MSME (Micro, Small and Medium Enterprise)/ SSI (Small Scale Industry)/ Udyog Aadhaar Registration
Micro, Small and Medium Enterprises (MSME) sector has emerged immensly in the Indian economy. On 13th may, 2020 Government of India announced some major relief to the MSMEs and revamped the definition of MSME in the following manner—
- a.) Micro Enterprise: Manufacturing and services enterprises with investments up to Rs 1 crore and turnover up to Rs 5 crore will be classified as micro enterprises.
- b.) Small Enterprise: For small enterprises, the investment criteria and the turnover criteria has been revised upwards to Rs 10 crore and Rs 50 crore respectively.
- c.) Medium Enterprise: The enterprises which have investment up to Rs 20 crore and turnover up to Rs 100 crore will be termed as medium enterprises.
Table showing existing and revised definition of MSME:
Existing MSMEs Classification (Investment in Plant & Machinery or Equipment
|Manufacturing Enterprises||Service Enterprises|
|Micro||Investment < INR 25 Lac||Investment < INR 10 Lac|
|Small||Investment < INR 5 Crore||Investment < INR 2 Crore|
|Medium||Investment < INR 10 Crore||Investment < INR 5 Crore|
Revised MSMEs Classification for Atma Nirbhar Bharat (Investment & Annual Turnover)
|Manufacturing & Services|
|Micro||< INR 1 Crore||< INR 5 Crore|
|Small||< INR 10 Crore||< INR 50 Crore|
|Medium||< INR 20 Crore||< INR 100 Crore|
Note: In cases, where the size increases above said limits, the benefits can still be availed by the MSMEs.
The MSME registration is not statutory, it is beneficial for business at it provides a range of benefits such as eligibility for capital investment subsidies, lower rates of interest, tax subsidies, power tariff subsidies, and other support.
We at CorpAcumen Global provide you a clear understanding of the benefits of a MSME that may be availed by you depending on your business and obtain a MSME registration with ease while setting up your business.