AMV Reddy - Astra Microwave - Elcina

• Financial constraints: Financial planning andmanagement is critical for SMEs to procure working andlong-term capital. Most SMEs face challenges incontrolling their cash flow, justifying capitalexpenditure, negotiating favourable deals and balancingquality and costs.• High processing and monitoring costs of loans to SMEs:This is the result of complicated loan disbursementprocedures.• Project preparation and evaluation: SMEs often lackthe ability to formulate a proper project proposal. NoProtection for cost overrun....loosing margin at the end.Potential for SMEs in the Defense Sector27 July 2012