Punish shrewd delinquents Most of the 270 companies whom we have met over a period of 11 months as part of our survey said that one of the major reasons for their crisis is the payment default by large companies. Even those mid-sized companies which procured orders from cash rich public sector institutions face a different kind of concerns. Once their multi crore order is ready for delivery, the principle company which placed the order has to come for inspection. Payment crisis faced by micro small and medium enterprises (MSME) is still a big concern. The prevailing MSMED Act 2006 that dictates payment to MSMEs within 40 days of raising invoice is not sufficient to tackle the crisis. Shockingly, many of the MSMEs are still unaware of such law. Those who know it do not know how...
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