Empowering Small Businesses: A Deep Dive into Kerala’s MSME Support Schemes

Objective: Micro, Small, and Medium Enterprises (MSMEs) are vital engines of employment generation, innovation, and balanced regional development. Recognizing their importance, the Government of Kerala has introduced several support schemes to strengthen entrepreneurial activity and promote inclusive growth. This study evaluates the awareness, accessibility, and effectiveness of Kerala's MSME support schemes in fostering business growth and sustainability. Research Approach: The study is based on a descriptive and analytical research design using both primary and secondary data. Primary data were collected from 115 MSME owners representing micro, small, and medium enterprises through structured questionnaires and personal interviews across selected urban and rural areas of Kerala. Secondary data were gathered from government publications, policy reports, journals, and official records. The collected data were analyzed using percentage analysis, ranking techniques, tabular presentation, and Chisquare test. Outcomes: The study found that awareness of MSME schemes is moderate among entrepreneurs, with 41.7% respondents reporting average awareness and only 27.8% demonstrating high awareness. Around 65.2% of respondents had utilized one or more government support schemes. Complex documentation procedures emerged as the most critical challenge, followed by lack of awareness, delays in approval, and insufficient guidance. A majority of respondents perceived these schemes as highly beneficial to business growth, productivity, and financial stability. Statistical testing confirmed a significant relationship between scheme utilization and business growth, indicating the positive role of government intervention. Research Limitations: The study is confined to selected regions of Kerala and relies on convenience sampling; therefore, the findings may not represent the entire state. Future research may include larger samples and interstate comparisons. Novelty: This research offers valuable state-specific evidence on how MSME support policies can create a more resilient, inclusive, and growth-oriented entrepreneurial ecosystem. It also provides practical insights for policymakers seeking to enhance the effectiveness of small business support initiatives.