With a contribution of nearly one-third to India’s economy and creating about 11 crore jobs, India’s micro, small and medium enterprises (MSMEs) sector is a key element in the country’s growth story. Despite this, the sector continues to face challenges of inadequate and timely financial services that have led to inaccessibility to regular credit, which hinders their ability to implement emerging technologies and boost their growth.
Traditionally, major banks and financial institutions in India sought to serve MSMEs by extending their products and services, usually offered to large customers, to MSMEs. But given the singular nature of such businesses and their financial needs, it was prudent for lenders to adopt a different and a holistic approach rather than just targeting a few individuals or entities.
Keeping that in mind, YES BANK — one of India’s largest private-sector lenders — recently launched the YES MSME initiative that sought to empower MSMEs to clinch new milestones in their journey. The product proposition aims to ensure the speedy and easy access to funds, effective disbursals and encourage entrepreneurs to maximize their growth potential by helping them borrow, save, simplify, partner and protect themselves.
Through its offerings, the bank seeks to support manufacturers, those in the servicing industry, wholesalers and traders, retailers and professionals, among others. Here’s a closer look at each of these segmental services.
Being at the center of the economy chain that produces goods to be sold or marketed, manufacturers often have vast capital requirements. Their working protocols demand the easy availability of cash along with customised offerings. YES BANK’s MSME-focused products do just that by offering customized lending options, trade finance for export and import-exposed businesses along with digital offerings for companies to act on-the-go.
The economic growth of India in the past two decades or so has been spearheaded by the services space. YES BANK has sought to bolster its growth with tailor-made offerings that make up for a comprehensive product portfolio. Additionally, the lender has rolled out payroll solutions and forex services along with servicing the all-important need to have access to working capital loans.
For a segment that has the highest customer-facing exposure, YES BANK has sought to roll out products and services that will ease the burden of payments and receivables with curated offerings, four-n-one Point of Sale Solutions, Receive remote payments on POS through SMS Pay, QR Payments and more. Moreover, it has products such as SAFAL current account, smart collect statements, and a free UPI ID and QR-based payments with every account.
Wholesalers and traders
For entities involved in such businesses, apart from working capital requirements, trade finance platforms and forex services hold the key in their day-to-day transactions. Its products such as YES SAFAL Current Account helps businesses address various customized needs of themselves. With features such as same-day account activation, CA-FD sweep, and a whole gamut of merchant collection solutions, businesses can rely on their services for their banking needs. What’s more, the bank does not charge you service or transaction charges for the first month of banking.
Lastly, for individual or professionals-led businesses, the bank also has customized loans and current accounts on offer to help them tailor their financial requirements accordingly.
Being one of India’s top banks catering to crores of retail and business customers, YES BANK’s offerings go beyond just business banking too. Its YES ProBiz offers the services of experts on call and MSMEx – a panel of 60-plus experts on Udhyam registration, company setup , sales & marketing , accounting, among others. Moreover, it has partnered offers through Technology Solutions like Assisted Tax Filing with Clear tax, Accounting Book Keeping with Zoho Books, Payment Solutions through Cash free and more. The bank is ensuring reaching out an extra mile to offer its customers a wholesome and beyond banking experience to help their businesses thrive.