According to the World Intellectual Property Organisation (WIPO) small- and medium- sized enterprises (SMEs) are the driving force behind a large number of innovations and contribute to the growth of the national economy.
SMEs represent over 90% of enterprises in most countries, worldwide.
However, ‘lack of demand’ and ‘shortage of working capital’ result in sickness in both the registered and unregistered small scale industries (SSI) sectors in India.
A World Bank Project on SME financing and development has pointed out that SMEs face finance constraint and smaller firms in India are the most adversely affected.
