Small scale industries play a essential role in the socio-economic development of India. To promote and motivate these small-scale industries, the authorities of the country created the MSMED Act. The Act used to be created to hold a listing of all the industries registered as MSME or SSI. The document aided in offering support and incentives to these firms. Furthermore, SSI helped in the employment of human beings at little capital investments.
Following are the archives to be submitted with us:
The submitted files are filed along with the application. In some states, extra forms might be wanted such as sale bills of equipment and municipal clearance.
If production has not begun, a provisional certificate is issued for 5 years. It becomes permanent when the unit is functioning.
When you register your firm with Udyog Aadhar, the business can leverage many schemes initiated by State and Central Government. Some of the advantages of an MSME are:
• Concession in the electricity bills
• Increased chances of winning government tenders
• Reduction in fee for filing patents and trademark registration.
• Easy and cheaper bank loans
• Stamp duty and registration charges are waived off
• Reimbursement under the bar code registration
• Industrial promotion subsidy
The first stage of MSME registration is provisional which is given during the pre-investment period of the firm. At this point, the enterprise qualifies for:
• Getting facilities for accommodation, land, etc.
• Getting various necessary NOCs
• Getting clearances from regulatory bodies.
• The Provisional SSI Registration Certificate (PRC) gives small companies the freedom to get term loans.
The second type of MSME registration is permanent. It is given to industrial units that are already functioning. Though the Act is not mandatory, it is immensely beneficial for firms to have the support of government:
The eligibility for MSME or SSI registration is dependent on the scale of business of the enterprise. Udyog Aadhar registration is applicable for Proprietorship, Hindu Undivided Family(HUF), one-person company(OPC), Partnership Firm, public limited company, private limited company, production company, co-operative societies, limited liability partnership(LLP) or any association of persons or any other undertaking.