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Finance

Amazon to Invest $18 Billion This Year to Help SMBs in US to Scale Their Operations and Grow

Amazon (Photo Credits: Amazon, Facebook Page)

Seattle, September 2: E-commerce giant Amazon on Wednesday announced that it will invest $18 billion this year to help small and medium businesses (SMBs) scale their operations and grow. The firm stated that in the next 12 months, it will provide more than 5,00,000 SMBs in the US currently selling on Amazon, with online selling guidance, education, and support. Moreover, the company plans to onboard an additional 1,00,000 US businesses as new sellers in its store. Jeff Wilke, CEO Worldwide Consumer at Amazon, said that at Amazon, the mission is to be Earth’s most customer-centric company, and part of fulfilling that mission is connecting small businesses with customers.

Wilke made the statement during Amazon Accelerate, a three-day virtual summit for SMBs in the US that was kicked-off on Tuesday. Wilke further said that Amazon’s success is directly tied to the success of independent businesses across the US. “We are passionate about supporting small businesses, investing and inventing on their behalf to help them be resilient through COVID-19 and beyond,” Wilke added.

Despite the impact of COVID-19 has had on small businesses, many American SMBs selling through Amazon have experienced continued growth. The e-commerce behemoth has launched more than 135 new tools and services this year to help sellers manage and grow their businesses, including new ways to connect brands with customers.

According to a report by IANS, the company said it will spend an additional $100 million this year to promote small businesses during Prime Day and through the holiday season. Last year during Prime Day, third-party sellers – mostly SMBs – exceeded $2 billion in global sales. The report added that the third-party sellers continue to account for more than half of all units sold in Amazon’s store, and even during the pandemic, third-party sales continued to grow faster than Amazon’s first-party sales.

 

Categories
Finance

MSMEs Who Are Still Under Financial Stress May Get Another 6-Month Moratorium on Loan Principal Repayment

Currency (Photo Credits: Piklist)

Mumbai, September 2: Micro, small and medium enterprises (MSMEs) and Retail borrowers who are still under financial stress amid the coronavirus pandemic and are unable to repay their loans even after availing the 6-month moratorium provided by the Reserve Bank of India, may get another six-month moratorium only for principal repayments.

The news reported by Economic Times mentioned that Banks and NBFCs may give six-month moratorium on principal repayments for retail and MSME borrowers. The intention is to restructure loans for only those borrowers who really need restructuring, according to reports.

The six-month moratorium on loan repayments ended on August 31. However, borrowers who still feel that they can not start loan repayment now can approach their lenders for the restructuring of their loan.

The Reserve Bank of India recently extended the existing debt restructuring scheme for stressed MSMEs by three months to March 31, 2021, in view of the distress brought upon by the COVID-19 outbreak

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Finance

India’s GDP Contracts by 23.9% in Q1 of FY 2020-21, Worst in 4 Decades

GDP Contraction and Indian FM GDP Contraction- Nirmala Sitharaman.
GDP Contraction and Indian FM GDP Contraction- Nirmala Sitharaman.

New Delhi, September 1: The Ministry of Statistics and Programme Implementation (MoSPI) on Monday released India’s Gross Domestic Product growth for the first quarter of FY-2020-21 and it was found out that India’s GDP shrunk by 23.9 per cent. This is considered to the steepest fall in India’s GDP in the last four decades, which put India as the worst-performing nation amongst the highest several countries whose economies were sliced by the COVID-19 pandemic. In the previous quarter (January-march of FY 2019-20), India’s GDP growth rate was 3.1 per cent.

The data compiled by National Statistical Office (NSO) and published the Union Ministry, stated, “GDP at Constant (2011-12) Prices in Q1 of 2020-21 is estimated at Rs 26.90 lakh crore, as against Rs 35.35 lakh crore in Q1 of 2019-20, showing a contraction of 23.9 per cent as compared to 5.2 per cent growth in Q1 2019-20. Quarterly GVA at Basic Price at Constant (2011-12) Prices for Q1 of 2020-21 is estimated at Rs 25.53 lakh crore, as against Rs 33.08 lakh crore in Q1 of 2019-20, showing a contraction of 22.8 per cent.”

Adding more, the NSO stated that the GDP at current prices in the year Q1 2020-21 contracted by 22.6 per cent as compared to 8.1 per cent growth in Q1 Q1 2019-20. In the report, it added, “GDP at Current Prices in the year Q1 2020-21 is estimated at Rs 38.08 lakh crore, as against Rs 49.18 lakh crore in Q1 2019-20, showing a contraction of 22.6 per cent as compared to 8.1 per cent growth in Q1 2019-20.”

Earlier, the Union Finance Ministry rolled out Rs 20 lakh crore under ‘Atma Nirbhar Bharat’ stimulus package to compensate the loss due to COVID-19 lockdown. However, the overall GDP declined by 24 per cent, despite the government’s expenditure’s share in the GDP has gone up from 11 per cent to 18 per cent. Meanwhile, Moody’s Investors Service claimed that India, China and Indonesia will be the only G-20 emerging economies in the second half of 2020, post a strong enough pick up in real GDP.

Categories
Business motivation

Online business: 3 business ideas with great income potential

You have got to be living under a rock if you still are unaware of the benefits and securities that an online business offers! Almost 59% of the global population uses the internet these days and is extremely likely to conduct commerce online for most of their needs that could vary from something as complicated as buying furniture to as ordinary as ordering food.

No matter how much we crib about society these days, it’s the ultimate truth that this era is filled with opportunities for all the businesses to perform great online if done the right way. Both the health and the wealth of the consumers these days are pointing significantly towards the vast scale at which online businesses are booming and will continue to do so in the future.

Join us on this ride to catch hold of these 3 amazing ideas that despite requiring minimum to no investment, are promising enough to make good money.

 

Rock It With YouTube

It’s mind-boggling to see a hardcore corporate turn into a full-time YouTuber! Trust us, there have been many such cases where people preferred YouTube over any other job as it allows them to be themselves while making great money out of it.

If you are good at presenting your thoughts, if you love communicating with your audiences, and if you have a knack for editing and videography, YouTube is your jam. To start a YouTube Journey you need a recording camera and a decent understanding of some video editing software. Once you find your target audience and views start pouring in, you will be making somewhere around Rs. 1 Lac – Rs. 1.5 lac.

 

Inspire The Blogger Within

Who doesn’t love a good and compelling story? None that we can think of! Businesses these days have realised the power of storytelling and have been relying heavily on bloggers and writers to create compelling stories around their brand to introduce their product and service as subtle as possible.

If you are a good storyteller and have a unique style of writing, this might turn out to be the gold mine for you. Make your style your USP and brands would not hesitate to pay a hefty amount to honor your skills and worth.

If this was not convincing enough, hear this. A good blogger in India earns somewhere around Rs. 1.5 Lacs to 2 Lacs a month. We are sure this factor must have left you in two minds. Think about it.

 

Show Off Those Social Media Management Skills

Gone are the days when social media was just a digital way to connect with your social network. It has rather outgrown itself into this amazing and pocket-friendly marketing platform that almost all businesses are benefiting from.

For a brand that has a huge online following, it becomes overwhelming to handle all the social media channels, keeping up with the latest updates and trends, and simultaneously engage with the audiences. No matter how overwhelming it gets, it is not something that could be overlooked. This is where Social Media Managers come into the picture to save the day.

If you are a social media junkie and practically live your life online, you might as well make a living out of it! If you start as an individual, you can make up to Rs. 50,000 per month.

 

We understand that finding success online doesn’t sound that easy, but once you find your passion and interest, you will fall in love with the digital world! We need to realise the opportunity, especially now, when the playing field has been leveled for all the players. Keep in mind that success lies in knowing that you have stepped in a profitable field and how aware or up to date you are on the social media trends. All in all, just know that the consumer is online, and that is where you should be.

Categories
Motivational

Can Travel And Hospitality Sector Get Back In Business With Revenge Travel Amid COVID-19?

Empty Airports amid coronavirus pandemic (Photo Credits: pikist.com)

The hotel and the tourism industry was badly hit by the COVID-19 as businesses remained shut for several months. In view of the coronavirus pandemic, several people had to cancel their travel plans. Even though the numbers continue to rise across the world, however, the economies have started to open up.

The tourism industry is hopeful for a wave of ‘revenge travelling’ – people going on extra trips or splurging after the coronavirus crisis subsides because they have been deprived of it for so long.

What is ‘Revenge Travel’?

Revenge travel is a term that is being popularly used to refer to the time when people will plan extra travel and splurge as an act of revenge because they have been deprived of it for so long. The concept isn’t new. It has roots in the early 1980s in China during the devastating poverty of the Cultural Revolution where ‘revenge spending’ by consumers emerged.

With the ease in restrictions, urge among people to travel has increased

According to a report on Oaky, several surveys have been done to understand consumer sentiment. For e.g., as Wuhan’s lockdown is over and travel is opening up around China, and demand has been returning slowly. Mariott which had temporarily closed 90 hotels have resumed the operations in 60. Even though the occupancy is low, the business has started again.

According to a Washington Times report, in May, a report by McKinsey & Company found Chinese confidence in domestic travel had risen by 60 percent from its shutdown lows, as much of the country reopened. The report spoke about how travellers opted to stay close to home and go by car or train over flying. The hotels further opted for reduced capacity, mandatory masks and more stringent sanitation rules to lure the still-hesitant travellers, according to the McKinsey report.

Similarly, in India, which had undergone one of the strictest lockdowns in March has opened up its economy in phases. Hotels, lodges have reopened in the country with full attention to safety precautions and other measures.

The pandemic has caused the economy to come to a grinding halt with job losses, businesses being shut, furloughs and others. The coronavirus numbers have touched the grim mark of 25,664,094 figures across the globe as of Tuesday. However, with a slew of relaxations announced in several countries, it will be interesting to see if revenge travel can help the hospitality sector to get back to business amid the coronavirus pandemic.

Categories
Business motivation Strategy

Jio Platforms’ Success and Growth Gives Hope to Struggling Indian IT Vendors Impacted by COVID-19 Pandemic, Says GlobalData

Businesses (Photo Credits: Pexels)

Hyderabad, September 1: Owing to the COVID-19 pandemic, many Indian IT vendors are struggling, having been affected considerably over the last few months. However, Mukesh Ambani-led Jio Platforms has transformed into a tech juggernaut during this hour of crisis.Global technology companies have seen a surge in their valuation over the past six months – with the most notable example being Apple passing the USD 2 trillion mark in market capitalization (MCap) value.

On the other hand, many Indian IT vendors are struggling as they have been largely affected by the COVID-19 outbreak. While traditional Indian IT services giants have been waiting to tide over the impact of the pandemic, Jio Platforms has transformed into a tech powerhouse. A study by GlobalData, a leading data and analytics company, stated that while it may be difficult for others to replicate what Jio has achieved, the interest in Jio will definitely augur well for other Indian technology companies at a time when enterprises across the world are gearing up for digitization.

Nishant Singh, Director of Technology at GlobalData, said that while Indian IT vendors seeing such stark contrast to global counterparts is unfortunate, this is just the nature of the IT services business model, which, in contrast to software, needs projects in the pipeline. “With the COVID-19 outbreak, enterprises halted all non-critical expenses, including plans to upgrade or transform their IT infrastructure. This has had an impact on Indian IT companies, since most of their revenues are from IT services”, Singh said.

He added saying that a lot of the faith in global technology companies comes from the fact that they have a pretty robust suite of intellectual property, including hardware, software and ecosystems that serve consumers and enterprises alike. “The growth in stock prices merely reaffirms that technology companies – primarily ‘Big Tech’ companies – are well poised to tide over the pandemic-induced recession”, he said.

A report by news agency ANI stated that big IT companies such as TCS, Infosys, Wipro and HCL have traditionally been IT services giants. The report adds that unlike their counterparts in the software space, IT services companies typically do not have a large stash of intellectual property, making it slightly difficult for the market to distinguish between the IT services companies. Despite these struggles, the near future should see the market showing more confidence in the traditional Indian IT vendors.

Singh further added saying with enterprises across the world now gearing up for digitization, Indian IT services vendors are set to witness a lot of action. Coupled with the market euphoria witnessed for Jio, the technology landscape in India will witness a drastic revival in investor confidence.

Jio Platforms Limited is an Indian digital services company. It is a subsidiary of Reliance Industries Limited which was established in 2019. The company owns India’s largest mobile network operator Jio and other digital businesses of Reliance. On 8 May 2020, Jio Platforms was reported to be the fourth largest Indian company by market capitalization. Since April 2020, Reliance Industries has raised Rs 152,056 crore (US$21 billion) by selling 32.97% equity stake in Jio Platforms.

Categories
Startup

WakeFit is Back With Its ‘Sleep Internship’ for 2021; Bengaluru Based Startup to Pay Rs 1 Lakh For 9 Hours of Sleep For 100 Days

Wakefit (Photo Credits: Company website)

Bengaluru, August 31: Bengaluru based startup ‘WakeFit’ is back with its popular sleep internship, where they paid Rs 1 lakh for 9 hours of sleep for 100 days.

According to reports, the company has started the application process for 2021 and has asked for volunteers for their one of a kind internship.

The process to become an intern for this coveted role is not that easy. The applicants will have to prove to their bosses that sleeping is their topmost priority and that is what they love to do the most.

Last year, around 1.7 lakh participants had signed up, out of which only 23 interns were able to make it. The objective behind this internship is because the company plans to change the mindset towards ‘sleep’ and how it can be productive as well as healthy.

While the interns do the needful on the special mattresses provided by them, they will track the sleep patterns of each and every one of them for 100 days. During the internship period, the interns are also given guidance by sleep experts, nutritionists, fitness experts and interior designers to improve the quality of sleep in various aspects of their lifestyle.

Categories
Business motivation

Business From Home: 4 Ideas to Kickstart Your Home-Based Business

 

What could be more tempting than being the entrepreneur you always wanted to be and running the business in the comfort of your own home? Home-based businesses have not only helped professionals follow their passion and be their own boss, they have also served an even greater purpose – the purpose of making the women of India financially independent and stronger than ever!

With the help of this article, we are here to especially support the brilliant minds that have the passion, zeal, and zest to initiate a home-based start-up, but are faced with various inhibitions and constraints such as being a homemaker, inability to finance an office space, etc.

 

Personal Protective Equipment

Some samaritans started making these medical gear when our healthcare professionals, frontline warriors, and the common people were struggling with the shortage of masks and gloves amid the coronavirus pandemic. We eventually witnessed many people starting the business from home where they made the Personal Protective Equipment (PPE) and provided them to the needy. This movement not only helped the nation cope with the shortage but also helped many small entrepreneurs establish themselves and become independent.

 

Online Seller

The list of home-based businesses would always look incomplete if it doesn’t mention online business. Becoming an online seller on e-commerce platforms, such as eBay, has always been topping the list because of its viable nature. However, becoming an online seller requires you to stay on your toes always as customer satisfaction is what this business is all about. If you falter, the negative ratings start to pour in, tarnishing the image of your business. Nevertheless, if you are completely aware of the terms and conditions along with the refund policies, you will be successful despite the cut-throat competition in the market.

 

Digital Marketer

It wasn’t long ago that businesses were not that familiar with the concept and importance of digital marketing. However, with time, this field of marketing has prospered and how! It is not considered wise if a business doesn’t prefer digital marketing to promote and grow in today’s day and age. This global pandemic has taught us the importance of going digital and it is only a matter of time before digital marketing dominates the entrepreneurial world. Considering the immense and great money, it would only be wise to opt for this idea as it could be executed while staying home.

 

Graphic Designer

Now that the businesses rely heavily on digital marketing, the demand for eye-catchy graphics has emerged as the need of the hour. Corporations are ready to pay generous money to graphic designers who have the potential to deliver some great quality content that could help them promote their brand over digital media. If you have the right talent and an eye for appealing visuals, you could make a business out of it. Added to that, it doesn’t take you more than a laptop to kickstart the process. What more could you ask for?

 

No matter what your objective is, there is something for everyone. It doesn’t matter if you just want to focus on a business that brings you some good amount of money or just a business that supports your passion as well as helps you make decent money, you will be able to find something to do. There are n number of options available around you but figuring out the one for you becomes the actual challenge. However, if you have a clear vision and a goal to achieve, nothing will be able to stop you from reaching for the stars.

 

 

Categories
Startup

MSME Schemes by Modi Government for Entrepreneur Loans

You have brainstormed on the business idea, have your plan, have done your research work, and now want to start executing it. The hurdle you face at first is the lack of financial backing. One of the most necessary components of any successful start-up is the capital. We encounter entrepreneurs struggling with one obvious question, how to fund their start-up.

We are here with a solution to this problem. We realize it is tough to get a loan for a start-up, but it’s not impossible after all. With many government policies accessible to MSMEs and start-ups, you can climb this hurdle and reach your destination.

Here is a list of various Government Schemes which are surely advantageous for your start-up and can assist you to take the idea off the ground.

Stand-up India
The Stand – Up India strategy was launched in 2016 for financial assistance to SC/ST and Women entrepreneurs. It aids bank loans starting from Rs 10 Lakh to Rs 1 Crore. This option is available for domains of manufacturing, services, or trading.

One of the benefits of this scheme is that the loan amount will cover 75 percent of the total venture cost. The entrepreneur is supposed to bear a minimum of 10 percent of the total project cost as Stand – Up India Loan Scheme. Stand Up Scheme will be administered via the banks and to get the loan you will require collateral or a CGFSIL (Credit Guarantee Fund Scheme for Stand-Up India Loans)

Bank Credit Facilitation Scheme
For satisfying the credit requirements of small and medium-size industries, the NSIC has approved a memorandum of harmony with various national and private banks in India. This scheme proposes to provide various MSMEs with credit support.

This scheme offers unsecured loan facilities to the MSME business. They can avail terms of loans or working capital loans under this scheme, and it will be collateral-free or need of the third-party guarantee for availing credit.

Pradhan Mantri Mudra Yojana
Pradhan Mantri Mudra Yojana (PMMY) is contributing support to the MSME sector, which includes manufacturing units, food service, and small industries, including allied agricultural activities. PMMY scheme was launched in the year 2015, under various categories such as Shishu, Kishor, and Tarun. The maximum amount of loan that could be taken ranges from Rs 50,000 and Rs 10 lakhs.

To benefit from this scheme, one must be 18-year-old or above and have no defaulted loan repayment under their name. Any individual business owner could apply to this scheme, be it a private limited organization or a public sector company. Talking of the interest rate, it is nominal and varies from bank to bank.

Credit Guarantee Scheme (CGS)
The CSG scheme for MSMEs was established by the Government of India to provide them with collateral-free credit. One of the most exciting and essential features of this scheme is that it could be availed both by the existing startups and the ones that are still in the process.

The goal of the strategy is to decrease the stagnation of MSME growth, which has been adversely affected due to financial limitations. The lending is given to public, private, and foreign banks, with the regional rural banks.

You are required to analyze a few factors before applying for a business loan that works best for your start-up. Getting a business loan is not that difficult, but you need to do comparative research and figure out which financing option will work for you.
For the micro-enterprises, the government making all efforts to offer business loans to start-ups and MSMEs. We have mentioned a few schemes in the article, but there are more schemes launched by the Government for the benefit of the growth of the start-ups.

 

 

 

 

 

 

Categories
Finance Startup

PM Narendra Modi Urges Startups, Entrepreneurs to ‘Team Up’ Under ‘Vocal for Local’ Theme to Make India Atma Nirbhar in Toy Manufacturing Sector

PM Narendra Modi and toy shop in India. (Photo Credit: PIB/Facebook)
PM Narendra Modi and toy shop in India. (Photo Credit: PIB/Facebook)

New Delhi, August 30: Prime Minister Narendra Modi on Sunday during his Mann Ki Baat address urged the people of the country to become self-reliant in the toy manufacturing sector across the globe. He also urged the startups ‘team up for toys’ under ‘vocal for local’ theme to increase India’s share in the global market.

Highlighting the importance for making ‘toys for the world’, PM Modi said, “There has been a rich tradition of local toys in our country. Many talented and skilled artisans possess expertise in making good toys. We have given the focus on toys in the National Education Policy too. Learning while playing, making toys etc has been made a part of the curriculum.”

Urging the startups to be ‘vocal for local’ under the Atma Nirbhat Bharat initiative, PM Modi said, “I urge our start-up to team up for toys’, this also matches our call for a vocal for local. I urge our young brothers to make games in India and also on India. The global toy industry is over Rs 7 lakh crore but India’s share is very small; will have to work to increase it.”

Citing examples of the expansion of indigenous toy-making industries in India, PM Modi said Channapatna in Ramnagaram (Karnataka), Kondaplli in Krishna (Andhra Pradesh), Thanjavur in Tamil Nadu, Dhubri in Assam, Varanasi in Uttar Pradesh are recently developing as toy clusters. Apart from this, he said, “My appeal to the young talent of the country is Make Games Games in India and Make Games of India; it is said, Let the Game Begin…so come, let us play.”

On the issue of developing online games, the Premier said, “I call upon my start-up friends and new entrepreneurs to team up for toys; let us together make toys; it is time for local toys. You also come forward, innovate and implement something; your efforts in today’s small startups will transform into global conglomerates tomorrow and make a mark for India.”