SMEs SHIFT TOWARDS MAINBOARD EXCHANGES
Entrepreneur magazine|June-July 2023
Till a decade back, the vast SME sector of our country had limited options to raise funds for their businesses. It had no access to the capital market route. However, things changed in 2012, when the BSE and NSE introduced SME exchanges on their platforms. It saw SMEs, the backbone of the Indian economy, getting a major boost in terms of viable and sustainable options to raise funds from the capital markets
PRIYA KAPOOR
SMEs SHIFT TOWARDS MAINBOARD EXCHANGES

Since their introduction, both platforms (BSE and NSE) have seen a number of SMEs getting listed and this number keeps increasing year over year. During 2022, the BSE platform witnessed the listing of 50 companies that mobilized a total capital of INR 694 crore from the market. This is nearly double of what was registered in 2021, (27 SMEs listing and mobilization of INR 382 crore). In case of NSEs, 109 companies got listed in 2022, compared to 59 in 2021. The need for a separate exchange for SMEs has been felt worldwide. At present, over 20 economies operate separate SME exchanges, including China, London and Korea.

“SME and start-up companies in the formative years find it challenging to raise resources for their passionate projects. Even when they can raise from banking and other debt channels there is inherent commitment on interest outflow without being certain on outcomes of the project. In that sense BSE SME segment provides a good opportunity to raise risk free capital which allows more scope for growth of business,” says Sameer Patil, Chief business officer, BSE Exchange.

MOVING TO THE MAINBOARD-A STEP FURTHER

Of the total 439 SMEs listed on the BSE SME index so far, more than one-third (173) companies have migrated to the BSE Main Board already. Same holds true for NSE platform, wherein it has seen migration of over 130 companies out of a total of 324. In FY 202223, as many as 34 have made a switch on the BSE platform. “The migration is aligned with our expansion and future plans of the company which are in line with the SEBI guidelines for main board listing,” says Shalin Sheth, Founder and Managing Director of Advait Infratech Limited, a leading company in product solutions for Indian power and telecom infrastructure projects, which recently announced its migration to mainboard from BSE SME. The company got listed on the BSE in 2020, almost eleven years after its inception.

Bu hikaye Entrepreneur magazine dergisinin June-July 2023 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

Bu hikaye Entrepreneur magazine dergisinin June-July 2023 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

ENTREPRENEUR MAGAZINE DERGISINDEN DAHA FAZLA HIKAYETümünü görüntüle
How To Ask Family For Money
Entrepreneur magazine

How To Ask Family For Money

Your friends-and-family fundraising round doesn't have to be scary and awkward. Here's advice from one of the world's leading investors.

time-read
3 dak  |
November 2024
Data Breach Drama: When Trust Turns Costly In A Digital Age
Entrepreneur magazine

Data Breach Drama: When Trust Turns Costly In A Digital Age

Amid data breaches surges, Indian businesses are prone to financial and reputational fallout. Can cyber insurance emerge as a safeguard?

time-read
4 dak  |
November 2024
THE TERRAIN TAMER
Entrepreneur magazine

THE TERRAIN TAMER

Spearheading a California-based, Series D SaaS company is no easy feat. It requires a blend of ownership, innovation, and the ability to handle stress. But Anand Jain, co-founder and chief product officer of Clever Tap, finds his calm by escaping to rough terrain whenever he gets the chance-be it India or Colombia.

time-read
2 dak  |
November 2024
THE INTELLIGENT READS
Entrepreneur magazine

THE INTELLIGENT READS

Hardika Shah founded Kinara Capital in 2011 with the mission to address the acute credit gap in the micro-small-medium-enterprises (MSME) sector in India, by providing fast and flexible business capital to small business entrepreneurs. Despite operating in highly competitive and tough market of collateral free loans, Kinara Capital has been steadily growing in Hardika's leadership. In conversation with Entrepreneur, Hardika shares insights on her favourite books.

time-read
1 min  |
November 2024
THE CURSE OF GROWING TOO FAST
Entrepreneur magazine

THE CURSE OF GROWING TOO FAST

FAIRE is a platform for small businesses, but it grew big the wrong way-almost becoming a $12 billion wreck. Here's how it fixed the problem, and why you should think twice before skyrocketing.

time-read
10+ dak  |
November 2024
There's No Perfect Answer
Entrepreneur magazine

There's No Perfect Answer

I worked the same job for 19 years. I hated it, but it paid the bills. Then, in 2017, I entertained an exciting but terrifying question: Could I be an entrepreneur? I wasn't sure, so I needed something that felt like a guarantee. I searched for signs that would feel like a big, clear \"yes!\"

time-read
1 min  |
November 2024
Give Yourself the Gift of Time
Entrepreneur magazine

Give Yourself the Gift of Time

Happy holidays! Emmy Award-winning tech expert Mario Armstrong has five recs to get more hours in the day.

time-read
2 dak  |
November 2024
How to Become a Main Street Millionaire
Entrepreneur magazine

How to Become a Main Street Millionaire

It started when I bought one little laundromat. Now I have a whole portfolio of small local businesses that bring in tens of millions in revenue a year. Here's why following my playbook could be your ticket to financial freedom-and saving America's local small businesses.

time-read
5 dak  |
November 2024
Want to Better Serve Your Clients? Become Them.
Entrepreneur magazine

Want to Better Serve Your Clients? Become Them.

As a designer for brands, starting my own product company gave me a dose of humility-and it changed the way I relate to clients.

time-read
3 dak  |
November 2024
How to Succeed With Gen Z Workers
Entrepreneur magazine

How to Succeed With Gen Z Workers

People often say that younger employees are different. But are they? We asked six business leaders what they've learned, and how their teams thrive.

time-read
2 dak  |
November 2024