Free website for small businesses, Google's initiative will be game changer for SMEs

 It's a clear indication of importance of India for Google, and how it is taking the market seriously. The search giant is now aiming to take more Indian SMEs online with an offer for a free website, domain and hosting services. 'India Get Your Business Online', as the program is named, is designed with local partners, and provides Indian businesses tools and resources to establish a website, find new customers, and grow their businesses.

15 minutes, is what Google has promised, will take for the website from sitting down to being found online. "The initiative aims to break down the barriers that stop small businesses from getting online - by offering a quick, easy and free tool to set up and host a website. Our goal is to help 500,000 small medium businesses in India to get online in next three years through this program, with our partner HostGator," Ranjan Anandan, MD & Vice President, Sales & Operations, Google India stated on the company blog.

Indian SMEs can logon to www.indiagetonline.in, to get registered in the initiative and get their free domain. They would need to furnish an ID document, either a Permanant Account Number (PAN), or Tax Deduction Account Number (TAN) or Corporate Identify Number (CIN).

The initiative is only available for Indian companies and so the PAN code is necessary to be submitted to establish Indian status of the company. They will be allowed to use the tool to get a free, easy-to-build website and web hosting for one year powered by HostGator. They will get a customized .in domain name and free tools, training and resources to succeed online.

"While India is home to an estimated 8 million small medium businesses, only about 5% have a website. This program is designed to bridge the information gap that exists online due to the lack of presence of local Indian businesses on the Internet.

Businesses often believe that getting online is too complex, costly and time-consuming; this perception prevents many SMBs from taking the first step towards building an online presence. Google India and HostGator plan to change that through this initiative," Mr Anandan stated.

Other features include photos/logos, integration with social media platforms, a free Google Apps account - with personalized email ids. Those aiming to tap online advertising, will get free tips and tools Google and free coupon of worth Rs.2500 advertising trial from Google AdWords.

HostGator will also offer free support in creating, hosting and managing the website for a period of one year its toll free call centers 1800-266-3000. After the first year, SMEs can choose to pay a monthly pay-as-you-go to maintain their website using hostgator. They'll have to pay a nominal charge if they wish to renew their domain name after a year. They can cancel their website at any time.

Courtsey - Economictimes.com

Green signal for public procurement policy, A boon for Micro & Small units

The Union Cabinet today approved the public procurement policy to boost micro, small and medium enterprises (MSEs).

Briefing reporters after the meeting, Information and Broadcasting Minister Ambika Soni said that all central ministries, departments and public sector undertakings to use the products prepared by these industries would be notified.

The MSEs, including the khadi, village and coir industries, constitute an overwhelming majority of this sector, contributing significantly to the gross domestic product, manufacturing output and exports.

In the overall production/value chains however, MSEs are highly susceptible to volatile market conditions. To address this inherent problems, many countries have put in place public procurement policies to support MSEs and to ensure a fair share of market to such entities.

Under the existing dispensation in India, the Government guidelines provide for support in marketing of MSE products through a variety of measures such as price preference, reservation of products for exclusive purchase from MSEs, issue of tender sets free of cost, exemption from payment of earnest money.

In practice, however, most of these facilities are not being provided to the MSEs by the Government Departments/CPSUs, etc.

BSE SME Exchange will take SMEs in next big leap.

SME Exchange is the future of SMEs - LaxmanGugulothu, CEO, BSE SME  

How different is the new exchange from the main board?

First, issues will be 100 per cent underwritten and this means that they will be 100 per cent success. Second, there will be support for three years in the secondary market through market making activity. Third, SMEs with a paid-up capital up to Rs 10 crore can list on the SME Exchange, compared to Rs 10 crore or more for the main board.

The listing norms have been simplified. The issuer has to take the approval of the exchange and Sebi approval is not required. A copy of the offer document will be sent to Sebi for information. Financial results are to be submitted on a half-yearly instead of a quarterly basis; and they need not be published, as required in the main board, but can be made available on SMEs’ websites. SMEs can send their profit and loss account and balance sheet to shareholders instead of the full annual report.


Issue expenses on marketing and stationery will be minimal. However, the issue will be charged for underwriting, sub-underwriting and responsibility of three years’ market making. The other major factor is that SMEs with paid-up capital between Rs 10 crore and Rs 25 crore have the option of listing on either the main board or the SME Exchange.

What kind of preparedness is required for listing on the SME exchange?
Keeping annual reports ready, documenting past performance, due diligence on the applicability of various regulations and approvals required from regulatory bodies, documenting the risk factors associated with the company and the external environment affecting the company.

How do you see the future of the SME exchange?
There has long been a need for an SME exchange to raise equity capital. The BSE SME exchange is going to bring the entire pool of investors on a single platform and it will be easier for SMEs to raise capital through this platform in a cost effective manner. And they have responded positively in a big way.

How is an SME exchange going to help smaller firms?
A dedicated exchange for SMEs will help them find a solution to their financial requirements for expansion. Listing on the exchange gives better valuation to a company. Debt and equity ratios will improve and the balance sheet will look much healthier. Transparency and corporate governance will improve.

Listed SMEs will gain visibility among investors, the investor base of the company improves, and listed companies will have easier access to alternate funding options. Banks, PE funds and other financial institutions will provide loans easily. Fundraising through ADRs and GDRs become easier. Companies can raise more funds through follow-on public offerings.

What is the outlook for market participants in the SME platform?
Merchant bankers are optimistic. Members who have experience of market making are optimistic about the scope of market making in this segment. As for SMEs, they are enthusiastic about the opportunity to raise equity capital.

What problems are likely to be faced in launching the exchange?
The concept of an SME exchange is new to the country. SMEs are not well informed on capital market issues and the modalities of raising equity capital. There is need for awareness programmes.

Merchant bankers have handled only primary market issues so far. On the SME platform, they will have to assist companies in the secondary market through market making for three years. Merchant bankers, issuers and market makers will have to work as a team for three years to make market making a success. This is a huge challenge.

Courtney- Business Standard and my personal interaction with Mr. Laxman Gogulothu

Without Dennis Ritchie, there would be no Jobs

Modern computing as we know it would not have existed without Dennis Ritchie, father of the C programming language and Co-creator of the UNIX operating system.


Dennis M. Ritchie, the inventor of the C programming language and
co-developer of the Unix operating system who influenced all facets of
technology, has died at the age of 70.
The Berkeley Heights resident played an important role in the development of software used in search engines and smartphones, had been battling cancer.
Mr. Ritchie went to high school in Summit before heading to Harvard. He began his career at Bell Labs in 1967 and was there until his retirement in 2007.

...for more...click on the following link

http://berkeleyheights.patch.com/articles/dennis-m-ritchie-software-creator-dies-at-70

Uday Varma is the new I&B secy

The Cabinet Committee on Appointments has cleared the name of Uday Varma for the post of secretary, information and broadcasting ministry.

Varma will take over from Jawhar Sircar, secretary, culture ministry, who was given additional charge as I&B secretary after Raghu Menon’s retirement on October 1.
Currently, Varma is secretary of ministry of micro, small and medium enterprises.

Uday Kumar Varma is 1976 batch Madhya Pradesh cadre, IAS officer. Varma holds Master Degree in Public Administration from the prestigious Kennedy School of Government, Harvard University, USA and is a Science (Hons) Graduate from Banaras Hindu University, Varanasi. He holds a Post-Graduate Diploma in French language.

He had a brilliant academic record and has been awarded Gold Medal for obtaining highest position in the University, and another Gold Medal at the Lal Bahadur Shastri National Academy of Administration on completion of his training.

Varma has served as District Magistrate and Collector in three districts of Madhya Pradesh, namely, Panna, Mandla and Bilaspur and held positions of Director, Handlooms and textiles, Industries Commissioner, Commissioner, Women & Child Development, Tribal Commissioner and Health Commissioner in the State of Madhya Pradesh.

In Central Government, he has worked at all levels including serving as Private Secretary to Union Ministers, and as Deputy Secretary/Director in the Ministries of Rural Development and Human Resource Development. He has served as Joint Secretary in Labour Ministry and as Additional Secretary and Special Secretary (since November 2009) in the Ministry of Information & Broadcasting. He has an outstanding service record.

Post Recession has Changed the SME Sector’s Approach

Sanjay Kumar is a social scientist working for enhancing profitability of SMEs and Employability of young professionals . An Economics graduate and an HR professional, he is a Certified Lead Assessor and has worked with Andersons Consulting Group; KPMG; Mercer for in-company projects related with Training & Development;  Manpower Optimization; Employee Engagement. 

 

Now working as Business Solution provider, Sanjay Kumar is also a trainer with more than 30 organizations. He has developed 3Ps project for SMEs i.e. enhancing productivity, performance and profitability of the organization through people and process improvement. He is also working for employability of young professionals.

 

In conversation with SME WORLD. 

 

1. What are the chief constraints faced by the SMEs sector in India?

 

The major constraint faced by SMEs in India is “Power” i.e.  

 

•  Man Power , 

•  Electric Power 

•  Money Power 

•  Purchasing Power

•  Political Power   

 

It is all a game of power. There is no skilled manpower to work. Manpower shortage is the bigger issue for those SMEs which have matured and willing to grow. 

 

Manpower in numbers is not a problem. The biggest problem faced by SMEs is skilled manpower – welder, fitter, and machinist. Despite being skilled, they have problems of attitude and lack motivation and the right mindset.

 

The middle level management is the problem. The single man keep running here and there. Whether we make a pen or an aero plane , the activities are same , only the magnitude / volume changes. Same we have to start from identifying the product , then developing it (engineering ) and sale of the product. There are 14 functions to be done the in the manufacturing organization. 

...for more click on the following link.
http://www.smeworld.org/story/focus/post-rescession-change-the-sme-sector-apporach.php

Who is MSME??

 

  It is a big question in India that who falls

  under this catagory.

  Definition of MSME sector is matter

  of debate and since 9th May 2007 when  the “MINISTRY OF MSME (MICRO, SMALL AND MEDIUM  

·  As per the Government rules the definition of MSME is as following.... ·         o    Manufacturing Sector Manufacturing sector refers to enterprises engaged in manufacture or production, processing or preservation of goods. Please refer First Schedule to the Industries (Development and Regulation) Act, 1951 for the list of eligible industries engaged in the manufacturing sector. The definition of Micro, Small and Medium Enterprises under the manufacturing sector is as below: i. A micro enterprise is an enterprise where investment in plant and machinery [original cost excluding land and building and the items specified by the Ministry of Small Scale Industries vide its notification No. S.O. 1722(E) dated October 5, 2006 does not exceed Rs. 25 lakh; ii. A small enterprise is an enterprise where the investment in plant and machinery [original cost excluding land and building and the items specified by the Ministry of Small Scale Industries vide its notification No. S.O. 1722(E) dated October 5, 2006] is more than Rs.25 lakh but does not exceed Rs.5 crore; and iii. A medium enterprise is an enterprise where the investment in plant and machinery (original cost excluding land and building and the items specified by the Ministry of Small Scale Industries vide its notification No. S.O. 1722(E) dated October 5, 2006) is more than Rs.5 crore but does not exceed Rs.10 crore.

·    Services Sector Services sector refers to enterprises engaged in providing or rendering of services. These will include small road & water transport operators (owning a fleet of vehicles not exceeding ten vehicles), small business (whose original cost price of the equipment used for the purpose of business does not exceed Rs.20 lakh) and professional & self employed persons (whose borrowing limits do not exceed Rs.10 lakh of which not more than Rs.2 lakh should be for working capital requirements except in case of professionally qualified medical practitioners setting up of practice in semi-urban and rural areas, the borrowing limits should not exceed Rs.15 lakh with a sub-ceiling of Rs.3 lakh for working capital requirements). The definition of Micro, Small and Medium Enterprises under the services sector is as below: i. A micro enterprise is an enterprise where the investment in equipment does not exceed Rs.10 lakh; ii. A small enterprise is an enterprise where the investment in equipment is more than Rs.10 lakh but does not exceed Rs.2 crore; and iii. A medium enterprise is an enterprise where the investment in equipment is more than Rs.2 crore but does not exceed Rs.5 crore.

   ENTERPRISES)" came into existence.