MSME Registrations
MSME stands for micro, small and medium enterprises and any enterprise that falls under any of these three categories are considered to be MSME. They are the backbone of any economy and are engines of economic growth promoting equitable development for all. Therefore, to support and promote MSMEs, the Indian government offers various subsidies, schemes and incentives through the MSMED Act. A registration under the MSMED Act is required to avail the benefits of the same from the central or state government and the banking sector. This registrations is known as the MSME registration.
Micro, small and medium sized enterprises in both the manufacturing and service sector can obtain MSME Registration under the MSMED Act. Though the MSME registration is not statutory, it is beneficial for business at it provides a range of benefits such as eligibility for lower rates of interest, excise exemption schemes, tax subsidies, power tariff subsidies, capital investment subsidies and other support. IndiaFilings can help your business obtain MSME Registration to avail a host of benefits.
MSME Registrations Details
Benefits of MSME Registrations
- Interest rate reduction for loans
- Collateral free loans from banks
- Beneficial reservation policies in the manufacturing/ production sector
- Ease of obtaining licenses, registrations and approvals.
- Eligibility for CLCSS (credit linked capital subsidy scheme)
- International trade fair special consideration
- Government security deposit waiver (helpful while participating in tenders)
MSME Registrations Ability
- Micro Enterprice - Where the investment in plant and machinery is not more than ₹1 crore and the annual turnover is not more than ₹5 crores.
- Small Enterprice - Where the investment in plant and machinery is not more than ₹10 crores and the annual turnover is not more than ₹50 crores.
- Medium Enterprice - Where the investment in plant and machinery is not more than ₹50 crores and the annual turnover is not more than ₹250 crores.
Documents for MSME Registrations
- Applicant's Aadhar Card
- Applicant's Pan Card
- Company PAN (not applicable in case of a proprietorship firm)