The full form of MSME is Micro, Small & Medium Enterprises. MSME plays a very vital role in our economy by complementing the large business or service sector of our country.
Classes of MSME:
The Micro, Small & Medium Enterprises are broadly classified in two categories:
* Manufacturing enterprises means investments in terms of plant and machinery.
** Service Enterprises means investment in equipment.
Maximum limit of investment limit in MSME
The table will show the maximum limit of investment in MSME:
|Manufacturing enterprises||Less than or equal to Rs 25 Lacs||More than 25 lacs but less than or equal to 5 crores||More than 5 crores but less than or equal to 10 crores|
|Service enterprises||Less than or equal to 10 lacs||More than 10 lacs but less than or equal to 2 crores||More than 2 crores but less than or equal to 5 crores|
Benefits of getting MSME registration
- Rebate in taxes: – Government of India offers the rebate in income tax for MSME registered business.
- Concession in government fees: – Government of India gives concession on patent, trademark fees.
- Banking benefits: – MSME registered business enjoys better credit and at a better rate of interest.
- Benefits from Central and State government: – Various schemes are present for MSME registered businesses.
Documents required for MSME registration
- Minimum documents that are common in all cases are for registration in MSME like Aadhar card, business address proof, Copy of sale and purchase bill, etc.
- Some other documents depend on case to case.
MSME registration is mandatory
No MSME registration is not mandatory, it’s pure voluntary, but Taxtarian team will suggest you to please apply to this registration.
Types of schemes launched in MSME
Some of the schemes are highlighted below:
- PMEGP (PRIME MINISTER EMPLOYMENT GENERATION PROGRAMME
- CGTMSE (CREDIT GUARANTEE TRUST FUND FOR MICRO & SMALL ENTERPRISES
- ASPIRE (A SCHEME FOR PROMOTING INNOVATION, RURAL INDUSTRY AND ENTREPRENEURSHIP)
- MATU (MARKETING ASSISTANCE & TECHNOLOGY UPGRADATION)
- MDA (MARKETING DEVELOPMENT ASSISTANCE)