MSME Registration
MSME registration is a registration for any business to legally start and operate in India.It is administered by MSMED Act, 2006 in India under the Ministry of micro, medium and small enterprises.
About MSME
Who can apply for MSME registration: Partnership Firm, One Person Company, Proprietorships, Limited Liability Partnership, , Private Limited Company, Hindu Undivided Family, Limited Company, Producer Company, , any association of persons, co-operative societies or any other undertaking can apply for MSME registration in India.
What is the use of MSME registration: MSME registration helps to acquire government tenders easily as Udyam Registration Portal along with Government e-Marketplace and various other State Government portals which give easy entry to their marketplace and e-tenders. There is a One Time Settlement Fee for non-paid amounts of MSME and punctuate on the MSME ACT of 2006. Under these legislations, there would be no requirement for frequent inspections to check the required investments needed to be made in the plant and machinery needed. The functions of MSMEs would be allowed to continue in a non-discriminatory, transparent, and objective manner.
Benefits Of MSME Registration
The Features And Benefits Of MSME Registration
Bank Loans (Collateral Free)
The India Government has made collateral-free credit available to all micro-business and small sectors. Under this scheme, both the old as well as the new organizations can claim the benefits.
Subsidy on Patent Registration
Under the recent laws, MSMEs registered with the MSME ministry stand to provide benefit from a 50% subsidy on patent registration fees. This motivates the small businesses and firms to keep innovating and working on new projects.
Overdraft Interest RateExemption
Businesses and organisations registered as MSMEs can claim benefit of 1% on the Overdraft in a scheme that differs from bank to bank. It will provide helps to small businesses secure during unfavourable markets
Industrial Promotion Subsidy Eligibility
Enterprises and enterprregistered as MSMEs can avail a benefit of 1% on the Overdraft in a scheme that differs from bank to bank. This helps to make small businesses more secure during unstable markets.
Protection against Payments
MSMEs is required to make the payment on or before the confirmed date of payment or in 15 days from the day they had confirmed the goods or services
Fewer Electricity Bills:
All companies that have the MSME Registration Certificate are termed to concessions on their electric bill. This empower businesses to push production and take in many orders without concerned about capital expenditure on costs.