Who are eligible for MSME registration?

While thinking of availing the benefits coming from the MSME registration, you might need to know who are fulfilling the criteria forthe eligibility for MSME/ SSI registration. The MSME registration or as the newly introduced term Udyog Aadhaar can be issued by basically any kind of business entity. A few examples would be the sole proprietors, any limited liability partnership firms, Hindu undivided families, registered private limited companies, producer companies, cottage industries etc.

Hence any kind of association of persons that are co-operatively running any business or similar societies may apply for MSME registration. Most of the small businesses get registered for MSME or Udyog Aadhaar are able to enjoy the government given benefits under the MSMED act which stands for micro, small, medium enterprise development under the act of 2006. It is rather recommended to always get an MSME registration in case, you fall into the eligibility criteria. We will now discuss the eligibility criteria for applying for the MSME registration.

Criteria for the application of MSME Registration

Only those business entities that fall under the following eligibility criteria canget an MSME registration as per the MSMED act of 2006.

Now in case, any business entities who are involved with the manufacturing and the production of any goods may consider the following classification to get registered.

-          Micro enterprises:- Any business entity that has an investment made in their manufacturing plant and over their machinery that hasn’t exceeded the amount of twenty-five lakh rupees may register themselves under the micro enterprise section.

-          Small enterprises:- Any business entity that has an investment made into their manufacturing plant and over their machinery that hasn’t exceeded the amount of five crore rupees, however its more than the higher limit of micro enterprises which was twenty five lakh rupees can register themselves under the small enterprises section of SSI registration.

-          Medium enterprises :- Any business entity that has an investment made in their plant and over their machinery that hasn’t exceeded the amount of ten crore rupees, however its more than the higher limit of the investment amount of small enterprises which is five crore rupees can get register themselves under the medium enterprises under the manufacturing section of MSME registration.

Now in case of, any business entities that may be involved with the service sector then their financial limits will have different MSME registration eligibility criteria.

-          Micro enterprises:- Any business entity that has an investment in equipment that hasn’t crossed the limit of ten lakh rupees can register under micro enterprises for the service sector.

-          Small enterprises:- Any business entity that has an investment in equipment that hasn’t crossed the limit of two crore rupees but is more than the higher limit of investment of micro enterprises which is ten lakh rupees may register under small enterprises of the service sector.

-          Medium enterprises:- Any business entity that has an investment in equipment that hasn’t crossed the limit of five crore rupees but is more than the amount of higher limit of investment of small enterprises which is two crore rupees then they may register themselves under the medium enterprises of the service sector.

It is recommended to most of the businesses to obtain MSME registration under the MSMED act and get various benefits out of which the best one would be the protection against any delay in the payments. So look for which criteria you fit in to get your MSME Registration done in a hassle-free way. We at Enterslice are constantly available to help you with immediate solutions in order to guide you and prepare your documents. You can dial our helpline number or drop us an email so that we can revert you back as soon as possible. We make sure to offer reliable help to those who are looking forward for instant solutions at your end.

Source url - https://enterslice1.weebly.com/blog/who-are-eligible-for-msme-registration