DEVELOPING AN INVESTMENT ADVISORY PLATFORM FOR IDLE CASH MANAGEMENT IN SMALL AND MEDIUM SCALE INDUSTRIES (SMES)

Abstract

The thesis explores the journey of building an Investment Advisory Platform for optimising idle cash management in Small and Medium Scale Enterprises (SMEs). As we know, SMEs are an essential part of the Indian Economy, supporting it with around 45% in industrial production and 40% in total Exports. Even though they form such a crucial part, they face significant challenges when managing their assets and Portfolio. They tend to hold a vast number of idle cash in current accounts, which leads to missed opportunities for financial growth and increased vulnerability to inflation. Through a comprehensive literature review and user research, the reasons SMEs tend to hold up idle cash, the best possible solution they could hold up and their investment preferences and Behaviour were broken down. This includes the requirement of high-liquid debt funds, the ability to link transactions within their ecosystem, Compliance issues and lack of resources. To understand these issues, the proposed platform was equipped with a client assessment questionnaire, an investment recommendation engine, pre-composed investment bundles, and strategic fund collections to counter them. These features allow SME owners to overcome problems, cater to diverse investment strategies, and ensure regulatory funds. Adding to the technical features, the emotional aspects were taken into consideration. Branding and voice and tone design were given equal importance to cater to the emotional aspects of the user and make them like the platform. After concepts had been developed, perpetual and functional elements were made, which were then put together to complete the issues. Plans include enhancing platform capabilities, incorporating sophisticated analytics, and encouraging peer engagement among SME owners. This method provides SMEs with tools and expertise to ensure long-term financial stability and development.