IBM Global Financing To Help Indian SMEs Grow

IBM has demonstrated its commitment to small and medium businesses in India today by making available interest free financing on IBM software products. Credit-qualified businesses can now acquire this interest-free financing in India through IBM Global Financing, the company’s lending and leasing organisation.

According to the most recent census data, small and medium enterprises in India employ almost 60 million people spread over 26 million enterprises. In terms of economic value, this represents about 45% of the manufacturing output and around 40% of total exports of India.

But despite their important contribution to the nation’s economy, mid-market companies in India frequently do not get adequate support from banks and other financial institutions. This limited access to capital and knowledge restricts use of innovative technology which translates to constraints on modernisation and expansion.

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“In the current economic climate, companies need significant support to help fuel the Indian economic engine,” said Sapan Jain, Vice President, IBM Global Financing, India/South Asia. “IBM is committed to India’s growth and this offer will help companies thrive in an increasingly competitive environment. By providing financial resources, small companies will be able to innovate and grow faster,” said Jain.

For a client to determine their quarterly payments, they simply can take the total of their IBM Software purchase and divide by four. The program is designed to help spur innovation and drive economic growth by making capital and credit more easily accessible.

In addition, IBM announced earlier this year the availability of US$1 billion in financing, targeted directly at SMEs globally. This initiative will enable mid-market companies to take advantage of advanced technologies such as business analytics, robust network security and cloud, capabilities which have previously only been accessible to large enterprise customers.

IBM aims to help SMEs by making advanced technologies, once reserved for larger enterprises with large budgets, available at an affordable price both directly and through IBM Business Partners. Clients can now take advantage of these new technologies with zero interest and by simply making quarterly payments.