Collateral-free loans for growth and working capital available to support MSMEs helping to fight COVID-19 maintain their cash flow and grow their business
Bangalore, May 06, 2020: SOLV, a B2B digital platform for MSMEs backed by the Standard Chartered Group, in association with FICCI-CMSME, announced the launch of its COVID-19 Emergency Credit Line Program for MSMEs that are helping the nation fight the COVID-19 pandemic. The nation-wide lockdown has badly hit business sustainability for the MSME segment due to the lack of cash-flows to meet their fixed cost. In this scenario, the COVID-19 Emergency Credit Line is aimed at easing the financial pain being faced by the MSME sector, ensuring their growth is not hampered.
Using technology and an extensive partner network, SOLV’s COVID-19 Emergency Credit Line is set to rapidly address the urgent financing needs of MSMEs who are exploring ways of maintaining their cash flow and staying relevant in the new market conditions. Currently, there exists a gap in the market related to the supply of goods and services essential to fight and manage the pandemic, and the requirements are likely to continue over the mid-term horizon. MSMEs are increasingly aware of this opportunity and are gearing up to fulfil the new demands of the market. SOLV’s COVID-19 Emergency Credit Line will act as a catalyst in helping them get started and grow.
This new offering was launched at a webinar jointly organized by FICCI-CMSME and SOLV, which brought together various key stakeholders from the financial ecosystem to share their views and advice for MSMEs during these unprecedented times of crisis. Apart from members of FICCI-CMSME, the webinar included speakers from National Stock Exchange of India Ltd., Receivables Exchange of India Ltd., SIDBI, SBI and Care Ratings Ltd. and was part of SOLV’s on-going efforts to provide MSMEs with integrated, holistic solutions for all their business needs.
SOLV’s Founder and CEO, Mr. Nitin Mittal, observed, “This offering is in response to the acute need of financing that the MSME sector faces today. It is open to anyone in any industry who is either already providing or is willing to repurpose their business to provide goods and services that help in containing COVID-19; for eg. All types of PPEs, public space and food-grade sanitization solutions, ventilators & other medical equipment. These unsecured loans will provide MSMEs with the much-needed working capital they are looking for and ensure their wheels keep moving. With this basic requirement met, MSMEs can focus on capacity-building and growth over the medium-to-long term.”
Speaking about the COVID-19 Emergency Credit Line, Mr. Sanjay Bhatia, President, FICCI-CMSME and Managing Director Hindustan Tin Works Ltd, said, “FICCI-CMSME is happy extend this much needed and unique credit line to our members & allied bodies through SOLV. We believe initiatives like this are the need of the hour for this belaboured sector – both to provide an impetus to India’s fight against COVID-19 and to ensure that the MSME sector, which is India’s growth engine, is able to overcome the challenges posed by the economic fallout of the pandemic.”