Micro, small and medium enterprises (MSMEs), are recognized as the backbone of the economy for several reasons. Firstly, they are major contributors to employment generation, providing livelihoods to a significant portion of the population. MSMEs have the capacity to absorb labour in both urban and rural areas, thereby reducing unemployment rates and fostering inclusive growth. Secondly, these enterprises foster innovation and entrepreneurship, driving competitiveness and creating a vibrant business ecosystem. They often bring unique ideas, products, and services to the market, injecting dynamism into the economy.
However, MSMEs with their limited resources and often constrained access to formal financial institutions, face numerous challenges in obtaining adequate financing. Traditional lenders often require collateral or have stringent eligibility criteria, making it difficult for small businesses to secure the funds they need to grow and thrive. This credit gap hampers their ability to invest in technology, machinery, inventory, and human resources, hindering their potential for expansion.
Recognizing the importance of MSMEs and the challenges they face in accessing financing, Kinara Capital has stepped in to provide a solution. The company offers collateral-free business loans specifically tailored to the needs of MSME entrepreneurs. By eliminating the requirement for collateral, Kinara enables small businesses to overcome the barrier of limited assets and secure funds based on the strength of their business model, the potential for growth, and cash flow. With their easily accessible loans, Kinara empowers MSME entrepreneurs to invest in their businesses, expand operations, hire additional staff, upgrade technology, and seize market opportunities. By providing timely and transparent financing, the company plays a vital role in bridging the credit gap and enabling MSMEs to reach their full potential.
Rafiq Mulani started out as a labour contractor before opening his own business, IMM Industries, which carries out welding and fabrication projects. He faced financial instability in the early stages of his business, owing to the limited capital and a small workforce, and struggled to expand his in-house production.
Seeking a solution, Rafiq approached Kinara Capital and shared his business goals and plans. Recognizing his determination and potential, Kinara representatives conducted a thorough evaluation of his business and provided him with a loan of Rs. 1 lakh.
With the financing support, Rafiq was able to hire additional workers and expand his production capabilities. As his business grew steadily, he approached Kinara once again, this time with a plan to purchase new machinery, and the representative from Kinara assured him of their continued support.
Rafiq soon secured another loan of Rs. 4.5 lakhs, enabling him to acquire the necessary equipment. With the new machinery in place, his workforce increased to 20, leading to further expansion and growth. As his production volumes grew, so did his profitability, and there has been no looking back for him since.
Rafiq shares, "Kinara Capital's assistance has been a game-changer for my business. Their support has been instrumental in our success, enabling us to expand our operations and grow our workforce. By recognizing my responsible track record and providing me with the financing I urgently needed, Kinara has not only helped my business grow but also motivated me to strive for bigger achievements. I am sincerely grateful to Kinara for their assistance and guidance on my path to success."
MSMEs play a crucial role in promoting equitable distribution of wealth and narrowing income disparities. By operating at the grassroots level, these businesses support local economies, empower communities, and contribute to the overall socio-economic development of the country. Kinara contributes to the growth and development of the MSME sector, fueling job creation, fostering innovation, and driving economic progress. By empowering entrepreneurs like Rafiq with the financial means to realize their aspirations, Kinara is strengthening the foundation of the economy and supporting the backbone of the nation.
Rafiq is one of thousands of entrepreneurs who have benefited from Kinara’s loans. If you are a small business entrepreneur, it’s time to get your growth journey started with Kinara Capital. To get a business loan for your small business, check your loan eligibility in 1 minute in the myKinara App by downloading it from the Google Play Store, with 7 language options available, choose your preferred vernacular. You can now get a business loan by giving a missed call on 080-68264454 and go from decision to disbursement within 24 hours.