MSME Registration

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MSME Registration

What is MSME ?

MSMEis the abbreviated form for Micro, small and medium enterprises.
These are generally classified into two categories:
a) Manufacturing Enterprises
b) Services Enterprise.
These are listed in terms of their investments.

Benefits of MSME Registration

1. You could get a big boost from MSME registration. Of banks loans, the registration in MSME is around 1 to 1.5% lower than the normal loan interest rate. Hence the loan rate is considerably lower.

2. In MSME registration,different forms of transition and cuts were given to reduce patent costs and installation costs so that they can access credit easier.

3. They offer tax concessions of various types.

4. Regarding the sector under MSME, the government has higher priorities.

5. The minimum alternative tax credit was extended by 10 years to 15 years.

6. MSMEs are exclusively subject to various government tenders.

7. A one-time transaction charge shall apply for MSME registration.

8. Electricity bills are covered if MSME registration is done.

Documents Required for MSME Registration

1. Aadhaar Card.
2. Pan Card.
3. Name of Enterprise.
4. Type of Organization.
5. Address of Enterprise.
6. Business Commencement Date.
7. Bank Account Details.
8. Nature of Business.
9. No of persons employed.
10. Business Investment .

Process for getting registered

1. Anyone who has to register must fill in a form online on the national website for MSME registration onlineor offline MSME registration via the zonal department.

2. Individual identification can be carried out if a person wants several industries to get MSME registration.

3. The company shall be started after filling out the form to receive a permanent certificate.

4. There are no applicable registration charges.

5. The registration number shall be collected after the information have been filled in and correctly submitted to the portal.

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  • 999/-
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  • Standard
  • 1,999/-
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  • 4,999/-
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FAQ(Frequently Asked Questions)

The Government of India has formed the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 For enterprises dealing in manufacture or production, processing or preservation of goods as specified below: Term Investment in plant & machinery Micro enterprise does not exceed Rs. 25 lakh Small enterprise more than Rs. 25 lakh but does not exceed Rs. 5 crore Medium enterprise more than Rs.5 crore but does not exceed Rs.10 crore In case of the above cases, investment in plant and machinery is the original cost excluding land and building and the items specified by the Ministry of Small Scale Industries vide its notification No. S.O. 1722(E) dated October 5, 2006 . For enterprises engaged in services and whose investment in equipment includes original cost excluding land, building and furniture, fittings and other items not directly related to the service rendered Term Investment in equipment Micro enterprise does not exceed Rs. 10 lakh Small enterprise more than Rs.10 lakh but does not exceed Rs. 2 crore Medium enterprise more than Rs. 2 crore but does not exceed Rs. 5 crore
The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) set up by the Ministry of MSME, Government of India and SIDBI facilitate flow of credit to the MSE sector without collaterals/ guarantees from third party. The main objective is that the lender should give importance to project growth and the credit facility depends on the primary security of the assets financed. The Credit Guarantee scheme (CGS) reassures the lender that in case MSE unit fails to discharge its liabilities to the lender, the Guarantee Trust would make for the loss up to 85% of the outstanding amount in default, incurred by the lender The CGTMSE will provide cover for credit facility up to Rs. 100 lakh provided by lending institutions without any collateral security and /or third party guarantees. To provide guarantee cover, guarantee and annual service fee is charged by the CGTMSE The guarantee fee and annual service charges are to be paid by the borrower.
A scheme called Credit Linked Capital Subsidy Scheme (CLCSS) for technology up gradation of Micro and Small enterprises is provided by the Ministry. About 15 per cent capital subsidy, limited to maximum of Rs 15 lakh is provided to the eligible MSEs for upgrading their technology with the well-established and improved technology as approved under the scheme. 48 products/sub-sectors have been approved under the CLCSS till date For a MSE wishing to upgrade the technology must approach to the nodal agencies / eligible financial institution for sanction of term loan for purchase of eligible machinery.
Under the Ministry’s, Micro and Small Enterprises – Cluster Development Programme (MSE-CDP) support is provided for Diagnostic Study; Soft Interventions like general awareness, counseling, motivation and trust building, exposure visits, market development including exports, participation in seminars, workshops and training programmes on technology up gradation etc; Hard Interventions like setting up of Common Facility Centers (Common Production/Processing Centre, Design Centre, Testing Centre etc.) and creation / up gradation of infrastructural facilities in the new/existing industrial areas/ clusters of MSEs.
For self employment as well as wage employment, the Ministry conducts various types of training programme To promote self employment in the country and provide necessary information and skills to a trainee to make him self-reliant is the main focus The programmes include two week Entrepreneurship Development Programme (EDP), Six Week Entrepreneurship Skill Development Programme (ESDP). One weak Management Development Programme (MDP), One Day Industrial Motivation Campaign(IMC) etc. For Monitoring of the programme a web based system has been developed where coordinator of the programme feeds the details of trainees including their photo and phone no. on the website. The details will be linked to the Ministry call centre, where real time feedback is obtained from trainees.
State-of-the-art machinery & equipment equipped Tool Rooms. Providing designing and manufacturing of quality tools, for producing quality products, and improve the competitiveness of MSMEs in national and international markets. Conduction of training programmes to provide skilled manpower to industries specially MSMEs. The placement of trainees is more than 90%. 18 Autonomous Bodies (10 MSME Tool Rooms and 8 Technology Development Centers) under DC (MSME)
The National Manufacturing Competitiveness Programme (NMCP) to develop global competitiveness among Indian MSMEs. The enhancement of entire value chain of the MSME sector through the following schemes: (a) Lean Manufacturing Competitiveness Scheme for MSMEs; (b) Promoting of Information & Communication Tools (ICT) in MSME sector; (c) Technology and Quality Up gradation Support to MSMEs; (d) Design Clinics scheme for MSMEs; (e) Quality Management Standards (QMS) and Quality Technology Tools (QTT); (f) Marketing Assistance and Technology Up gradation Scheme for MSMEs; (g) Setting up of Mini Tool Room under PPP Mode; (h) National campaign for building awareness on Intellectual Property Rights (IPR); (i) Support for Entrepreneurial and Managerial Development of SMEs through Incubators. (j) Bar Code under Market Development Assistance (MDA) scheme.
Under Ministry’s, “Technology and Quality Up gradation Support to Micro, Small and Medium Enterprises (TEQUP)” focus is on enhancing competitiveness of MSME sector through Energy Efficiency Product Quality Certification. The basic objective is to encourage MSMEs in adopting Energy efficient technologies as it curtail the cost of energy there by reducing production cost and increasing competitiveness and To improve product quality of manufacturing in MSMEs. Under this scheme, Capital subsidy provided to the registered MSME units 25% of the project cost up to a maximum of Rs. 10.00 lakh Subsidy by the Government of India (GOI) 25% of the project cost Through loan Balance amount funded from SIDBI/banks/financial institutions.
The TEQUP scheme focuses on Product Quality Certification. Acquiring Product Certification Licenses from National / International Bodies, for improvement in competitiveness is the main aim. Subsidy to MSME units is also provided towards the expenditure incurred by them for obtaining product certification licenses from National / International standardization Bodies. Under this Activity, Subsidy to MSME manufacturing units for licensing of product to National/ International Standards. 75% of the actual expenditure Maximum GOI assistance for obtaining product licensing /Marking to National Standards Rs.1.5 lakh International standards. Rs. 2.0 lakh One MSME unit can apply only once under the scheme period.
Under Ministry’s Design Clinic Scheme for Design Expertise to Micro, Small and Medium Enterprises (MSME) steps are taken to improve the design of the product to meet global challenges and compete with similar products domestically and internationally. To create a dynamic platform for providing expert solutions to real time Design problems and for adding value to existing products. Help MSME manufacturing industries advance the value chain by switching the production mode from original equipment manufacturing (OEM) to original design manufacturing (ODM) and hence original brand manufacturing (OBM), is the goal. In the Design Clinic scheme, the value additions to an idea or a concept are provided at a lesser cost. The outcome is new product development by improvement in design and value addition in existing products.