# What does a lender look at to judge if an MSME is ready for climate-linked finance?

Canonical: https://senseible.earth/answers/climate-finance-readiness-check-msme

Clean records first: monthly energy and fuel data from bills, an emissions estimate that traces to those bills, a defined project with costed savings, and up-to-date compliance. Climate data supports the case; the credit decision still rests on cash flow.

## Records lenders look for

- 12 months of electricity and fuel bills.
- An emissions figure that ties back to those bills.
- Production data, so intensity per unit can be shown.

## Project basics

- Quotes, a project report and expected energy savings.
- How the savings will be measured after installation.
- Who will report to the lender and how often.

## Compliance and credit

Pollution control consents, GST filings and financial statements still decide most of the outcome. Gaps there matter more than a missing emissions figure.

## What Senseible does here

Senseible turns invoices and bills into dated, fingerprinted emission records, the evidence a lender usually asks to see first.

- [How lenders read a borrower GHG report](https://senseible.earth/answers/how-lenders-read-msme-borrower-ghg-report)
- [Proving energy savings to a lender](https://senseible.earth/answers/how-to-prove-energy-savings-to-a-lender)
- [Energy efficiency loan project report](https://senseible.earth/answers/energy-efficiency-loan-detailed-project-report)

Sources: [Loan Market Association, Green Loan and Sustainability-Linked Loan Principles](https://www.lma.eu.com), [Reserve Bank of India](https://www.rbi.org.in)

Last reviewed 2026-10-22.