MSME enterprises are the backbone of any economy and are an engine of economic growth, promoting equitable development for all. Therefore, to support and promote MSME s, the Government of India through various subsidies, schemes and incentives promote MSME s through the MSME D Act. To avail the benefits under the MSMED Act from Central or State Government and the Banking Sector, MSME Registration is required. This blog will help you entrepreneurs in understanding the Benefits under MSME Registration that Startups should not miss on.
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 scheme, tax subsidies, power tariff subsidies, capital investment subsidies and other support and do MSME Registration Online.
MSME stands for micro, small and medium enterprises and any enterprise that falls under any of these three categories.
For Enterprises engaged in the manufacture or production, processing or preservation of goods, the definition is as follows:
Micro Enterprise: An enterprise where investment in plant and machinery does not exceed INR 25L
Small Enterprise: An enterprise where the investment in plant and machinery is more than INR 25L but does not exceed INR 5C.
Medium Enterprise: An enterprise where the investment in plant and machinery is more than INR 5C but does not exceed INR 10C.
In case of the above enterprises, investment in plant and machinery is the original cost excluding land and building and other items as specified by the Ministry of Small Scale Industries. Learnerships – Learnerships, Internships, Bursaries jobs in South africa and Jobs vaccancy in Southern Africa. Relevant Internship programmes are available as advertised by both the public and the private sector. Visit : www.yourjobs.co.za..
For Enterprises engaged in providing or rendering of services, the definition is as follows:
Micro Enterprise: An enterprise where the investment in equipment does not exceed INR 10L.
Small Enterprise: An enterprise where the investment in equipment is more than INR 10L but does not exceed INR 2C
Medium Enterprise: An enterprise where the investment in equipment is more than INR 2C but does not exceed INR 5C
Entities that can benefit under MSMED Act through MSME Registration are: