Working capital facilities
Limits sized to the actual cash conversion cycle rather than a formula — the single most common source of avoidable operating strain.
MSME & corporate funding
Financing built around how MSMEs actually operate.
MSMEs form the operating backbone of Indian industry, and they are frequently assessed with tools designed for much larger companies. Preparation is what closes that gap.
Working capitalCycle-matched limits
Term financeMachinery and capex
CorporateMulti-entity structures
The MSME funding reality
Strong businesses, assessed by frameworks built for someone else.
MSMEs face a specific structural problem. Their financial reporting is often leaner than a credit process assumes, their collateral is frequently tied up in the operating business, and their promoters carry the whole enterprise personally in ways larger corporates do not.
None of that reflects on the underlying business, much of which is profitable, long-established and well run. But it does mean that MSMEs are routinely assessed as weaker than they are, simply because the case has not been assembled in the form the assessor expects.
A meaningful part of MSME funding advisory is translation: presenting a well-run business in the language and format that credit and investment processes are built to read.
On government schemes: various central and state schemes exist to support MSME credit. Eligibility criteria, coverage and terms change from time to time and are set by the relevant authorities and participating lenders. We help you understand what may be applicable to your situation and prepare accordingly — eligibility is never determined by us.
What we work across
Six requirements MSME and corporate clients bring most often.
Machinery & equipment finance
Asset-backed term facilities where the funded asset forms much of the security.
Expansion & capex funding
Term finance for capacity addition, new units or geographic expansion, tenor-matched to payback.
Scheme-linked facilities
Understanding which government-supported credit routes may apply and preparing accordingly.
Corporate & multi-entity funding
Consolidated structures for groups operating across several entities, where facilities have often accumulated unevenly.
Facility consolidation
Rationalising facilities accumulated over years into a coherent, better-priced structure.
Preparation
What tends to make the largest difference for an MSME application.
These are unglamorous and consistently decisive.
- Statutory, tax and management accounts that reconcile with one another
- GST returns and filings current, with no unexplained gaps
- Clean banking conduct, particularly in the preceding twelve months
- Documented related-party transactions and a clear group structure
- A working capital request derived from the actual operating cycle
- Realistic projections tied to order book, capacity and demonstrable demand
01
Requirement sizing
Establishing what the business genuinely needs, based on the operating cycle rather than a round number.
02
Structure selection
Working capital, term, asset-backed, scheme-linked or a combination — matched to purpose and tenor.
03
Financial preparation
Reconciling accounts, assembling supporting records and building projections that a credit team can follow.
04
Lender identification
Which lenders are genuinely active in your sector, ticket size and geography, including those beyond your existing bank.
05
Application & queries
Managing submission and the queries that follow, which is where MSME files most often lose momentum.
06
Sanction to disbursement
Coordinating conditions, security creation and documentation through to funds actually arriving.
Key considerations
Six issues that recur in MSME funding.
01
Under-sized working capital limits
A limit set below the real operating cycle creates permanent strain that no amount of good management resolves.
02
Personal guarantees
Near-universal in this segment and frequently accepted without full consideration of scope and duration.
03
Concentration risk
Heavy dependence on one or two customers is scrutinised closely. It can be mitigated in presentation, but not ignored.
04
Informal record-keeping
Undocumented arrangements that work internally become obstacles under assessment. Formalising them early is far cheaper.
05
Single-lender dependence
Staying with one bank purely through familiarity can mean materially worse terms than the market offers.
06
Delayed receivables
Public sector and large corporate payment cycles are a structural MSME issue, and financing should be structured with that reality in mind.
Questions
Questions we are asked about this
MSME classification in India is based on investment in plant, machinery or equipment together with annual turnover, under criteria set by the Government of India. Thresholds are revised from time to time, so current definitions should be confirmed against official sources or with your advisers. Classification affects eligibility for certain schemes and facilities.
We help you understand which routes may be applicable and prepare the case accordingly. We do not determine eligibility, administer schemes or influence approval — those sit with the relevant authorities and participating lenders, and criteria change from time to time.
It is a common starting point and usually workable. What matters is whether the underlying business is sound and whether the position can be presented coherently. Part of the preparation work is identifying what genuinely needs formalising before an approach, and what can simply be explained properly.
Yes. Multi-entity structures raise questions about inter-company transactions, consolidated exposure, cross-guarantees and where facilities should sit. Lenders assess group exposure as a whole, so structuring across entities deliberately rather than incrementally matters considerably.
Related
Explore related solutions
Most funding conversations touch more than one route. These are the ones most often considered alongside this page.
Funding an MSME or a group structure?
Send us the requirement and recent financials. We will tell you what a lender will focus on and what is worth resolving before you apply.