India, June 30 -- Financial visibility must also become a priority. Encouraging record-keeping, separating business and household transactions, and building transaction histories linked to the entrepreneur herself can significantly improve assessability.

Credit literacy deserves dedicated attention. Entrepreneurs need to understand bureau reports, credit scores and their rights within the financial system. Equally important is the availability of navigation support to help them address documentation gaps, complete registrations and resolve procedural bottlenecks.

Financial institutions, too, have a role to play. Traditional underwriting methods often fail to capture the realities of nano enterprises. Cash-flow-based assessments, alterna...