With economic recovery starting in September 2020 and the uncertainty of new coronavirus strains, the startups and micro, small and medium enterprises (MSMEs) are seeing growth for their business and the necessary funds as the top challenge.
According to a survey by community platform LocalCircles, about 28 per cent small firms posted raising funds or loans as a top challenge. Another 25 per cent are worried about finding growth. There were also 19 per cent firms who said they worry about the survival of their business, and 13 per cent maintained bureaucratic inefficiencies as their top challenge in 2021.
“Only 31 per cent of startups and MSMEs have cash reserves to sustain for more than 3 months,” said the survey.
Source: Business Standard