MSME Registration in India
MSME stands for Micro, Small, and Medium Enterprises. Many enterprises fall under this category. These enterprises form the backbone of the Country’s Economy and push forward the Nation’s economic growth.
Seeing its importance, the Government of India provides several benefits to these Enterprises. However, they must register under the MSMED Act (Micro, Small, and Medium Enterprises Development Act).
Benefits of MSME Registration
Though not statutory, it is suitable for all. The benefits that it provides entail:
- Lower Rates of Interest
- Excise Exemptions
- Power Tariff subsidies
- Tax Subsidies
- Capital Investment subsidies and others
Our team of BusinessAdda can assist you with obtaining this MSME license at the right time today. Get in touch with us and avail these registration services.
Where to file for the MSME Registration in India?
The Ministry of MSMEs is the regulatory body for issuing MSME certificates to businesses. The Union Government also authorizes the office of MSME’s Development Commissioner to the Ministry’s Additional Secretary.
The Government has also authorized certain bodies to look after the development of the various MSMEs in their sector. The Khadi and Village Industries Commission is commissioned to look after the activities related to Khadi and Village Industries nationwide. Coir Board looks into the activities of the Coir Producing Industry, and the National Small Industries Corporation Limited promotes the activities related to Micro, Small, and Medium Enterprises developments in India.
What are the functions of the Ministry (MSME REGISTRATION)?
Apart from looking after the formation of MSMEs, the Ministry also takes prudence in handling all the below activities:
Purpose of setting up MSMEs in India
The Ministry of MSMEs offers MSME certificates to certain small and medium-sized businesses to promote the development of the MSME sector in every state and district of India. Setting up MSMEs boosts the Country’s GDP growth and creates a revenue-generating infrastructure in the remotest parts of India. Some of the functions of the M/o MSMEs are discussed below:
- The MSMEs ensure credit flow in each sector of the economy.
- The Ministry of MSMEs promotes technological usage and digitization in the MSME sector to make such services more coherent to modern-day businesses.
- The MSME Ministry also ensures that the infrastructure capability of the MSMEs is increased.
- The MSME Ministry issues assurance certification to businesses if they abide by the suggested procedures and processes used in the MSME sector.
- The MSME Ministry also ensures the latest technological process is incorporated within the working systems of the MSMEs.
- The MSME Ministry promotes skills upgradation and entrepreneurship in the MSME industry. The Ministry initiates various MSMEs’ promotion, development, and maintenance programs.
Eligibility Criteria for MSME Registration in India
MSME Registration Eligibility Criteria: Only service providers and product manufacturers can obtain MSME Registration. Following is the classification of Micro, Small, and Medium Enterprises:
- Investment in plant and machinery: up to INR 1 Crore
- Turnover: Up to INR 5 Crore
- Investment in plant and machinery: up to INR 10 Crore
- Turnover: Up to INR 50 Crore
- Investment in plant and machinery: Up to INR 50 Crore
- Turnover: Upto INR 250 Crore
Documents Required for MSME Registration in India
The MSME applicant must submit the following documents along with the registration application:
- Business address proof
- Copies of Sales bill or purchase Bill
- Partnership Deed or MoA and AoA
- Bills of machinery
- Copies of licenses
Process of obtaining the MSME Registration in India
MSME Registration Process
How to apply for MSME registration? You need to first get in touch with us regarding this matter.
Draft the MSME Application Form
To that end, fill out our form and request MSME registration. In this form, you will fill your contact details and your name, and our experts will get back to you.
Gather the requisite Documents
Once you contact us and give us a go to complete the registration, we will begin preparing and gathering the required documents.
Application Filing and Submission
Once all the documents have been accumulated, we will file the MSME application form and submit it to the MSME registrar.
Grant of Incorporation Certificate
Once the Registrar approves the MSM registration application, we will forward you your certificate via email or courier.
What’s new in the MSME Sector?
The RBI in 2020 mandates all MSME Enterprises to obtain the UDYOG registration certificate. Every Lender to the MSMEs must ask for their UDYOG registration certificate.
Udyog Memorandum and Udyog Aadhaar Memorandum of the MSMEs obtained till June 30, 2020, shall remain valid till March 31, 2021. All the registered MSMEs with validity till June 30, 2020, must file for the new MSME Udyam Registration before the financial closing of 2019.
Our Assistance in getting the MSME Registration
Our MSME Registration Services
We provide end-to-end Assistance to get you MSME Registration.
- Document collection
- Filing the MSME Registration Form application
- Obtaining the Registration
- Delivering your MSMED registration certificate
Thus, if you want to start an MSME, reach out to BusinessAdda