MSMEs and SSIs stand for the Micro, Small and Medium Enterprises and the Small Scale Industries, respectively. These MSMEs are regarded as being the backbone of any growing economy, and these collectively contribute substantially to the national outputs in the manufacturing and service sectors, employments, and earnings from exports. For the steady and fast growing Indian economy, the importance of these MSMEs is certainly immense.

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.

Categories Of MSME Enterprises

  • Manufacturing Sector

    Micro enterprises– Entities investing less than Rs 25 lakhs in plant and machiney
    Small enterprises– Entities investing between Rs 25 lakhs and Rs 5 crores in plant and machinery
    Medium enterprises– Entities investing between Rs 5 crores and Rs 10 crores in plant and machinery

  • Service Sector

    Micro enterprises– Entities investing less than Rs 10 lakhs
    Small enterprises– Entities investing more than Rs 10 lakhs but less than Rs 2 crores
    Medium enterprises– Entities investing Rs 2 crores but less than Rs 5 crores

Documents Required

  • Business Address Proof

    • If the premise is self-owned–Allotment letter, possession letter, lease deed or property tax receipt. If there is a municipal license in the business name or in the name of the proprietor, partner or director of the business, no other possession document is required to be submitted.
    • If the premise is rented–Rent receipt and a no objection certificate from the landlord is required. Also, any utility bill or document evidencing the landlord’s ownership is to be submitted.
  • Copies of sale bills and purchase bills

    Business is required to submit copy of sale bill related to each end product that it will supply. Also, for each raw material that it will purchase, a purchase bill has to be submitted.

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