Grading of NGOs

SMERA Ratings Limited

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Contents

About SMERA Ratings Limited

Concept of and Need for NGO Grading
Benefits of NGO Grading
SMERAs Grading Approach and Scale
Why SMERA Ratings

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About SMERA Ratings

Limited

A joint initiative by organizations of repute, led by

an experienced board
Accredited by multiple regulators - SEBI, RBI,
MNRE, NSIC
A presence across17 cities with a 300+ talent
pool led by experienced industry stalwarts

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About SMERA Achievements

MSME
Ratings
Bank Loan
Ratings
Microfinance
Grading
Bank Tie-ups

Around 30,000 entities rated across

100 + industries
Over 400 accepted ratings
cumulatively amounting to Rs
16000 crore
Graded over 70 MFIs across the
country
Over 32 MOUs with various banks
including preferential interest rate
tie-ups,
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NGO Grading Concept and

Need
What

is NGO Grading?

Assessment of the integrity, impact and implementation

efficiency of entities in the non-profit sector.

What

are the problems faced by NGOs and their

donors?

Limited resource availability for NGOs due to lack of

visibility.
Lack of confidence in decision making for donors.

What

is the need?

Improve visibility for NGOs and enable donors to take

informed decisions through independent unbiased
opinion.
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Benefits of SMERA Grading

For NGOs

For Donors

Create trust and

credibility

Greater confidence in
decisions

Self improvement tool

Benchmarking across NGOs

Improve visibility by
providing a platform

Improved governance in CSR

decisions

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Who Can Benefit From NGO

Grading
Trusts
Societies
Non-profit Companies

SMERA does not grade NGOs involved in religious

and political activities

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SMERAs grading approach

Resourc
e
Efficienc
y
Operatio
nal
Efficienc
y

IMPLEMENTATI
ON

Financial
Efficienc
y

IMPACT

SMERAs Grading
Approach

Governan
ce

INTEGRITY

Programm
e
Effectiven
ess

Value
Creatio
n

Reach

Managem
ent

Transparen
cy

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The Grading Process

Mandate
received

Information
sought

Information
received
Programme
visits

Committee
and grading
decision

Evaluation &
note
prepared

Management
Discussions

Grading
report
shared

Grading
report
published

Grading
communicat
ed
Grading
rationale
shared

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SMERAs grading Scale

Ratin
g

Explanation

NGO
Strong performance and sustainability
1
metrics
NGO
Healthy performance and sustainability
2
metrics
NGO Moderate performance and sustainability
3
metrics
NGO Satisfactory performance and sustainability
4
metrics
NGO
Weak performance and sustainability metrics
5
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Why SMERA Ratings Ltd

Strong brand recall in the donor community
Expertise in assessing organizations where information
availability and accuracy is a challenge
Experience at grass root level with enhanced focus on
softer issues like management, processes, operational
conduct etc. rather than pure financials
Grading framework developed in close coordination with
both the NGO and the donor community
Experienced grading committee comprising of industry
leaders
Pan-India network of highly trained talent pool

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Thank you
Contact Details

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