How Financial Consulting Companies Help Indian SMEs and Startups

Small businesses and startups in India often have money problems. They may not know how to save money, plan to grow, or get loans and investors. Financial consultants help by showing businesses how to spend money wisely, earn more profit, make budgets, and keep track of how money is used. They check past data like accountants but also plan for the future. They use information to find risks and chances to grow, make financial plans, get ready for investor checks, and connect businesses with investors. Consultants can help any business, big or small, manage money better, save costs, get funds, and grow faster.

Why Businesses Need Financial Consulting Companies

Many small businesses face:

• Trouble managing cash flow
• Difficulty getting loans or investors
• Poor decision-making because of limited data

Financial consulting companies help by:

• Making finance easier (finance transformation)
• Fixing inefficient systems (process re-engineering)
• Giving good advice and guidance on money

This helps businesses grow and see real results.

How They Help

1. Better Money Management

• They set up systems to show money coming in and going out.
• This helps avoid running out of cash.
• Example: A small factory in Pune reduced inventory costs by 15% in six months with a new system.

2. Reducing Costs and Making Profit

• They find waste in buying, production, or delivery.
• They teach startups how to budget and plan smartly.

3. Getting Loans and Investments

• They help businesses make strong proposals for banks or investors.
• They can also reorganise debts to make the business stable.

Why It Works

• Companies that improve finance systems get 4–7 times ROI.
• Better planning helps SMEs get more loans.
• Startups with consultants are more likely to get investors.
• Using data speeds up monthly reports by 20–30%.

Future of Financial Consulting

• Automation: AI and robots do routine tasks so humans can focus on planning.
• Predictive Analytics: Consultants use data to predict market trends and risks.
• ESG Focus: Consultants help companies follow environmental and social rules to attract global investors.

What to Track

If you hire a consulting company, watch:

• How long customers take to pay (DSO)
• Money tied up in business (Working Capital Days)
• How fast monthly accounts close
• Costs of finance operations
• Profit per employee
• Accuracy of forecasts
• Automation in finance tasks
• ROI from consulting

FAQs

1. What is the difference between a consultant and an accountant?

Accountants mostly look at past data, handle taxes, and make sure records are correct. Consultants focus on the future. They plan strategies to help a business grow and make better money decisions.

2. How can I see the return on investment (ROI) from consultants?

You can check if your business is:

• Making more profit
• Reducing costs
• Getting reports faster
• Successfully raising funds or investment

3. Are consultants only for big companies?

No. Consultants also work with small and medium businesses (SMEs) and startups. They help any company that wants to grow and improve.

4. What is finance transformation?

Finance transformation means making money management easier and more efficient. This can include using better systems, getting faster reports, and planning smarter for the future.

5. How do consultants use data?

Consultants look at trends, risks, and opportunities using data. This helps them give smart advice, suggest improvements, and plan for business growth.

6. Which areas do consultants focus on?

• Managing costs and spending
• Helping with fundraising and investments
• Creating budgets and forecasts
• Tracking performance
• Building strong financial leadership

7. Can consultants help startups get investors?

Yes. They can:

• Make clear financial models
• Prepare for investor checks

About LawCrust

LawCrust Global Consulting Ltd. delivers cutting-edge Hybrid Consulting Solutions in Management, Finance, Technology, and Legal to ambitious businesses worldwide. Recognised for our cross-functional expertise and hybrid consulting approach, we empower startups, SMEs, and enterprises to scale efficiently, innovate boldly, and navigate complexity with confidence. Our services span key areas such as Investment Banking, Fundraising, Mergers & Acquisitions, Private Placement, and Debt Restructuring & Transformation, positioning us as a strategic partner for growth and resilience. With an integrated consulting model, fixed-cost engagements, and a virtual delivery framework, we make business transformation accessible, agile, and impactful.

For expert legal help, please contact us:

• Email: inquiry@lawcrustbusiness.com