Get MSME Registration (INR 999 /-)
MSME is an acronym for Micro, Small and Medium Enterprises. These are basically small-sized businesses defined in terms of their investment. In order to boost entrepreneurship certain incentives and concessions are given to the organization and in order to avail all the benefits under the scheme the organization has to get registered under the Micro, Small and Medium Enterprises (SMEs) act.
Classification of the MSME with respect to the ceiling on Investment in Plant and Machinery (in Rs)
For the service sector, the investment limits are Rs 10 lakh, 2 crores and 5 crores in terms of investment made in equipment. In 2015, the government has introduced an amendment bill to enhance the investment limit in all categories.
The MSMEs are classified in terms of investment made in plant and machinery if they are operating in the manufacturing sector and investment in equipment for service sector companies. Though the primary responsibility of promotion and development of MSMEs is of the State Governments, the center has passed an Act in 2006 to empower the sector and also has formed a Ministry (Ministry of MSMEs). It was the Micro, Small and Medium Enterprises Development (MSMED) Act that was notified in 2006 that defined the three-tier of micro, small and medium enterprises and set investment limits.
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