How has Technology Redefined MSME Lending?

Differentiated underwriting, customized offering, flexibility, and fewer criteria for MSME loan eligibility are but a few reasons that make NBFCs a better choice for small organizations. Findings revealed that NBFCs demonstrated the lowest turnaround time for MSME loans which fell from 24 days in 2014 to 18 in 2018. (Stats from Economic Times)

As the most dynamic and promising sector today, MSMEs need easy, quick access to credit. With over 60 million MSMEs in India and a lending potential of 100bn that banks are unable to meet, they are forced to turn to informal sources of credit to finance their needs. There’s a wide gap between the demand and supply of credit in the MSME sector and NBFCs are well on their way to bridging it.

Technology and its uses have seeped into every industry across the board, each to different extents. The NBFC sector is no exception. Whether it’s the digitalization of documentation for paper-free processes or harvesting intelligence to deliver an exceptional, seamless experiences. The time has come for the leaders of change to adopt and implement technology to improve efficiency, accuracy, and speed and deliver value to their customers.

Against all odds, public deposits in NBFCs increased from $293.78 Mn in FY09 to $4.95 Bn (INR 319.05 Bn) in FY18.(sourced from Inc42, link mentioned) And, it might just have been the new financial technologies being leveraged that are responsible for this growth. Many NBFCs are strategically targeting this underserved market and leveraging technology to meet their needs. Let’s find out how tech is changing the MSME lending landscape:

Risk assessment

In the past, NBFCs depended on collateral and physical documentation to assess the creditworthiness of a small business. The birth of the internet and the domination of technology today has facilitated access to a wide range of formal and informal sources of data. It draws a clearer picture of the small business’ financial standing and allows financial institutions to assess their eligibility and take a call on whether the application should be approved or denied. This gives small businesses, with little to no formal proof of profit, the chance to become credible borrowers.

Documentation has gone digital, and processes online. While the migration of data to the cloud helps improve accuracy and speed of response, it inadvertently opens the organization up to a number of cyber threats. NBFCs must take the security measures necessary to safeguard their customer data, while they optimize the use of tech to simplify risk assessments and other operations.

Loan application process

Gone are the days when MSMEs needed to fill out a multi-page loan application or be present at a fixed location. Financial services technology has simplified the process to the extent of a few clicks. Additionally, it has the capacity to identify potential shortcomings related to the repayment of the debt and takes a call on whether to approve or deny the loan, almost instantly. The repayment process has also been simplified through the usage of UPI payment gateways that lets you pay both the principal and interest online.

Earlier the options available to MSMEs were limited by location, collateral, time, interest, etc. Technology gives customers access to lenders that were once out of their geographical reach and vice versa. NBFCs can now reach rural markets and provide services to the financially weaker and unserved markets like never before.

Challenges Faced

Technology is no longer the way of the future, but the way forward today. NBFCs that fail to recognize this critical shift, run the risk of extinction. Transformation is not possible overnight, it takes years of planning, implementation and course correction. There are a number of challenges faced by NBFC on the journey towards a digital tomorrow, some of which include:

Capital Intensity- Digitalization is a capital-intensive investment that a number of NBFC are unable to afford or unwilling to create a budget for. Many of them fail to see the potential impact and fear that it might be a risk too big to take.
Time and Man-power- Transformation is a time and effort consuming process that some NBFCs are unable to accommodate.
Stability- The NBFC market is currently in a state of influx, where most players are at a loss about what to do next.
The changes mentioned above have simplified processes, boosted the flow of credit and enhanced the overall loan experience for the MSME sector. It has also allowed financial institutions to launch MSME schemes that are customized to meet their needs. As one such NBFC, Capri Global is dedicated to empowering them with the finances to sustain and grow their businesses.

The contribution of the MSME sector to the GDP of India and the lending they receive from NBFCs, are both undeniable. Technology has become the stepping stone into the future and NBFCs that want to not just survive but win down the line have no choice other than walking the tech tight rope.

Best And Simple Makeup Tips To Make You Look Younger And Change The Game

Makeup is the most important part of a woman’s life. Makeup can change so much yet make it so subtle. Women have difficulties to learn makeup and with time they pick up important pointers for makeup. What if it was completely simple to know the best makeup tips and not have to go through the embarrassment of bad makeup day. It is easy and effective to have a great makeup and look young.

It is essential to take it easy and keep the makeup simple and nude. This will help to accentuate the features and not make the face look cakey. This is one of the natural tricks to make the skin appear beautiful. It should be used for effective results. These are one of the best make up tips to look younger.

The use of coconut oil is useful to accentuate the eyebrows and eye lashes. It will help to make them appear thick. Thick eyebrows and eyelashes give the effect of making them look young. These are one of the simple make up tips to look younger. It should be adopted for great results.

The use of crushed coffee powder as bronzer to accentuate the jaw line is useful for added benefit. These are one of the easy make up tips to look younger. It should be adopted for fast results. It is the natural method and should be used for positive results.

It is important to use an eyelash curler, shimmering shadow, mascara, and brow powder. This can help to make the skin look young. It will make the clock turn backwards by making the skin look naturally beautiful. It helps to make the skin look clear and the eyes pop out. These are one of the simple make up tips to look younger. It should be adopted for fast results.

It is advised to make use of nude lip liner as age has an effect on the lip lining. Lip lining becomes faded and there are higher chances that the lipstick is prone to bleeding. These are one of the popular make up tips to look younger. It should be followed for great results.

The use of beetroot juice as the mild blush is preferable to be used for naturally radiant looking cheeks. It helps to accentuate the cheeks and helps to make the cheeks appear bright and young. It gives the natural glow to the face without making it look dull. These are one of the effective make up tips to look younger. It should be adopted for fast results.

The Process Of PCB Assembly Services

A self restricted module of interconnected electronic elements forms a PCB. Printed circuit boards are created with the assistance of a thin layer of conducting material, either printed over the surface board, or conducting element. And a printed circuit board with populated electronic elements is known as a PCBA or printed circuit board assembly. PCB assembly services are the need of the hour.

Printed circuit board fabrication requires to follow a certain process, bearing in view all the minute details of its development. To carry out the creation of board, you are required to follow a few steps. Following are a few steps needed in circuit board fabrication:

Set up – The procedure of circuit board fabrication could hurt you in a gradual way, if not carried out correctly. Hence, you are required to watch over some fundamental things such as procedure, material needed, client specifications, and majorly client’s contentment.
Soldering – Soldering does not literally imply engraving, nevertheless has to carry out something with it. In this, copper as well as other traces in line. Nevertheless, enhanced and fresher processed utilize plasma or later soldering rather utilizing chemicals for circuit board fabrication.
Engraving pictures – In this step, a photo mask is combined with chemical etching so as to reduce the copper areas from the PCBs.
Manifold layer pressing – One of the most significant steps in printed circuit board fabrication. This implies aligning of conductive copper as well as insulating di electric layers. This is carried out to create a robust board material.
Drilling – Rather obviously, this comprises drilling of holes as well as the info is on stored over the location, where the hole is thought to be drilled.
Masking – A defensive layer is applied on the copper that has a thin layer of etch mask & copper traces across it. This is known as masking.
Finishing – In this step, the pad areas are covered with a thin etch layer. This is carried out so as to create the board for wave etching.
Testing and inspection – This is the eventual blow where you are recommended to check the continuity or shorted printed circuit board fabrication connections. To carry out this, you are required to apply voltage between the points.
Printed circuit board fabrication calls for every seconds in designing as well as circuit board fabrication is foremost step of printed circuit board fabrication which is carried out extremely cautiously.