challenges Faced by MSMEs Difficulty in obtaining bank especially for MSMEs owned MSMEs face several cash flow loans: MSMEs need help in by individuals from challenges that hinder their securing loans from financial underserved social groups. growth and sustainability. Here's institutions and banks. These Financial stability becomes a an overview of some of the key institutions often require significant concern for such challenges they encounter: comprehensive business data enterprises. to assess the business's Poor cash flow management: financial health. However, Higher credit risk: Compared MSMEs often need help with many small businesses need to larger firms, MSMEs have generating consistent cash more creditworthiness, limited public information inflow due to limited resources resulting in loan rejections. available, making it difficult for and unreliable sources, lenders to assess their especially in their early stages. Inadequate cash reserves: creditworthiness. Inadequate cash flow Since founders with limited Consequently, lenders may management experience and a personal wealth typically require higher collateral or lack of appropriate resources establish MSMEs, they often impose stricter terms to further complicate the need help with unexpected mitigate the associated risks. situation, leading to expenses arise. Relying on Due to a lack of collateral, short-term liquidity problems. private funds to cover business Indian MSMEs often struggle expenses becomes a hurdle, to obtain timely and adequate 102 \\\\ Small Enterprise \\\\ Jul 2023","financing, exacerbating their Educate yourself on lead-time management to credit challenges. government policies and streamline inventory programs: Familiarize yourself management while considering These cash flow challenges, with government initiatives and cash flow implications. coupled with limited resources, programs designed to support contribute to banks' rejection of MSMEs. For instance, programs By implementing these strategies, MSME loan applications, as they like Pradhan Mantri Jan Dhan you can improve cash flow perceive higher risks of potential Yojana aim to provide financial management and overcome the bad debts. Addressing these access to marginalized sections challenges commonly faced by challenges is crucial for the of society. Stay informed about MSMEs. Remember to assess growth and sustainability of such initiatives to leverage your business needs and adapt MSMEs in India. available benefits and resources. these tactics to achieve sustainable financial stability. Strategies for MSME Resilience Leverage FinTech solutions: To tackle MSME cash flow Take advantage of financial Wrapping up problems effectively, consider technology solutions that cater to Managing cash flow is essential implementing the following MSMEs. FinTech organizations for the resilience and growth of strategies: can offer various short-term MSMEs in India. These small and loans and provide financial and medium enterprises, which Be flexible with receivables: technical assistance tailored to contribute significantly to the Pay close attention to your business needs. Explore country's economy, face various managing your sales process these options to enhance your financing and cash flow and receivables. cash flow management. management challenges. However, by implementing Ensure accurate and timely Exercise diligence in payables effective strategies, these invoicing, follow up on client management: Ensure that your challenges can be tackled. payments, and track overdue payment terms with suppliers bills. align with the agreements made -SAUMYA with your clients. Negotiate with Avoid relaxing on receivables suppliers to align payment terms during prosperous times to and maintain a healthy cash flow, prevent cash flow disruptions especially during challenging and delays in supplier circumstances. payments. Optimize inventory Explore alternative funding management: Efficient inventory sources: Look beyond traditional management is crucial for financing options and consider balancing business operations utilizing other sources of money, and cash flow. Strive to maintain such as venture capitalists or an appropriate inventory level private equity firms. Many large that meets demand without tying organizations and corporations up excessive cash. Implement show interest in supporting the changes in warehousing microfinance sector, providing practices, inventory transparency, potential avenues for generating sales forecasting, stock policies, finance without solely relying on production schedules, and MSME loans. 103 \\\\ Small Enterprise \\\\ Jul 2023","COVER STORY | SUSTAINABLE DEVELOPMENT MICROFINANCE FOR INCLUSIVE GROWTH: EMPOWERING UNDERSERVED COMMUNITIES Every business, startup, or MSME requires To solve this problem, several microfinance investment to set up and begin operations. The institutions have been established that provide lack of access to loans for arranging this small loans with traditional banking conditions. investment is a prime cause preventing major They have been fulfilling the dreams of people people from underserved communities or ordinary from underserved communities to set up and begin people from venturing into business.\u00a0 their MSMEs.\u00a0\u00a0 There are several reasons why these people cannot In this article, you will learn more about the role access loans: incomplete documents, lack of assets of microfinance instructions in providing financial for security, or lack of stable income sources. This access to underserved communities. Also, you will is a common reason for the smaller number of understand how this supports entrepreneurship MSMEs, significantly contributing to a country's and sustainable livelihoods in Indian MSMEs. economy.\u00a0 Role of Microfinance developing countries. For this So, they offer different kinds of Institutions in providing finance purpose, they ply multiple roles: financial services like savings to underserved communities accounts, microloans, or Microfinance does not aim to Promoting Financial Inclusion\u00a0 insurance to them. This helps MFIs focus on providing loans them execute their business ideas make maximum profits like banks and increasing their amounts for into MSMEs, which are vital in the underserved members of our improving their lives and or other investment firms. Instead, society, like low-income earners, contributing to the Country.\u00a0\u00a0 women, rural populations, etc.\u00a0 they aim to finance underserved communities, particularly in 104 \\\\ Small Enterprise \\\\ Jul 2023","Decreases poverty distribution purposes. Trained Promotes social welfare The impoverished community staff and increased capacity help activities\u00a0 requires loans to study to learn to serve better client needs and The MSMEs run by skills and further start their ensure long-term success with underprivileged people often aim business to improve their more profit.\u00a0\u00a0 at social goals along with making circumstances. However, profits. So, by funding such small traditional banking services have Increases the number of MSMEs businesses, MFIs contribute to several rules and formalities that Microfinance Institutions mainly social good. In addition, they work don't help them. cater to small businesses. They on tackling social issues like value the contribution of MSMEs gender equality by giving loans to So, the people are left with no to a country's economic growth women who want to start their option but to continue the work and support it in every possible businesses.\u00a0 done by their forefathers that way with their loans. doesn't enable them to get rid of Along, they provide services for their poverty. However, MFIs have MFIs offer microcredit or small backward community people who provided them access to small loans to budding entrepreneurs. need to catch up in the loans, which has helped reduce In addition, they provide funds to development process. In all these poverty. In turn, it enhances the existing MSMEs who want to ways, MFIs promote social welfare.\u00a0 social and economic development broaden their operations. As they of the country.\u00a0 solve the problem of access to How do Microfinance loans and require minimal Institutions Support Improves Capacity of MSMEs collateral, they play an essential Entrepreneurship and Apart from setting up MSMEs, role in increasing the number of Sustainable livelihood?\u00a0 funds are required to train MSMEs. Moreover, they save the Microfinance Institutions support workers and increase their small business that would have entrepreneurship and sustainable capacity. It can be for their shut down due to the absence of livelihood in multiple ways, which manufacturing, production, and their funds.\u00a0\u00a0 are as follows:\u00a0 105 \\\\ Small Enterprise \\\\ Jul 2023","Supports sustainable businesses\u00a0 for better earnings that keep the their livelihoods and navigate As mentioned above, MFIs have rural areas from developing.\u00a0\u00a0 through crises successfully.\u00a0 social goals like reducing poverty and promoting equality. But, the support from MFIs has Conclusion Alongside, they support the dramatically boosted the creation MFIs have proved to be a boon MSMEs that work for sustainable and growth of MSMEs in rural for the MSMEs. The lack of access development.\u00a0They prioritize areas. Such small businesses to finance had been a significant giving loans to businesses that become an essential medium of roadblock for women, rural work with a social mission, like job creation as they recruit local people, and individuals from making eco-friendly products or workers and even train them.\u00a0\u00a0 underserved communities to start women empowerment.\u00a0So, by their small businesses.\u00a0 lending money responsibly to Reduces Risk Concerns\u00a0 sustainable businesses, MFIs MFIs work on tackling the risks However, Microfinance promote sustainable livelihoods faced by entrepreneurs from Institutions are playing an that benefit society.\u00a0\u00a0 economically sensitive essential role by promoting backgrounds. For instance, financial inclusion, decreasing Creating employment entrepreneurs from underserved poverty, improving the capacity of opportunities\u00a0 communities do not have MSMEs, and promoting social A primary cause for less adequate assets or financial activities to empower MSMEs run development of underserved access to avert financial risks or by underserved communities.\u00a0 communities and rural deal with unforeseen problems.\u00a0 populations is the lack of employment opportunities. They They provide specific insurance don't have adequate jobs despite plans to cover risks like accidents getting basic or advanced or the impact of natural disasters education. Further, some people that could otherwise leave are forced to travel to urban areas entrepreneurs in a financial crunch. It helps them to sustain -SAKSHI 106 \\\\ Small Enterprise \\\\ Jul 2023","COVER STORY | Sustainable Development THE ROLE OF MICRO-INFLUENCERS: AMPLIFYING MSME BRANDS IN THE DIGITAL AGE In the digital age, where large, well-funded MSMEs can use micro-influencers to engage with companies dominate advertising, small customers and build brand awareness cheaply. businesses always need help promoting their This article examines digital pros and cons and products and services. Influencer marketing has how micro-influencers help MSME businesses given MSMEs a new opportunity to spread their stand out. Marketing mix best practices. brand message and reach their target audience. Digital Marketing Is Important online presence. Compared to Opportunities and Challenges for MSMEs traditional marketing strategies, in the Digital Age Social media and the internet are digital marketing enables MSMEs The digital era has given MSMEs widely used, which has altered to access a larger audience, numerous opportunities but has how businesses run. MSMEs may resulting in cost-effective also presented difficulties. Online interact with their target campaigns that can raise brand information is abundant. audience, create their brand, and awareness. Therefore it can be difficult for gain credibility by having a solid businesses to distinguish notices. 107 \\\\ Small Enterprise \\\\ Jul 2023","MSMEs find it challenging to regularly draw tens of thousands Marketing Strategies That keep up with the most recent to a hundred thousand Work for Small Businesses trends because of the intense attendees. Utilizing micro-influencers has competition for attention and the several benefits, one of which is constantly evolving nature of What distinguishes that they are more affordable algorithms. Also, MSMEs micro-influencers from than macro-influencers. It is frequently face financial and macro-influencers? simpler for MSMEs to interact resource limitations, making In contrast to their with micro-influencers because reaching the intended audience micro-influencer counterparts, they frequently agree to with their message difficult. Macro-influencers generally have collaborate in exchange for free millions of followers. Their product samples or a small Understanding and widespread appeal can make it payment. This is especially Distinguishing difficult to zero down on a advantageous for small firms with Micro-Influencers from specific demographic. However, tight budgets because it enables Macro-Influencers in the Rise micro-influencer's fan bases are them to grow without spending a How do micro-influencers highly devoted and defer to their fortune. work? expertise and judgment. That When compared to means they can enhance Targeted Outreach and macro-influencers, participation among a target Participation micro-influencers have a more audience by a large margin. Micro-influencers are far more engaged but still relatively successful at reaching a modest online following. The Benefits of Micro-Influencers specialized audience because fashion, beauty, food, and for MSMEs: Affordably, they focus on narrow niches. tourism industries, to name a few, Authentically, and Targeted They frequently have a devoted 108 \\\\ Small Enterprise \\\\ Jul 2023","and active fan base that respects purchasing decisions, particularly Content of the Influencer's their views and is likelier to for MSMEs with a specialty Relevance and Authenticity become customers. For MSMEs, product or service. When looking for this highly targeted strategy may micro-influencers to collaborate lead to better engagement levels Addressing Key Criteria for with, it's critical to assess the and improved return on Finding the Right value and veracity of their investment (ROI). Micro-Influencers for Your content. MSMEs should seek Brand influencers whose work is Genuine and Customised Identifying Your Target Market consistent with their brand and Content MSMEs must thoroughly who have a history of creating Micro-influencers are well understand their target audience engaging, high-quality material renowned for creating before choosing which that connects with their audience. personalized and accurate micro-influencers to collaborate content. They frequently with. Demographics, hobbies, and Metrics, Engagement, and communicate personal insights behaviors go under this. With this Reach and viewpoints with their data, companies can zero in on Last, MSMEs need to assess the audience, which increases the micro-influencers most likely influence and reach of potential credibility and trust. This level of to help them reach their micro-influencers. This includes authenticity can be pretty audience. metrics like likes, comments, successful at influencing shares, and space. These 109 \\\\ Small Enterprise \\\\ Jul 2023","indicators allow MSMEs to entails locating influencers Conclusion determine which influencers whose beliefs and pursuits Understanding a have the most engaged and coincide with your business and micro-influencer campaign's active followings, which corresponding with them via impact and return on increases the likelihood that email or social media. Before investment requires measuring they will convert those followers pitching your campaign, it's its success. Engagement rates, into paying consumers. crucial to demonstrate a sincere internet traffic, and sales interest in their content and conversions are among the The Need for Innovative and offer them something of worth. metrics. To determine the Creative Collaboration A solid relationship will boost campaign's success, monitoring Methodologies the likelihood of a fruitful these metrics before, during, Setting Expectations and partnership and genuine brand and after the campaign is Measuring ROI: Collaborating promotion. crucial. With the influencer, set with Micro-Influencers in clear expectations for Strategic Ways Making a Strong and Clear performance measures like post Micro-influencers can effectively Campaign Brief frequency and content quality. ally MSMEs trying to expand Once you've decided who their brand awareness and influencers to engage with, you attract new clients in the digital must present a compelling era. To create a successful campaign brief that is both clear collaboration, however, dealing and concise. Campaign goals, with influencers calls for target market, important meticulous strategy and messages, and specific execution. deliverables like social media postings or product evaluations Developing Connections with should all be included in this. It's Micro-Influencers critical to convey your brand's Developing a relationship with principles and values effectively micro-influencers is the first while allowing for individuality step in working together. This and creativity. -VISHAL 110 \\\\ Small Enterprise \\\\ Jul 2023","COVER STORY | SUSTAINABLE DEVELOPMENT THE FUTURE OF WORKSPACES: ADAPTING OFFICE ENVIRONMENTS FOR MSMEs Computer Intelligence has dramatically impacted valuable findings that in the past that were how technology influences our lives, work, and unreachable.\u00a0 interactions. Using its impressive capability to analyze large volumes of information and acquire Nevertheless, since AI keeps progressing, it is understanding, Artificial Intelligence has become essential to tackle moral issues like a crucial component of multiple business areas.\u00a0 confidentiality, prejudice, and the consequences for the job market. Making sure that the progress Healthcare and money to travel and fun activities, and implementation conform to ethical principles it has transformed how we do our jobs and stay. and make society better entirely is of great This revolutionary innovation can improve significance. processes, improve decision-making, and discover Understanding the Needs of For these companies, having a Challenges Faced by MSMEs Micro, Small, and Medium workspace that optimizes in Traditional Office Enterprises (MSMEs) efficiency and promotes Environments collaboration is essential. Traditional office environments Importance of Tailoring Unlike more giant Workspaces for MSMEs corporations, MSMEs need to pose unique challenges for make the most of every square MSMEs represent a vital foot and ensure that their MSMEs. Limited space, high segment of the business world, office spaces can adapt to the often operating on tight changing needs of their teams. rent costs, and a lack of budgets and limited resources. flexibility can hinder their growth and productivity. Additionally, the rigid layout of 111 \\\\ Small Enterprise \\\\ Jul 2023","conventional offices may need collaboration. This can be businesses to quickly to align with the collaborative achieved by creating open, reconfigure their workspace to nature of MSMEs, hindering multi-functional work areas accommodate changing needs. effective communication and promoting interaction and Modular desks, movable teamwork. MSMEs must creativity. MSMEs can partitions, and flexible seating address these challenges by encourage spontaneous arrangements enable MSMEs reimagining their workspaces discussions and brainstorming to optimize space utilization to meet the demands of their sessions by incorporating and create a dynamic dynamic and agile teams. shared spaces, such as environment that can adapt to communal lounges or breakout different tasks and team sizes. Designing Flexible and rooms, fostering innovation Collaborative Office Spaces for within their teams. Harnessing Technology for MSMEs Efficient MSME Workspaces Incorporating Agile and Creating Open and Modular Furniture Leveraging Cloud Computing Multi-functional Work Areas Another way to adapt office and Digital Tools To cater to the needs of environments for MSMEs is by Cloud computing and digital MSMEs, office spaces should incorporating agile and tools have revolutionized how prioritize flexibility and modular furniture. This allows businesses operate. MSMEs can leverage these 112 \\\\ Small Enterprise \\\\ Jul 2023","technologies to streamline create a more sustainable People can build flexible, their work processes and workspace.\u00a0 group-based, and enhance productivity. By technology-centered office migrating to cloud-based These technologies promote a spaces. Alright, let's say platforms, teams can greener environment and goodbye to the dull collaborate on projects in improve employee comfort workspaces of bygone times. real-time, access files from and well-being. By We must embrace the fantastic anywhere, and eliminate the implementing intelligent office chances that lie ahead! limitations imposed by physical solutions, MSMEs can reduce office spaces. Embracing digital operational costs, enhance Creating Sustainable and tools also helps MSMEs productivity, and create an Eco-friendly Work streamline administrative tasks attractive work environment Environments for MSMEs and focus more on core for their teams. business activities. Embracing Energy-efficient The upcoming days of Lighting and Appliances Implementing Smart Office workplaces depend on Let\u2019s face it, traditional light Solutions adjusting to the transforming bulbs are so last century. In this Innovative office solutions, necessities and likings of small modern society, power-saving such as automated lighting, and medium-sized enterprises. lamps are the way forward. temperature control systems, These companies can unlock Besides, these light bulbs use and IoT-enabled devices, offer the maximum they can achieve less power but additionally MSMEs opportunities to and flourish in the age of endure for a longer time. This enhance energy efficiency and technology.\u00a0 minimizes the necessity for frequent changes. Small 113 \\\\ Small Enterprise \\\\ Jul 2023","businesses can easily change materials. This might involve advancing the economy's growth to more sustainable lighting utilizing tables crafted from and creative ideas. All these options to reduce expenses on repurposed lumber or benches companies have to change their their monthly electric charges. from repurposed plastic. In office setups. They have to satisfy The modification furthermore addition, this action decreases the demands that lie ahead. assists in lessening the impact the need for new resources, on the environment. but it includes a bit of Small businesses can construct sustainability consciousness in atmospheres that encourage Similarly, choosing the office visual. effectiveness, imagination, and energy-efficient appliances for triumph by designing flexible and the office kitchen or Launching a recycling collaborative workspaces. People breakroom can go a long way campaign is an excellent can also accomplish this using in creating a more sustainable method to lessen waste and technology, adopting workspace. From refrigerators advocate for sustainability. sustainability, and giving and microwaves to coffee Small businesses can importance to employee makers, plenty of options are significantly impact their well-being. eco-friendly and capable of environmental footprint by brewing a mean cup of joe. giving properly marked Embracing the future of recycling containers across the workspaces will benefit individual Incorporating Sustainable workplace. Moreover, training businesses and contribute to the Materials and Recycling staff regarding what can and overall growth and resilience of Programs cannot have a second life is the MSME sector. By staying agile To create a truly vital. and embracing the evolving environmentally friendly nature of work, MSMEs can thrive workspace, MSMEs can opt for Conclusion: in the digital era and build a furniture and office supplies Small businesses keep foundation for long-term success. made from sustainable contributing, essential to -VISHAL 114 \\\\ Small Enterprise \\\\ Jul 2023","ONDC \u2013 OPPORTUNITIES FOR MSMEs HOW ONDC IS POISED TO TAKE ON AND TRANSFORM THE E-COMMERCE LANDSCAPE IN INDIA The ONDC (Open Network for Digital Commerce) Courtesy: ONDC- McKinsey & Company initiative is poised to bring about a transformative change in the e-commerce landscape of India. Considering how quickly online commerce has expanded and the increasing importance of the digital economy, ONDC aims to create a unified platform that revolutionizes how businesses operate, and consumers engage in online transactions. This article explores the various aspects of the ONDC initiative, including its objectives, potential benefits, and the impact it could have on the e-commerce industry in India.\u00a0 Background of the ONDC Initiative The ONDC initiative was launched by the Indian government in response to the rapid growth of e-commerce in the country. As more and more people turn to online shopping, there is a need to address the challenges faced by consumers and businesses in this sector. ONDC seeks to provide a comprehensive solution by integrating various aspects of e-commerce onto a single platform. 115 \\\\ Small Enterprise \\\\ Jul 2023","Courtesy: ONDC Courtesy: ONDC- McKinsey & Company 116 \\\\ Small Enterprise \\\\ Jul 2023","Objectives of the ONDC Initiative The current state of e-commerce in India The primary objectives of the ONDC initiative are to Growth of the e-commerce market in India promote fair competition, enhance consumer The e-commerce market in India has witnessed protection, and improve efficiency in the e-commerce exponential growth in recent years. Smartphones ecosystem. By creating a level playing field for all and internet connectivity are becoming more and players, ONDC aims to ensure that consumers can more common. More consumers are choosing access a wide range of choices at competitive prices. online purchasing because of its convenience. Moreover, it seeks to address data privacy and According to reports, India's e-commerce market security concerns and establish transparent and is projected to reach a staggering value of $200 accountable practices within the industry. billion by 2026.\u00a0 Courtesy: ONDC- McKinsey & Company 117 \\\\ Small Enterprise \\\\ Jul 2023","","Key Players in the Indian e-commerce industry who cater to specific consumer needs. The Indian e-commerce industry is dominated by major players, including Amazon, Flipkart, and Trends and challenges in the e-commerce Reliance JioMart. These businesses are sector well-established in the market and have The e-commerce sector in India is characterized by contributed significantly to the expansion of various trends, such as the rise of social e-commerce in India. However, the industry is also commerce, increased adoption of mobile seeing the emergence of smaller, niche players marketing, and the growing popularity of online grocery shopping. However, it also faces several challenges, including logistical constraints, infrastructural limitations, and regulatory hurdles. These challenges often hamper the seamless functioning of the e-commerce ecosystem. Challenges faced by the e-commerce industry Infrastructure limitations One of the significant challenges faced by the e-commerce industry in India is the need for robust infrastructure, especially in remote areas. Inadequate connectivity, unreliable power supply, and inefficient transportation systems pose significant barriers to the smooth functioning of e-commerce operations. Logistics and supply chain challenges Courtesy: ONDC- McKinsey & Company 118 \\\\ Small Enterprise \\\\ Jul 2023","-VISHAL Courtesy: ONDC- McKinsey & Company 120 \\\\ Small Enterprise \\\\ Jul 2023","Courtesy: ONDC- McKinsey & Company 121 \\\\ Small Enterprise \\\\ Jul 2023","Logistics and supply chain management are crucial With its comprehensive approach, ONDC has the aspects of the e-commerce industry. However, the potential to reshape the e-commerce landscape in vast geographical expanse of India and inadequate India, making it more inclusive, efficient, and transportation infrastructure make last-mile delivery consumer-friendly. As the initiative takes shape, it and efficient inventory management a daunting task will be interesting to see how it addresses the for e-commerce companies. challenges faced by the industry and brings about transformative changes that benefit all Regulatory and policy hurdles stakeholders involved. The e-commerce sector in India is subject to various regulatory and policy restrictions. the problems with Key features and benefits of the ONDC platform FDI (foreign direct investment) in e-commerce, Unified e-commerce platform taxation, and data privacy have often posed Gone are the days of juggling multiple platforms challenges for businesses in this industry. These to sell your products online. With ONDC, small hurdles often create a complex regulatory businesses and sellers can rejoice as they get environment that hampers the growth and expansion access to a unified e-commerce platform. This of e-commerce companies. means managing your inventory, sales, and customer interactions all in one convenient place. HOW ONDC PLANS TO TRANSFORM THE No more hopping from one website to another E-COMMERCE LANDSCAPE like a caffeinated squirrel on a sugar rush. Overview of the ONDC Platform Streamlined inventory management The ONDC platform aims to bring together all Keeping track of your inventory can be as tricky as stakeholders of the e-commerce ecosystem, remembering the names of all your second including manufacturers, sellers, logistics cousins twice removed. But fear not, dear providers, and consumers, onto a unified digital entrepreneur! ONDC comes to the rescue with its platform. It will provide a seamless interface for streamlined inventory management features. Say conducting online transactions, managing goodbye to stockouts and overselling nightmares. inventory, and ensuring efficient delivery. The This platform lets you easily monitor your stock forum will also facilitate better coordination and levels, update product information, and stay on collaboration among players in the e-commerce your game. value chain. Data Analytics and Insights Integration of Technology and Innovation If you're tired of making decisions based on gut ONDC plans to leverage the power of technology feelings and guessing games, ONDC has your and innovation to drive efficiency and back. It offers data analytics and insights to help transparency in the e-commerce sector. By you understand your customers better, track sales incorporating features like artificial intelligence, performance, and make informed business machine learning, and blockchain, ONDC aims to decisions. Think of it as having a crystal ball that enhance the user experience, optimize logistics tells you what your customers want, minus the operations, and mitigate fraud and counterfeit foggy visions and questionable mystical powers.\u00a0 products. THE POTENTIAL IMPACT OF ONDC ON SMALL Enhancing Efficiency and Transparency BUSINESSES AND STARTUPS One of the critical objectives of ONDC is to enhance efficiency and transparency in the Empowering small businesses to Compete e-commerce ecosystem. By implementing Small businesses often find competing challenging standardized processes and regulations, ONDC in a world dominated by big players. However, aims to create a level playing field for all players. It ONDC levels the playing field by allowing them to also seeks to ensure better consumer protection reach a wider audience, showcase their products, by promoting fair practices, improving dispute and establish their brand presence. So, get ready resolution mechanisms, and safeguarding data to witness the rise of the underdogs as they privacy. unleash their hidden potential. 122 \\\\ Small Enterprise \\\\ Jul 2023","Courtesy: ONDC- McKinsey & Company Conclusion In conclusion, the ONDC initiative holds immense Opportunities for Startups to Thrive promise for reshaping the e-commerce landscape in Startups, rejoice! ONDC opens up a world of India. By addressing various challenges faced by the possibilities for you in the e-commerce realm. It industry and providing a unified platform for offers a platform to showcase your innovative businesses, ONDC has the potential to enhance products and gain visibility among a vast customer efficiency, promote fair competition, and empower base. With the right marketing strategy, your small businesses and startups. However, the success startup could go from being a tiny blip on the of this initiative depends on practical radar to a shooting star that captures the attention implementation, collaboration with regulatory of throngs of eager customers. Dream big and let bodies, and addressing privacy and security concerns. ONDC be your launchpad. With careful planning and execution, ONDC could pave the way for a thriving and inclusive digital Job Creation and economic growth economy, benefitting businesses, consumers, and the ONDC benefits small businesses and startups and overall future growth of India's e-commerce sector. has a positive ripple effect on the economy. Empowering sellers and providing them opportunities to grow creates jobs and fosters economic growth. So, it's not just about selling products online; it's about building a thriving ecosystem that benefits everyone involved.\u00a0\u200c 123 \\\\ Small Enterprise \\\\ Jul 2023","You aspire to Grow We aspire to be your sarthi in your journey Unlock your True potential With Our Consulting Services Marketing & Branding Strategy Consulting for cost reduction Advisory for Automation in manufacturing Digital Transformation of business Competitive business planning Operational Excellence Procurement consulting Support for MSME schemes Leadership training as required ` Darshana Thakkar \u2013Founder & CEO +91-9106708639\/91-9824484945 508,VCCI Building , GIDC, Makarpura, Vadodara-390010, Gujarat Website: www.transformationstrategyhub.com E-mail : [email protected]","FINANCE INNOVATIVE FINANCING MODELS: CROWDFUNDING AND PEER-TO-PEER LENDING FOR MSMEs Gone are the days when MSMEs were confined to backers, and obtain funding that might not traditional avenues of financing, shackled by the otherwise be possible. limitations imposed by banks and financial institutions. Today's entrepreneurs can benefit The rise of peer-to-peer lending has similarly from the power of the crowd by tapping into the ushered in a new era of direct lending that avoids combined strength of those who hold similar the convoluted banking systems of the past. Join beliefs. Entrepreneurs can present their ideas on us on this thrilling journey as we learn how these crowdfunding platforms, interact with potential new financing techniques can alter the course of history! CROWDFUNDING FOR MSMEs barriers, enabling business owners raised by a campaign will be close Crowdfunding can be summed up to communicate directly with their to $2.94K. as a group effort in which people target market, share their vision, frequently contribute money to a and gain financial support in Benefits of crowdfunding for project, company, or cause return.\u00a0 MSMEs through online platforms. Crowdfunding for MSMEs comes Crowdfunding's democratization In India, the crowdfunding industry in various forms, each tailored to of capital is one of its most is anticipated to bring in $4.49 cater to different needs and attractive features.\u00a0 million by 2023. Indian aspirations.\u00a0 crowdsourcing statistics predict It eliminates the previous funding that by 2023, the average amount Rewards-based crowdfunding, 125 \\\\ Small Enterprise \\\\ Jul 2023","for instance, offers backers banking, allowing entrepreneurs to investors in expanding their tangible rewards in exchange secure funds more efficiently and investment diversification beyond for their support. on their own terms.\u00a0 conventional investment instruments. Equity-based crowdfunding, on This lending democratization the other hand, opens doors to empowers both borrowers and In 2021, the market for P2P a new realm of possibilities. It lenders, cultivating a sense of lending was estimated to be worth allows MSMEs to sell shares in community and collaboration. USD 82,300 million, and by 2030, it their company to a wider Peer-to-peer lending has many is anticipated to reach USD audience, transforming backers benefits for MSMEs that can help 804,200 million, growing at a into partial owners.\u00a0 them overcome the difficulties in 29.1% CAGR. obtaining traditional financing.\u00a0 For those driven by a cause, Online Invoice Financing donation-based crowdfunding Peer-to-peer lending platforms A game-changer, online invoice offers a platform to rally frequently have more lenient financing provides MSMEs a support and make a difference.\u00a0 requirements than traditional lifeline when conventional financial institutions, allowing a financing sources fall short. It is The success stories of MSMEs wider range of entrepreneurs to based on the straightforward but funded through crowdfunding are access the required funding.\u00a0 effective concept of converting nothing short of awe-inspiring. For unpaid invoices into working example, City Lights Books Peer-to-peer lending offers capital.\u00a0 (GoFundMe) \u00b7 Sunny's Bar lower interest rates and fees (Kickstarter and Indiegogo) are than traditional lenders and is In FY22, the number of invoices some of the MSMEs saved by more easily accessible. discounted more than doubled to crowdfunding. 17.33 lakh involving Rs 44,111.80 Moreover, the application and crore, up from 8.61 lakhs involving Peer-to-Peer Lending for MSMEs approval process for Rs 19,669.84 crore uploaded in At its core, peer-to-peer lending is peer-to-peer lending is FY21.\u00a0 a decentralized lending system streamlined and simplified. that connects borrowers directly For MSMEs, the benefits of online with individual lenders through The largest alternative investment invoice financing are manifold, online platforms. It does away with platform in India, LenDenClub, breathing life into their cash flow the middlemen that are usually began operating there in 2015. management and positioning associated with traditional Since then, we have been assisting them for success.\u00a0 126 \\\\ Small Enterprise \\\\ Jul 2023","One of the key advantages is angel investors and venture capital Functional Support Services improved cash flow depends on the MSME's specific (TIRFSS) management. needs and growth trajectory. The government has set aside Another significant benefit is Government Grants and approximately INR 22,140 crores quick access to funds.\u00a0 Programs for the MSME sector, a 42% Governments have created a wide increase over previous years. This Additionally, online invoice range of grants and programs to funding will be used to implement financing reduces the risk of encourage entrepreneurship and various schemes to provide bad debt for MSMEs. Unpaid develop the potential of MSMEs. accessible and affordable credit, invoices can become a burden, These programs act as catalysts, technological upgrades, and especially when customers giving MSMEs a financial lifeline infrastructure development. default on their payments.\u00a0 and accelerating their success. Conclusion Angel Investors and Venture The government of India's The financing landscape has Capital schemes for MSMEs includes the transformed remarkably, offering Angel investors often provide following: MSMEs various advanced options early-stage funding to promising to support their expansion and startups in exchange for equity Credit Guarantee Trust Fund for success. Thanks to the collective ownership. On the other hand, Micro & Small Enterprises support of crowdfunding, venture capital firms are (CGTMSE) peer-to-peer lending, and investment firms that pool funds government grants and programs, from various sources to invest in Market Promotion & entrepreneurs now have high-potential startups in Development Scheme (MPDA) unheard-of opportunities to exchange for equity. secure the required funding. The Revamped Scheme of Fund for possibilities are boundless when An examination of venture capital Regeneration of Traditional creativity and finance converge to funding trends reveals that venture Industries (SFURTI) - uplift the heartbeats of small capital has strong ties to businesses worldwide. innovation-based clusters. Coir Vikas Yojana (CVY) Ultimately, the choice between -SUMANT Trade and Industry Related 127 \\\\ Small Enterprise \\\\ Jul 2023","TECHNOLOGY DIGITAL SECURITY FOR MSMEs: PROTECTING DATA AND PRIVACY IN THE DIGITAL ERA Small and medium-sized enterprises (MSMEs) are vulnerable to potential cybersecurity threats. To finding digital technologies more and more uphold their competitive edge and secure sensitive essential in streamlining their operations during data, MSMEs must prioritise protecting this digital era. These technologies are being information and privacy. This article offers helpful utilised to establish a connection with clients as perspectives and actionable advice that can aid well. Although this digital transformation MSMEs in improving their measures for digital provides various advantages, it also leaves MSMEs security. Introduction importance of securing digital The task encompasses protecting MSMEs increasingly utilise systems for MSMEs while offering confidential corporate data, client technology to optimise their tips on safeguarding sensitive details, and intellectual assets businesses and broaden their information and maintaining against unapproved entry, theft, or customer base in today's digital privacy. improper handling. Not prioritising era. Nonetheless, the emergence of digital security can lead to severe digital transformation also presents Understanding the Importance outcomes like financial damage, various cybersecurity obstacles that of Digital Security for MSMEs harm to reputation, and legal MSMEs must efficiently tackle. The MSMEs must prioritise digital consequences. main subject of this article is the security in an interconnected world. 128 \\\\ Small Enterprise \\\\ Jul 2023","Common Cybersecurity Threats payment is demanded in Regular Software Updates and Malware Attacks exchange for release. It is Patching Small and medium enterprises advisable for MSMEs to It is essential to address security (MSMEs) are exposed to the frequently create copies of their vulnerabilities by regularly significant danger posed by data. To avoid unauthorised updating software, operating malicious software assaults, access and reduce the damage systems, and applications. To including viruses, worms, and caused by ransomware attacks, safeguard against known trojans. Malware programs can it is recommended that they exploits, MSMEs must create a infiltrate computer systems, incorporate effective security plan for frequent updates and purloin confidential information measures. patching. and impede business activities. Using robust antivirus and Data Breaches Using Multifactor anti-malware tools is crucial to Computer system weaknesses, Authentication (MFA) detect and thwart such attacks. unauthorised entry, or human Adding MFA implementation mistakes can all lead to data enhances the security by an Phishing and Social breaches. To prevent data additional layer. Users need to Engineering breaches and decrease their furnish several evidence items to Phishing assaults count on consequences, MSMEs should verify their identities. For crucial deceiving individuals into prioritise employee training, systems and applications, divulging sensitive details by access controls, and encrypting MSMEs should contemplate posing as reliable sources. It is data. incorporating MFA. recommended that MSMEs educate their employees Best Practices for Digital Security Employee Education and regarding the potential hazards Implementing Strong Password Awareness of phishing. To alleviate this Policies Maintaining digital security danger, they ought to integrate Digital security can be significantly dramatically depends on the methods such as spam filters improved by using robust and vital contribution of employees. and email authentication distinctive passwords and enforcing Conducting frequent training protocols. policies requiring regular password sessions that cover cybersecurity changes. Encouraging the use of best practices, recognising Ransomware password managers and educating phishing attempts, and adopting Valuable data is encrypted in employees on password best safe browsing habits can ransomware attacks, and a practices is advisable for MSMEs. contribute to fostering a 129 \\\\ Small Enterprise \\\\ Jul 2023","security-aware workforce. Some essential security solutions clearly-defined incident response include: plan to handle security incidents Data Encryption effectively. In a cybersecurity Encrypting confidential Antivirus and Anti-Malware breach, the program should detail information remains Software the actions to be implemented. incomprehensible even if it gets Installing dependable antivirus Communication protocols, accessed by unauthorised and anti-malware programs containment measures, and individuals. To prevent assists in identifying and recovery strategies ought to be unauthorised access, removing harmful software, encompassed. encryption techniques for both thereby safeguarding MSMEs data at rest and in transit against various types of Ensuring Compliance with Data should be utilised by MSMEs. hazards. Protection Regulations MSMEs must adhere to pertinent Network Security Measures Firewall Protection data protection regulations to It is crucial to secure the Firewalls function as a avoid legal consequences and network infrastructure to safeguard separating internal safeguard customer privacy. prevent unauthorised access networks from external hazards. Getting familiar with relevant laws and safeguard data. To Installing firewalls can hinder and implementing the required enhance the security of their unauthorised entry and screen precautions is crucial. networks, MSMEs ought to out harmful network traffic. deploy firewall technologies, The Role of Cloud Computing in secure wireless network Systems for detecting and Digital Security protocols, and systems that can preventing intrusions (IDPS) Improved security measures are detect unauthorised access The IDPS solutions check the among the many advantages of attempts. network traffic to identify any cloud computing. It is essential for suspicious activities and assist MSMEs to thoroughly assess the Choosing the Right Security in identifying and minimising security measures of cloud service Solutions for MSMEs any probable security providers during their evaluation MSMEs should choose suitable violations. process. Appropriate measures security solutions customised to ought to be implemented by them their requirements to guarantee Developing an Incident to safeguard data that is stored in comprehensive digital security. Response Plan the cloud. MSMEs should create a Conclusion Robust digital security becomes crucial as MSMEs adopt the digital age. In an ever more connected world, MSMEs can safeguard their data and privacy by comprehending typical risks, adopting optimal approaches, and selecting appropriate security solutions. Their sensitive information can be kept secure by them. When digital security is given priority, MSMEs can function with assurance, establish trust with customers, and lessen the likelihood of potential hazards.\u00a0 -VISHAL 130 \\\\ Small Enterprise \\\\ Jul 2023","","WHO IS A TEACHER COVER STORY: | EASE OF DOING BUSINESS & THE ONLY WHO IS A GREAT LYIOMIUT IS TEACHER? A teacher is a person who teaches us & then tests us on our understanding. A great teacher is one who first tests us & then teaches us. In fact, in our testing, he\/she is teaching us the greatest lessons of our life. Therefore if there is anyone around you who is constantly throwing a challenge at you, pushing you vibrantly, and testing you always without bothering how you feel at that moment, then understand that a great teacher is around you. A powerful great teacher knows one thing. He\/ she knows that in you being tested, you are learning the most powerful lessons of life. These lessons by great teachers remain with you for life & as you become a great teacher yourself by doing the same what a great teacher did to you, people will remember you after you are gone from this world. Whatever I am today is because of both these categories of teachers around me. Whether we want to acknowledge them, respect them, express it to them when they are alive & believe that without them we are nothing is left to our wisdom. May you become a great teacher to all who come in touch with you Santosh Nair Continuously Creating Fearless Confident People In An Ever Changing World 28 \\\\ Small Enterprise \\\\ Jun 2023","","Powering Digital Transformation for Smart Growth through data and AI-driven insights Consolidate Activate Analyze Audience Data True Omnichannel AI, Machine Learning & Management Orchestration Deep Analytics Get a single view of Reduce the cost of customer Detailed attribution analytics - customer acquisition Campaign\/Channel\/Customer Sharper segmentation Seamless, automated Customer journey analytics Progressive pro\ufb01ling campaign operations Descriptive, Predictive & Identity management Save cost of communication Prescriptive Analytics Highly contextualized engagement Hyper personalization Key Company Highlights What we enable Placed in 892+ Launched in Global partner with for Multichannel Marketing brands Hubs for six years in a row 30% Recognized by Customer Strategic partner with Serving 200+ Data Platform Institute cost savings brands worldwide 45% incremental ROI 1.8Bn audience engaged 23Bn communications\/week Our Experiences Copyright \u00a9 RESULTICKS Solution Inc | [email protected]"]