Aiming to boost and facilitate "speedy and easy access to funds" to micro, small and medium enterprises (MSMEs) sector, YES Bank has recently launched YES MSME.
With YES MSME, the private lender will provide "curated offerings to address both business and individual needs of MSMEs, nurture new age entrepreneurs and maximise their potential", LiveMint quoted the lender's statement.
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"The YES MSME proposition focuses on supporting MSMEs in expanding their business, sustaining momentum and accelerating growth through solutions across lending, deposits, insurance, customized and segmented digital solutions for retail, manufacturing, wholesale, trade and service providers. This also includes special current account offerings for the self-employed segment," the lender added.
Also, YES Bank will enable startups to avail up to Rs 5 crore collateral-free funding by reducing the turnaround time for processing MSME loans. Under the new initiative, the bank is offering pre-approved commercial credit cards, advisory and wealth management solutions along with dedicated relationship managers.
"The MSME sector is the backbone of the Indian economy and accounts for 30 percent of the economy creating 11 crore jobs so far. Investment in the sector is the need of the hour and we are hopeful that concerted efforts by the industry and the government will help expand it," the business daily quoted Union MSME Minister Nitin Gadkari as saying.
Managing Director and Chief Executive Officer Prashant Kumar said YES Bank MSME will improve access to finance for MSMEs and support their technology upgrade, among other customer-focused measures.
Key features of YES MSME:
a) YES Bank's easy borrowing channels offer customised funding for government schemes, trade and finance SME initial public offering (IPO), investment banking (IB), among others. Apart from this, for faster access, the bank is offering a dedicated MSME Cell, parameterised product solutions for ease along with quick fetching of GST/ITR details.
b) The bank will enable sweep-in facility from the current account to savings account/fixed deposit through YES MSME. Focused programmes for more savings like YES Premia, YES First Business and assets-focused loyalty rewards programme will be available for startups and MSMEs.
c) Collateral-free funding of up to Rs 5 crore for startups, along with consultancy and enterprise resource planning under YES Spark. Apart from this, digital payroll solutions and fintech partnerships will also be provided.
d) Through YES BizConnect, the bank will provide a collaborative solutions to build strong market linkages involving over 700 industry associations. Along with this, the bank will offer tech-based partner solutions, knowledge sharing via advisories, MSME newsletters and discussion forums.
e) Under this initiative, the bank will provide wealth solutions and investments.