Finance Minister on Wednesday revealed the first tranche of financial relief package in order to help revive crisis-stricken MSMEs (Micro, Small, and Medium Enterprises). She announced ₹3 lakh crore of collateral-free loans for small businesses, cut the tax rate for non-salary payments, and provided liquidity to non-banking companies to help them tide over the disruptions caused by the lockdown.
Here is how different tech start-up MSMEs reacted on the relief package announced by the Centre:
CloudConnect Communications
CloudConnect India’s first end-to-end cloud and mobile app-based PBX and digital unified communication service. As the country’s only regulatory compliant mobile-first virtual network operator, CloudConnect is focused on digitalizing small and medium enterprises (SMEs), very small businesses (VSBs), and small office home office (SOHO) setups that form the very backbone of the economy.
Commenting on the package, Raman Singh, co-founder and CRO, CloudConnect Communications said in an official statement: “Amid these bleak times, today’s announcement by Finance Minister Nirmala Sitharaman comes as a bright ray of hope. The provision of collateral-free loans to the tune of ₹3 lakh crore for MSMEs will provide a much-needed fillip to the small businesses that form the very backbone of the Indian economy. Further, the infusion of ₹50,000 crore through the MSME fund of funds will bolster the country’s flourishing start-up landscape.”
Aiisma
Aiisma is a data marketplace. The Aiisma data ecosystem is amongst the first of its kind and rewards users for consensually and anonymously sharing their data with businesses in need of real-time, structured, filtered and legal data to improve products, services, and growth, company stated in the website.
According to Ankit Chaudhari, Founder and CEO, Aiisma, some of the basic tenets of MSME economy that will enable greater immediate liquidity at some ends with moves like collateral-free loans, lower TDS deductions & extended tax timelines is visible in the declarations. What remains to be seen is the detailed roll-out of the loan eligibility schemes etc as well as if the immediate reduction in TDS liability really ends up in market liquidity as it still continues to be a liability.
Staqu
As a Gurgaon based Artificial Intelligence start-up, Staqu strives to utilize technology in solving real-world problems. The company provides state-of-the-art image recognition, language-independent proprietary speaker identification, and text processing, including sentiment analysis, text classification, and summarization.
Atul Rai, Co-Founder & CEO of Staqu commented on the relief package and said that it will strengthen the MSME industry which has been going through a period of turmoil. The ‘Vocal for Local’ is, moreover, a great initiative and will provide the necessary impetus to PM’s vision of a self-reliant India. “We are hopeful that these steps will help boost the market and act as a catalyst in positioning India as a leading manufacturer of goods and services,” he added.
Haptik
Haptik is a conversational AI company. The company’s intelligent virtual assistant solutions enable Fortune 500 brands globally to enhance customer experience while saving costs and increasing sales, the company stated on its website.
Reacting on the announcement, Aakrit Vaish, Founder and CEO, Haptik said to media: ''The reduction in EPF contribution will help employees increase their take-home pay and provide relief to employers. With more cash in hand to the salaried employee, consumer spending is likely to improve.''
Khabri
Khabri is a digital audio platform providing content in the regional language. It is the first audio platform to discover, listen, and create audio content in an Indian vernacular.
Pulkit Sharma, Co-Founder and CEO, Khabri said in an official statement on the relief measure: “As part of the Indian start-up ecosystem, we feel the government has taken great measures for MSMEs. Measures like equity infusion & collateral-free loans will help MSMEs who are in dire need of money and help them sustain through this crisis and avoid closure.”
Ambrane India
Ambrane is an indigenous electronics brand that aims to offer smart electronic gadgets.
Speaking on the relief package, Ashok Rajpal, Managing Director, Ambrane India said in the official release: “We as an MSME appreciate and welcome the relief package announced by our finance minister. We look forward to the relaxations that were suggested today and are quite hopeful that the relief will definitely help in abating the economic severity of the corona pandemic, and will act as a stimulus to revive the economy.