MSME stands for Micro, Small and Medium Enterprises. In a developing country like India, MSME industries are the backbone of the economy.
The MSME sector contributes to 45% of India’s Total Industrial Employment, 50% of India’s Total Exports and 95% of all industrial units of the country and more than 6000 types of products are manufactured in these industries (As per msme.gov.in). When these industries grow, the economy of the country grows as a whole and flourishes. These industries are also known as small-scale industries or SSI’s.
Let us understand who all can apply for MSME registration in India.
Who can apply for MSME Registration
The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 will accordingly be amended to define units producing goods and rendering services in terms of annual turnover.
- Manufacturing Enterprises
The enterprises engaged in the manufacture or production of goods pertaining to any industry specified in the first schedule to the Industries (Development and Regulation) Act, 1951) or employing plant and machinery in the process of value addition to the final product having a distinct name or character or use. The Manufacturing Enterprise is defined in terms of investment in Plant & Machinery.
- Micro Enterprises – Does not exceed twenty-five lakh rupees
- Small Enterprises – More than twenty-five lakh rupees but does not exceed five crore rupees
- Medium Enterprises – More than five crore rupees but does not exceed ten crore rupees
- Service Enterprises
The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.
- Micro Enterprises – Does not exceed ten lakh rupees
- Small Enterprises – More than ten lakh rupees but does not exceed two crore rupees
- Medium Enterprises – More than two crore rupees but does not exceed five crore rupees
Here in this article, we have understood who can apply for MSME registration, it will be surely useful for you to grow your business. If you’re wondering to get MSME registration online then you should visit the MSME registration portal and complete the MSME registration process in bliss.
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