Small and Medium enterprises(SME) generate 40% of GDP and 70% employment in India.
Large industry is mainly dependent upon SME sector for its chain supplies and services. Post
Covid, SME sector has been given boost by Reserve Bank of India through various concessions
like deferment of term loan instalments and 25% additional working capital limits. Still, the
SME sector’s growth has been hindered by limitation of debts funds due to banking norms on
collateral securities.
To overcome this limitation of funds availability to SME, SEBI (Indian Capital Market
regulatory authority) has opened capital market route to SME sector by allowing them to issue
shares by way of an Initial Public offering (IPO) in the lucrative capital markets in India which
would provide such companies with additional capital and funds for their expansion activities as
well working capital requirements. This route has the following benefits:
- Balanced financial debt burden on enterprises.
- Valuation of business.
- Exposure of SME products in large market.
- Listed shares to be treated as collateral securities for further funding
Our Services would include providing a comprehensive and guided experience to the entities throughout the process of the Listing of Securities on the stock exchange. Along with the above, we would also assist the company in understanding the intricacies and the requirements related to the compliances as per various regulatory authorities with relation to such Listing process.
Our services in relation to the SME IPO Services include the following:
Due Diligence for
- Regulatory compliance
- Indian GAAP and IFRS compliance
In Advisory service
- Devising efficient capital structure
- Business and share valuation
- Preparation of project reports
- Profiling business promoters and management
- Enterprise Risk Management
- Restated financial statements
- Listing agreement compliance
- Advising on corporate restructuring