SME IPO: A GATEWAY TO GROWTH
India’s dream of acquiring a whopping 5 trillion economy needs a lot of hard work and efforts from all the sectors, big, small – you name it. Small and medium enterprises (SME) sector is a major contributor to development and growth of the country.
Currently its contribution in the GDP is about 29% which needs to grow exponentially in terms of revenue sharing, market capitalisation, etc. SMEs are one of the key drivers behind achieving this dream. Today the estimate number of SMEs in India are around 42.50 million. A staggering 95% of the industrial units in the country.
So What’s Stopping Us From Growing In This Sector?
Most of the companies lack funds for growth, expansion, research, and development; lack of network; brand credibility; lower market capitalization, etc. To mitigate the above concerns on the recommendation of Prime Minister’s task force in the year 2010 for setting up a platform dedicated for the SME sector. BSE and NSE the two major exchanges of our country launched their own platform known as BSE SME and NSE EMERGE to provide listing opportunities to the SMEs within minimum compliance and cost in comparison to the main board in the form of SME IPOs.
SME IPO is different from the mainboard IPO in various parameters.
This is where companies like Hem Securities come in, we make the process simpler for the SMEs in terms of raising funds. Hem Securities Ltd. is one of the eading IPO and MF Distributors in India. We provide corporate advisory to large Indian Corporates and SMEs. Our experience and expertise of over 4 decades, reveals that SME listing comes with tonnes of advantages. By listing on the exchanges the company not only receives additional funds for various growth activities but also helps in brand building, visibility, raises a company’s public profile among stakeholders, financial institutions, the media, etc.
It also facilitates strategic business association and tie-ups and generates new fund-raising options for future expansions. SME IPO is considered as one of the effective and economical routes to get the company listed on the mainboard.
Hem Securities Ltd. has filed more than 70 offer documents for IPOs, raised 60+ funds and our share in terms of companies listed in the SME market is a major 11%. In the year 2022, we pledge to grow ten folds and help more SMEs to come up with IPOs and indulge in the ever-growing legacy with our expertise.
“Launching an IPO for a company isn’t just a way of raising money but it is also a proof that the company has met certain standards of high corporate governance, transparency in finances and responsible leadership” – Gaurav Jain, Director of Hem Securities Limited.
HEM Securities Limited has a rich experience of handling large quantum of business valuation for start-up, mid and large corporates, with a presence in over 200+ business locations and trust of over 1 lakh clients, we could enable your dream business to grow big. To grow with us, consult us TODAY!