MSME Registration

Micro, Small and Medium Enterprise or MSME registration of a business means a business is registered with the government under the MSMED Act. A business registered as an MSME in India can avail numerous benefits and subsidies from the government. These government incentives can be availed in terms of tax benefits, power subsidy tariffs, capital investment subsidy, collateral-free loans from banks, IPS subsidy and much more.

MSMEs in manufacturing and service sector can get MSME registration or SSI registration voluntarily to avail these benefits. All kinds of businesses whether a Sole Proprietorship, Limited Liability Partnership, Private Limited Company, Partnership firm, HUF, Association of Persons or Co-operative societies can get MSME registration under the MSMED Act.

MSME Registration In India

Documents required for MSME Registration

  1. PAN card
  2. MoA, AoA & Incorporation Certificate
  3. Address proof like the electricity bill, rental agreement or house tax receipt.
  4. LLP Agreement or Partnership deed
  5. Shop Act/ Ghumasta License

Process of MSME Registration

After the necessary documents are submitted, the legal experts at Legistify draft and file the MSME registration application. The MSME/ SSI form is submitted for approval from the government authority. Once the documents and the application form are approved, the MSME registration is completed.

FAQs

What is an MSME?
MSME or Micro Small Medium Enterprises are manufacturing enterprises whose investment in plant and machinery does not exceed Rs. 25 lakhs or any service enterprises whose investment in equipment does not exceed Rs. 10 lakhs.
Is MSME Registration mandatory?
MSME or SSI registration is completely voluntary.
What is Udyog Aadhaar Registration or Udyog Aadhaar certificate?
In 2015, MSME department changed the name of the MSME certificate as Udyog Aadhaar certificate with the Unique Reference Number or UAN number.
What is the validity of an MSME Certificate?
The validation of an MSME registration is 5 years.
Who can apply for MSME Registration?
Any entrepreneur having valid Aadhaar Number can apply for MSME Registration Online.
What are the benefits of MSME registration?
Subsidy such as on power, taxes, and much more is offered by state governments to MSME registered businesses.
Is Aadhaar Card mandatory for MSME registration?
At present Aadhaar number is mandatory for issuance of MSME Certificate.
What is the difference between MSME, SSI & Udyog Aadhar?
There is no difference between MSME, SSI & Udyog Aadhar. There are all the same.
Can new and existing business apply for MSME registration?
Yes, both new and existing business can apply for MSME registration and get the certificate.
Is credit rating mandatory for the MSE borrowers?
Credit rating is not mandatory but it is in the interest of the MSE borrowers to get their credit rating done as it would help in credit pricing that is cost of funds (interest and other charges) of the loans taken by them from banks.