Micro, Small & Medium Enterprises Development (MSMED) Act, 2006 classifies Micro, Small and Medium Enterprises (MSME) in two Classes:
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). The Manufacturing Enterprise are defined in terms of investment in Plant & Machinery.
The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.
Benefits of MSME Registration:
- Easy access of Bank Credit
- Lower rate of Interest
- Tax Subsidies
- Income Tax benefits
- Interest in delayed payments by Large Corporates
- Eligible for various subsidy schemes
MSME Registration is provided free of cost to the premium member of MSME Helpline. There is no government fee for MSME Registration.