Every SME is looking for unsecured funding to help seed, restructure or grow their business - especially in a tight economy like today. One of the true unsung heroes of the American dream story for entrepreneurs before this current recession was the role that the Small Business Administration (SBA) played in helping small businesses get funding to grow their businesses. Microsoft, HP and Nike were all early beneficiaries of SBA loans and look where they wound up. This US Federal Government Agency underwrites a loan though a bank so that 85% of the risk is covered. This allows businesses with little or no collateral and assets to secure sizable unsecured loans from a participating bank that under normal circumstances would immediately say no. The good news is that India has its own SBA – its called the CGTMSE – and for some bizarre reason it is one of the best kept secrets around.
Welcome to the Credit Guarantee Fund Trust for Micro and Small Enterprises. Small Indian businesses with feasible business plans but little collateral can get up to Rs 50 Lacs in funding without any security and with the government underwriting 75% of the risk. You will hardly find a bank promoting this actively as the scheme requires time and effort and the bank makes less money on the transaction. But entrepreneurs should know about it as the cost is cheaper and the risk is less. For a one-time fee of 2%, businesses can secure up to Rs 50 lacs with no collateral and no large deposits.
So what do you do now – well first find a partner bank – see the list and all related information at the CGTMSE Web Site or call 022-2564 1803/4/5 – and then go see them, discuss the scheme and push them to process the application. You never know….

In a sizzling property market, architect Manit Rastogi at MD Morphogenesis has created some of India’s coolest buildings, using recycled water, wells, wind tunnels and sun screens to chill work places and slash energy costs.
For a designer or advertising creative, India is a pretty exciting place to be right now. Rapid commercial growth has prompted an unprecedented client demand for design and advertising skills, while those creating the work find themselves in the exhilarating position of being able to shape and redefine India’s new identity, both within the country and internationally. All this change has occurred rapidly, however, at a pace that is perhaps too fast for an industry, in graphic design at least, that is still finding its feet. Design is still often misunderstood as a profession, and with a dearth of decent design schools in the country, graduates are finding that they often receive their real education on the job, a position that stretches already overloaded designers even thinner. The bounteous amount of work has also led the lines between advertising and design to blur, with ad agencies, which are far more established and recognised within the country, tackling aspects of assignments more traditionally found within the design domain. And, of course, overseas networks and companies are also edging in, keen to pick up a slice of the action.