Capital Quotient Launched Payroll Solution for SMEs & MSMEs

Capital Quotient has launched a payroll-based programme which aims at helping employees of Micro, small and medium-sized enterprises (MSMEs) in tier II and III cities of India.

IDFC Bank is its tech integration partner for nodal accounts. SMEs and MSMEs can now hope to create a savings fund with a little contribution per month and get a contribution from their employers as well. The app would be available in English, Hindi and Kannada.

Co-founder and CEO of Capital Quotient, Sousthav Chakrabarty said, “Capital Quotient as a company aims to spread financial literacy. With only 4 per cent of Micro, Small and Medium Enterprises (MSMEs) having access to a formal source of finance and even fewer with knowledge of saving options, creating awareness on the importance of saving is absolutely the need of the hour.”

He said, we have launched Siply App, so that even workers of small businesses can start saving and have financial security.

He further stated that a significant percentage of the population falls under the salary bracket of less than Rs 10,000, which is below the PF threshold and are generally overlooked by wealth management firms and agents. This is the section we are targeting with Siply.

Our first step is to educate the business owners, who we hope will help us reach out to a larger section of the population, clearing misconceptions of locking away a big chunk of one’s income to have a contingency fund, he added.

An IDFC Bank official said, “We are happy to associate with Capital Quotient to make a difference to the lives of the employees of SMEs. Business owners, especially from the manufacturing industry across the country have rolled out this programme for their employees with the objective of giving them a secured financial life. “

Capital Quotient is a Securities and Exchange Board of India (SEBI) registered investment advisor, whose revenue is generated directly from customers paying for their advisory services. Prominent investors include senior executives from Accenture, Marriott International and Ola.

The company has its headquarters in Bangalore and is planning to expand to 10-12 Tier 2 cities. Also, the company provides a full-stack service covering 20 asset classes including Mutual Funds, Asset Allocation, Tax Loss Harvesting, Retirement Plans, Stock Recommendations and Inception and Period Performance of Portfolios.