Hi Modi Ji,
This is with respect to our very own Indian banking system.
We have a Cash Credit (CC) limit at a bank, which I can’t name for obvious reasons. The limit allotted was purely on the basis of our skills, documentation, and talent. Our startup has been in operations for nearly four years now. Along with tangible and intangible asset building and loads of research on e-commerce industry. After managing decent revenues with intangible assets, we applied for a limit extension to monetise the same and work ahead to achieve greater heights.
We do have circulars of the same bank talking about upliftment of startups. Moreover, you too have come out in support of Indian SMEs. Despite all the resources available for companies like ours in the country, the people at higher authorities, who are traditional bankers, have orthodox approach towards startups and complete ignorance regarding the digital landscape of retail sector.
After our four months of struggle to get the limit extension, following all the legal procedures as per Indian banking system, the answer we get is “E-commerce is nothing, and intangible asset building is never counted, and you have only made losses for these years, BUT WE WILL SUPPORT YOU.” I am sure people must have gone through similar situations at different levels in our country. But, my question is: If the government has launched circulars in support of startups and SMEs, and the banking system doesn’t agree on “e-commerce business”, what are we supposed to do? It’s pretty clear why Indian startups never get a push from our people. Either the bankers should be trained to understand startups and SMEs, or every Indian startup or SME should move their bases out of the country.
We need some support to create something different and valuable for the Indian e-commerce industry. We fail to do that due to lack of understanding, protocols and loads of corruption at the bank’s end.
People from across the hierarchy have harassed us and wasted our time for nothing. Hence, today I write this open letter to the Prime Minister of India. I will be further sharing the same views via my social channels, taking my team’s experience with Indian banks out so that other struggling startups and SMEs get our message clearly and take all the necessary steps to move out their bases if they wish to succeed and save time.
We need some action because this experience has not only drained us mentally but also left us speechless and full of demotivation. The patience is over.
Thanks,
A Female Indian Entrepreneur