Study on Challenges Faced by Micro, Small, and Medium Enterprises in Creditworthiness with Reference to Coimbatore

The MSME sector in Coimbatore, a global manufacturing hub, faces a systemic credit accessibility crisis despite high liquidity and ambitious lending targets. This study investigates the transition from traditional asset-backed lending to modern cash-flow-based underwriting. It identifies four critical dimensions of creditworthiness: information asymmetry, the collateral conundrum, revenue volatility due to order migration, and the "survival credit" trap. Utilizing a Triangulated Risk Assessment Model (T-RAM), the research analyzes how digital footprints, cluster-specific risks, and policy moderators influence credit access in the 2025-2026 industrial landscape. Findings suggest that digital formalization is no longer optional but a prerequisite for competitive interest rates.