MSME REGISTRATION PROCEDURE STARTING RS.1499 ONWARDS

MSME stands for Micro, Small and Medium Enterprises. In a developing country like India, MSME industries are the backbone of the economy. It is the apex body for the formulation and administration of rules, regulations and laws relating to micro, small and medium enterprises in India. 

As per “msme.gov.in”, 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. It is classified into two categories on the basis of investment in plant and machinery:

1) Manufacturing Enterprise

2) Service Enterprise.

They are defined in term of investment in Plant and Machinery/ Equipment  as below

Even if the Company is in the manufacturing line or the service line, registrations for both these areas can be obtained through the MSME act. This registration is not yet made mandatory by the Government but it is beneficial to get one’s business registered under this because it provides a lot of benefits in terms of taxation, setting up the business, credit facilities, loans and many other benefits.

Types of Certification

The MSME authority provides two types of certificates:

• A professional MSME registration certificate is given to the companies which are valid for only 5 years.
• Permanent registration certificate, to that company there is no time limit in the permanent registration.

Documents Required for Registration

      For Registration one has to submit the following documents:

• Business Address Proof
• Copies of Sale Bill and Purchase Bill
• Partnership Deed/ MoA and AoA
• Copy of Licenses and Bills of Machinery Purchased

Registration Process

1. To obtain MSME registration, first of all you have to apply for provisional SSI registration certificate. This certificate is for the pre-operational period that is when you have been started your business but have a plan. It also helps MSME you need to obtain term loans obtain term loans term loans to obtain term loans obtain term loans term loans and working capital.
2. To do the registration the small and medium scale industry owner has to fill a single form which he can do online as well as offline.
3. In offline process you can apply through you can apply through zonal office or district office of the department.
4. If a person wants to do registration for more than one industry then also he/she can do individual registration.
5. To do the registration he/she has to fill a single form which is available at the website
6. The document required for the registration is Personal Aadhar number, Industry name, Address, bank account details and some common information.
7. Aadhaar number is not compulsory for registration under MSME act, 2006.
8. In this, the person can provide self-certified certificates.
9. There are no registration fees required for this process.
10. Once the detail-filled and upload you would be getting the registration number.
11. Once the entity commences its operation, it can apply for permanent licence which has a lifetime validity, unless cancelled.

De-Registration

A Micro, small and medium Enterprises can violate the regulations in the following ways which will make it liable for de-registration: •

a.)It crosses the investment limits.

b.)It starts manufacturing any new item or items that require an industrial license or other kind of statutory license.

c.) It does not satisfy the condition of being owned, controlled or being a subsidiary of any other industrial undertaking.