MSME REGISTRATION

 

MSME REGISTRATION

 

Is n't a requirement under the law. The MSME registration process in India, on the other hand, has been designed to assist all types of businesses to the maximum extent possible. Any business that registers is eligible to take advantage of the MSMED Act's benefits. Easy bank loan approval (priority sector lending), lower interest rates, an excise exemption plan, exemption from certain tax brackets, and statutory support are only a few of the perks provided by the central government.

State governments and union territories have also put up their own package of MSMEs-friendly facilities and incentives. The establishment of specialised industrial estates, tax breaks, electricity tariff breaks, capital investment breaks, and other support are only a few of the benefits provided by the state government to MSMEs.

 

Both the centre and the state aim their incentives and assistance packages to all units registered with them, whether by law or not.

 

The terms MSME have been integrated into exemption notifications by banking laws, excise laws, and direct taxation laws. As a result, the registration certificate provided by the registering authority is considered proof of MSME status and is required in order to take use of the MSMEs' benefits. Below is a list of some of them.

Check the government portal for changes and provide the necessary documentation. MSME registration is done using the Government of India's udyamregistration.gov.in portal. MSMEs can register under one of two categories, according to the information provided on this portal. Both of these groups are listed below —

For new business owners who have not yet registered as an MSME

Entrepreneurs who are registering for the first time should select the button on the MSME portal's homepage labelled "For New Entrepreneurs who are not Registered as MSME" and click it. The Aadhar Card number must be entered in one of the two ways specified below during the registration procedure.

 

Registration and PAN Card information

Without a PAN Card, you can register.

Existing enterprises that have been registered with the Ministry of Micro, Small and Medium Enterprises under EM-Part – II or UAM, or with any other entity under the Ministry of Micro, Small and Medium Enterprises, must re-register on the Udyam Registration Portal. On or after July 1, 2020, such businesses must apply for and receive Udyam Registration.

The following points should be noted by businesses that register before June 30, 2020. -

 

Such businesses will be reclassified based on the updated criteria announced in a notice dated June 26, 2020; businesses registered before June 30, 2020 will be valid only until March 31, 2021.

What information should be included in the application form for MSME registration?

Details of the Aadhar Card

The name of the owner as it appears on the Aadhar Card

Whether the applicant falls under the General, OBC, SC, or ST social categories.

Physical condition- whether or not the candidate is physically impaired.

Details of the PAN (Permanent Account Number) Card

Total Number of Employees in the Organization (Number of Employees)

The company that already has an Udyam registration number must update its details on the Udyam Registration Portal online. In the event of failure, the company's status would be suspended.

 

The enterprise's categorization must be revised based on information from the income tax return or the goods and services tax return. The effect of any updates, if any, is discussed further down.

Micro, Small, and Medium Enterprises (MSME) are an important aspect of India's historical economic model and a crucial component of the product and service supply chain. This sector is a job creator as well as a key player in rural and backward areas' industrialization and large-scale employment. According to the 73rd round of the National Sample Survey (NSS), there were roughly 633.8 lakh unincorporated non-agriculture firms in the country in 2015-2016, engaged in various economic activities and employing 11.10 crore people.

Despite the fact that MSME online registration is optional, it is always suggested to small and medium enterprises because it provides a variety of benefits. Benefits such as interest rates levied on borrowed funds, as well as tax discounts, capital investment tax breaks, and other government aid, would be drastically reduced.

 

Legalraasta can assist your company in obtaining MSME Registration online so that you can take advantage of a variety of perks. LegalRaasta provides MSME and SSI online registration services in Delhi NCR, Mumbai, Bengaluru, Chennai, and other Indian cities.

An applicant can apply for an MSME loan based on the annual revenue of his or her firm by evaluating loan offers from multiple financial institutions and filling out and submitting online loan application forms. Applicants can apply for MSME registration at no cost by going to the bank's official website and filling up an online application. Let's go over MSME registration in more detail, including the actions and processes involved, as well as other relevant information.

SSI/MSME Registration Benefits

When it comes to trademark applications, government fees for entities like companies, partnerships, and limited liability partnerships are greater than for individuals and sole proprietorships. By submitting an MSME registration certificate, these businesses can get a 50% discount on government expenses. In the same way, a rebate is required for patent registration.

The government encourages loan support for micro, small, and medium-sized businesses by enforcing clearly defined guidelines. Because of the reduced rates granted to MSME registrants, the registered entity would be able to obtain its loans approved at a lesser rate of interest and with more convenience.

MSME-registered firms are protected from late payments from customers. Buyers are responsible for paying on time once they have accepted the goods or services

Credit Guarantee Fund Scheme for Micro and Small Enterprises is another name for this programme (CGTMSE). It is more supportive of small-scale businesses that give finance and income input from a variety of sources to struggling businesses.

Anyone who wants to start a micro, small, or medium business can fill out a self-declaration form on the Udyam Registration portal without having to upload any papers. papers, certifications, or proof. Upon registration, an entity (referred to as "Udyam" in the Udyam Registration page) will be given a permanent identifying number known as the "Udyam Registration Number.". An e-certificate titled "Udyam Registration Certificate" will be delivered upon completion of the registration process.