Micro enterprises—typically those with fewer than 10 employees and limited capital—form the backbone of many economies, especially in developing countries. In India alone, hundreds of thousands of such businesses operate in rural and semi-urban areas, ranging from tailoring units and grocery shops to repair services and small-scale manufacturers. When these businesses seek growth, diversification, or operational efficiency, they often turn to consultants for advice. However, one common misstep is hiring corporate consultants—professionals who have only worked with large businesses. This often leads to poor results, wasted money, and even the wrong strategic direction.

Large companies function on complex structures. They have distinct departments for finance, marketing, HR, and compliance. Their decisions are slow, involve multiple layers of approval, and are designed for long-term strategic advantage.

Micro enterprises are the opposite. They are lean, quick to act, and highly sensitive to market changes. A fruit vendor or a home-run tailoring business cannot afford to implement a six-month plan or spend weeks on feasibility studies. They need solutions that are quick, frugal, and adaptable to shifting ground realities.

Corporate consultants, trained in structured frameworks such as Six Sigma, Lean, or Balanced Scorecards, may suggest high-level diagnostics or changes that require time, capital, and trained staff—resources that micro businesses often lack. On the other hand, consultants familiar with small businesses know how to give actionable advice within limited means.

Large enterprises often operate with ample capital, allowing them to invest in technology upgrades, new business verticals, and employee development programs. Consultants in this space are used to working with clients who have access to capital and credit.

Micro enterprises survive on cash flow. They often reinvest daily earnings back into the business to restock inventory or pay vendors. While organisations like VFS Capital help them with microfinance, the priority is survival and incremental growth, rather than long-term transformation through significant spending.

Corporate consultants may suggest investments in software, machinery, or team expansion that micro businesses simply can’t afford. A more relevant consultant—someone who understands how to double turnover without doubling the expenses—is far more valuable to a micro entrepreneur.

In large companies, consultants propose a strategy that is often executed by a team or department. There's a cushion of manpower to turn ideas into action.

In micro enterprises, the owner is often the manager, accountant, and marketing head—all rolled into one. There’s no one else to execute. So, any advice that cannot be implemented single-handedly or with minimal help is practically useless.

Consultants experienced with small businesses know this. They tailor their suggestions to be simple and executable, even if the owner is the only worker. For example, rather than suggesting a digital inventory system, they might advise maintaining a handwritten logbook with categories to reduce wastage.

Corporate consultants often use jargon-heavy language. Words like “synergy,” “benchmarking,” “core competencies,” or “resource optimisation” are common in their vocabulary. For a micro business owner, especially one who hasn't had formal business education, this can be alienating.

Consultants with grassroots experience speak the language of the entrepreneur. They understand what “selling on credit” or “stock lying idle” means in the day-to-day grind. This fosters trust and ensures better communication, both of which are vital for successful advisory work.

Micro enterprises thrive on practical decisions, real-time responses, and deep local knowledge. Their world is vastly different from the structured, layered, and capital-heavy world of large corporations. That’s why corporate consultants—no matter how qualified—often fail to deliver real value to micro businesses.

Consultants who have worked with micro enterprises bring relevant experience, realistic advice, and empathy.