MAM
The role of AI in shaping tomorrow’s workforce
The rapid advancement of AI technologies, particularly in recent years, has sparked both excitement and concern about their potential to replace human roles across various sectors. Tools like ChatGPT have demonstrated the ability to perform tasks that were once the exclusive domain of humans, such as writing, coding, and even creative endeavours like photography and editing. As AI continues to evolve, it raises a pressing question: Can AI truly take over human jobs, and if so, what does that mean for the future of work?
The introduction of tools like Chat GPT, Sora, GitHub and others has given us a peek into how AI can change the way we live and work. The tasks that used to take hours or days can now be completed in minutes. And this is just the beginning. As AI evolves, we will enable humans to take over multiple roles across fields. In industries like customer service, technical writing, and content creation, AI is already making inroads by handling routine inquiries, drafting reports, and even brainstorming creative ideas. ChatGPT and its peers are reducing the need for human labour in some areas, demonstrating AI’s potential to take on roles that involve knowledge-based work.
How well is AI doing our jobs?
At this very moment, 57 per cent of content on the internet that exists is generated by AI, according to a study by Amazon Web Services. Another report by Forbes stated that 90 pet cent of content on the internet will be generated by AI by 2025. Automation in manufacturing has already replaced many manual jobs with robots capable of performing tasks faster and more efficiently than humans, reducing costs and increasing productivity.
The field of programming, once seen as an impenetrable domain for AI, is now being influenced by it. Advanced AI tools can write code, assist in debugging, and automate repetitive tasks, making development cycles faster and more efficient. Companies are leveraging AI to handle everything from boilerplate code generation to automating the testing process, reducing reliance on entry-level programmers.
AI is also making headway into creative areas like photography and editing, once thought to be immune to the impact of AI. In photography, AI-powered tools can automatically edit images, adjust lighting, and enhance photo quality, removing much of the manual labour involved in post-production. Video editing, too, is being streamlined by AI, which can cut and arrange footage based on pre-set preferences. AI is also creating music, providing voice assistance, teaching some of the hardest subjects and many more things across many industries. If we assume AI is going to take over every industry at the same rate, most of the jobs we have today will be taken over by AI sooner than expected.
The reality of AI taking over our jobs
While some jobs will inevitably be automated and taken over, AI is more likely to reshape roles rather than eliminate them entirely. The World Economic Forum’s Future of Jobs Report highlights that by 2025, AI could replace 85 million jobs, but it is also expected to create 97 million new ones. This shift shows that the focus will be on changing the types of jobs people do, rather than reducing the number of jobs overall.
Moreover, no company can run entirely on AI. A recent incident of Microsoft’s “Blue Screen of Death” showed the dangers of over-reliance on technology. A faulty update from CrowdStrike caused a global outage, disrupting hundreds of planes, hospitals, trains, offices, and more. It was a clear reminder of the risks of depending too much on AI or any technology. To truly benefit from AI’s potential, we must combine its strengths with human oversight, ensuring a balanced approach as we move forward. From what we have seen so far, “AI won’t replace human jobs but the people who can use AI could replace them”. With evolving technology and workplaces continuously streamlining operations, we will need to adapt to the technology and upskill ourselves to become more efficient.
Conclusion: Will AI take over?
AI is undoubtedly transforming industries and changing the way we work, but a complete takeover of human roles remains unlikely—at least for now. While AI excels in automating tasks and replicating certain aspects of creativity, it cannot fully replace human ingenuity, empathy, and emotional understanding. The future of work will likely see a blend of AI and human collaboration, where AI handles repetitive and technical tasks, and humans focus on creative, strategic, and emotionally driven roles. As AI continues to advance, it’s crucial that employees and companies adapt, ensuring that the benefits of AI are harnessed while preserving the unique qualities that only humans can bring to the table.
The article has been authored by Mudrex CEO & co-founder Edul Patel.
Starting a business is one of the most financially demanding transitions a person can make. In the early months, expenses are immediate and often unpredictable, while revenue streams may take time to stabilise. For first-time entrepreneurs, securing small business loans can feel like a paradox: lenders expect a clean financial track-record before approving a loan, but the business cannot establish that track record without funding. Understanding the start-up lending environment in India and knowing the realistic funding options make this process far less daunting, allowing entrepreneurs to plan strategically.
Why Traditional Business Loans Are Harder for Start-ups
Most financial institutions require a minimum business vintage of 2 to 3 years before approving a term loan. This is because the first two years of operations carry the highest risk of failure. For start-ups less than 12 months old, traditional loan options are limited, and lenders often ask for substantial collateral to mitigate risk.
The vintage requirement is not arbitrary. Businesses that have survived their first two operating cycles demonstrate market viability, which significantly lowers the lender’s risk. Until this milestone is reached, entrepreneurs often rely on bootstrapping, personal savings, or alternative financing to build a stable business foundation. Understanding this reality helps first-time entrepreneurs set practical expectations when seeking funding.
Government-Linked Schemes for Startups
India offers several government-backed schemes to support first-time entrepreneurs. One such scheme is the Pradhan Mantri Mudra Yojana (PMMY), which provides collateral-free loans for micro and small enterprises in three categories:
● Shishu: up to Rs. 50,000
● Kishore: Rs. 50,000 to Rs. 5 lakh
● Tarun: Rs. 5 lakh to Rs. 10 lakh
These loans are available through eligible lending institutions, making them suitable for early-stage businesses. For first-time entrepreneurs, a Mudra loan not only provides initial working capital but also helps establish a credit history. Repaying a Mudra loan on time strengthens the entrepreneur’s profile and increases the chances of securing larger loans in the future.
Using Personal Loans to Fund Early-Stage Needs
When business loan eligibility is not yet established, a personal loan can serve as bridge funding. These loans are assessed on the individual’s credit profile and income rather than the business’s financial history, making them accessible to salaried individuals or those with a strong personal credit record.
Personal loans have limitations: the loan amount is capped based on personal income, and the interest rate is typically higher than secured business loans. Nevertheless, taking out a personal loan during the first 12 to 18 months can provide crucial support as the start-up builds its financial profile. It is especially useful for covering immediate expenses such as inventory, marketing, or office setup costs.
Alternative Financing Options for Startups
For start-ups that are not yet eligible for traditional business loans, other financing options are available through financial institutions. Many lenders offer startup-focused or small-business loans designed for early-stage businesses. These loans evaluate the entrepreneur’s personal credit profile, business plan, and projected revenue rather than relying solely on business vintage. Financial institutions such as Tata Capital provide these loans with minimal documentation and fast disbursal, enabling entrepreneurs to manage operational expenses, purchase equipment, or fund early growth initiatives without pledging collateral.
Some lenders also offer flexible loan amounts, quicker approvals, and streamlined processes, making them well-suited for first-time entrepreneurs. Exploring these options early allows start-ups to access working capital while gradually building a credit history that will support larger loans in the future.
Building the Right Financial Profile Before Applying
For entrepreneurs planning to apply for a business loan in 12 to 18 months, the preparation period is critical. Key steps include:
● Filing Income Tax Returns (ITRs) consistently and accurately from the first year
● Maintaining a clean current account with regular deposits and no overdraft patterns
● Keeping the promoter’s CIBIL score above 750
Lenders assess start-ups by examining these signals. Entrepreneurs who maintain financial discipline from the start will have stronger loan applications after two years. Additionally, tracking cash flow and avoiding irregular withdrawals can further enhance the business’s credibility.
Collateral-Based Options for Larger Requirements
Startups requiring larger amounts beyond government schemes can consider loans against property. These loans allow entrepreneurs to access larger amounts of funding at lower interest rates, as the property secures the lender’s risk.
This option carries significant risk: using personal or family assets as collateral can result in a loss if the business does not perform as expected. Such loans should be considered only when the business plan is validated, the entrepreneur has clear cash flow projections, and the repayment strategy is realistic. Careful assessment of risk versus reward is essential before pledging assets.
Practical Steps to Strengthen Your Loan Application
To maximise the chances of approval, entrepreneurs should:
● Maintain accurate financial statements, bank records, and GST returns.
● Avoid over-borrowing; apply for realistic amounts that match business needs.
● Keep personal and business credit profiles in good standing.
● Explore lenders that offer startup-friendly products.
● Be transparent and complete in all documentation.
Taking these steps early ensures a smoother and faster loan process when the business is ready for formal financing. A well-prepared application reduces processing delays and demonstrates professionalism to the lender.
Conclusion
First-time entrepreneurs often face a funding gap in the early stages, but it is usually smaller than it appears. Maintaining clean banking records, filing ITRs consistently, and exploring personal loans, government schemes, and alternative financing options help build a strong financial profile. Entrepreneurs who plan systematically from day one are better positioned to access formal credit sooner, giving their start-ups financial stability through small business loans.
The ideal time to start building a credit-worthy business profile is the very first month of operations, not when applying for a loan. By understanding available funding options and acting proactively, first-time entrepreneurs can confidently apply for a business loan and set their businesses on a path to long-term growth.
