6 Apr 2018, 10:00 — 2 min read
In accordance with the provision of Micro, Small & Medium Enterprises Development (MSMED) Act 2006, the Micro, Small & Medium Enterprises (MSME) are classified into two classes:
Manufacturing enterprises: The enterprises engaged in the manufacture or production of goods pertaining to any industry specified in the first schedule to the industries (Development and regulation Act, 1951), or employing plant and machinery in the process of value addition to the final product having a distinct name or character or use. The manufacturing enterprises are defined in terms of investment in plants & machinery.
Service Enterprises:The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.
This is explained in detail below:
If you are a Manufacturer:
Micro Enterprises - Does not exceed INR 25 lakh
Small Enterprises - More than INR 25 lakh but does not exceed INR 5 crore
Medium Enterprises - More than INR 5 crore but does not exceed INR 10 crore
If you are a Service provider:
Micro Enterprises - Does not exceed INR 10 lakh
Small Enterprises - More than INR 10 lakh but does not exceed INR 2 crore
Medium Enterprises - More than INR 2 crore but does not exceed INR 5 crore
If your SME fits into any of these categories, it will be able to reap benefits from the Government under the provisions MSMED Act. In order to be eligible to get these benefits, you should register your SME as MSME/SSI enterprise under MSMED Act.
To explore business opportunities, link with me by clicking on the 'Invite' button on my eBiz Card.
Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the views, official policy or position of GlobalLinker.
Posted byRavi Haresh Kariya
EbizFiling.com is a motivated and progressive firm managed by like-minded people. It helps a variety of small, medium and large businesses to cater to all compliance requirements...
Recommended articles for you
1 Aug 2020, 10:00
31 Jul 2020, 09:28
29 Jul 2020, 09:40