Digital transformation, financial discipline and market-led innovation are emerging as important drivers of growth for India’s micro, small and medium enterprises (MSMEs). The issues were discussed during SIDBI MSME Samwad, an initiative of the Small Industries Development Bank of India (SIDBI), featuring AI and quantum scientist Utpal Chakraborty and entrepreneurship mentor Suresh Mansharamani. Chakraborty, founder of Gahna AI Lab, said digital transformation required a change in organisational culture rather than simply introducing software or converting physical records. He advised MSMEs to adopt technology progressively, beginning with accounting, billing, inventory management and customer relationship management, while selecting scalable tools aligned with business priorities. The discussions examined the potential of artificial intelligence, automation and digital public infrastructure such as UPI, Aadhaar and ONDC to improve operations, expand market access and support decision-making. Cybersecurity awareness and data protection were also identified as increasingly important as enterprises become more dependent on digital systems. The experience of women’s apparel brand FableStreet illustrated how data analytics, technology-enabled supply chains and AI-based recommendations can improve customer understanding and operational efficiency. Mansharamani, co-founder of Tajurba Business Network, stressed the importance of identifying genuine customer problems and validating demand before committing substantial resources. He recommended market research, prototyping, customer feedback and a clear understanding of pricing and profitability before a product or service is launched. The mentor also highlighted working capital management, cash-flow planning, receivables monitoring, inventory control and cash conversion cycles as essential to business stability. The experience of electric vehicle charging company Statiq demonstrated how adapting business models to market requirements and aligning expansion with suitable financial partnerships can support growth. The discussions concluded that technology adoption, financial preparedness, mentorship, workforce development, cybersecurity and institutional support must advance together to help MSMEs build resilient and sustainable enterprises.