M1xchange Fuels MSME Growth in Gujarat, Spotlight on Surat

M1xchange has been pivotal in bridging the working capital gap for MSMEs through its digital solutions and Surat alone accounts for 10% of M1xchange's MSME clientele and contributes 15% to its total throughput value.

By TBT Web Desk On Jun 10, 2024

M1xchange Fuels MSME Growth in Gujarat, Spotlight on Surat — Sundeep Mohindru, Promoter & Director, M1xchange

SURAT, GUJARAT : M1xchange, India’s leading invoice discounting platform, is driving a significant surge in the growth of Micro, Small, and Medium Enterprises (MSMEs) in Gujarat, with Surat emerging as a key industrial hub. This growth is primarily fueled by the textile, infrastructure, and agriculture sectors, with promising developments also seen in the automotive and energy industries. Gujarat, which boasts the fourth highest MSME population in India, sees Surat contributing significantly with over 377,000 Udyam-registered MSMEs.

M1xchange has been pivotal in bridging the working capital gap for MSMEs through its digital solutions, facilitating faster onboarding and higher throughput value. Surat alone accounts for 10% of M1xchange’s MSME clientele and contributes 15% to its total throughput value.

“Surat’s MSMEs are on a remarkable growth path, fueled by the state government’s support and digital adoption,” said Sundeep Mohindru, Promoter & Director of M1xchange. “Our platform offers quick access to collateral-free and non-recourse working capital within 24 hours via invoice discounting, empowering MSMEs to scale their operations.”

The growth trajectory of M1xchange mirrors the national upsurge in invoice discounting via the Trade Receivables Discounting System (TReDS). The company has ambitious plans to onboard 30,000 more MSMEs in the fiscal year 2025, bringing their total to nearly 60,000. Additionally, M1xchange aims to incorporate 500 more corporates and 20 additional financiers, primarily Non-Banking Financial Companies (NBFCs).

Since its inception, M1xchange has facilitated over INR 1,00,000 crores worth of invoice discounting. The company targets achieving a throughput value of INR 72,000 crores in FY 25, significantly higher than the INR 43,300 crores in FY 24.

Expanding its scope, M1xchange recently introduced “M1xchange Small-Small,” a solution designed specifically for cash-flow-based financing for small MSMEs on the platform. This new feature underscores the company’s commitment to enhancing financial access for smaller enterprises, ensuring they benefit from the same rapid, collateral-free financing options as their larger counterparts.