{"id":481,"date":"2020-12-19T09:25:00","date_gmt":"2020-12-19T09:25:00","guid":{"rendered":"https:\/\/swaritadvisors.com\/blog\/?p=481"},"modified":"2020-12-21T06:18:11","modified_gmt":"2020-12-21T06:18:11","slug":"how-can-msme-registration-guarantees-business-growth-in-india","status":"publish","type":"post","link":"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/","title":{"rendered":"How Can MSME Registration Guarantees Business Growth In India?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">\u2018MSMEs\u2019, the backbone and growth drivers of our economy, contribute around 30% of the total GDP (Gross Domestic Product) and 40% of the total exports. Also, this sector plays a crucial role in generating employment opportunities and provides around 110 million people employment every year. Therefore, it can rightly be stated that MSME Registration Guarantees Business Growth in India.<\/p>\n\n\n\n<p>In this blog, we will discuss the\nconcept of MSME and how MSME Registration Guarantees Business Growth in India.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3cedf9591c3\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3cedf9591c3\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Concept_of_Micro_Small_and_Medium_Enterprises\" title=\"Concept of Micro Small and Medium Enterprises\">Concept of Micro Small and Medium Enterprises<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Categorizations_of_Micro_Small_and_Medium_Enterprises\" title=\"Categorizations of Micro Small and Medium Enterprises\">Categorizations of Micro Small and Medium Enterprises<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Micro_Enterprises\" title=\"Micro Enterprises\">Micro Enterprises<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Small_Enterprises\" title=\"Small Enterprises\">Small Enterprises<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Medium_Enterprises\" title=\"Medium Enterprises\">Medium Enterprises<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Who_Are_All_Eligible_to_Obtain_MSME_Registration_in_India\" title=\"Who Are All Eligible to Obtain MSME\nRegistration in India?\">Who Are All Eligible to Obtain MSME\nRegistration in India?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#How_the_MSME_Registration_Guarantees_Business_Growth\" title=\"How the MSME Registration Guarantees Business Growth?\">How the MSME Registration Guarantees Business Growth?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Lending_on_a_Priority_Basis\" title=\"Lending on a Priority Basis\">Lending on a Priority Basis<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Eligible_for_MAT_Credit\" title=\"Eligible for MAT Credit\">Eligible for MAT Credit<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Access_to_Rebates_and_Concessions\" title=\"Access to Rebates and Concessions\">Access to Rebates and Concessions<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Eligible_for_Government_Tenders\" title=\"Eligible for\nGovernment Tenders\">Eligible for\nGovernment Tenders<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#The_facility_of_One_Time_Settlement_Fee\" title=\"The facility of One Time Settlement Fee\">The facility of One Time Settlement Fee<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Upgradation_of_Technology_and_Quality\" title=\"Upgradation of Technology and\nQuality\">Upgradation of Technology and\nQuality<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Reimbursement_of_ISO_Certification\" title=\"Reimbursement of ISO Certification\">Reimbursement of ISO Certification<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Eligible_for_Market_Development_Assistance_Scheme\" title=\"Eligible for Market\nDevelopment Assistance Scheme\">Eligible for Market\nDevelopment Assistance Scheme<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Entitled_to_Capital_Grants\" title=\"Entitled to Capital\nGrants\">Entitled to Capital\nGrants<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Assistance_from_Government_and_Export_Promotion\" title=\"Assistance from Government and\nExport Promotion\">Assistance from Government and\nExport Promotion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Collateral_Free_Loans\" title=\"Collateral Free Loans \">Collateral Free Loans <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Avails_Income_Tax_Exemption\" title=\"Avails Income Tax Exemption\">Avails Income Tax Exemption<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Introduction_of_CHAMPIONS_Portal\" title=\"Introduction of\nCHAMPIONS Portal\">Introduction of\nCHAMPIONS Portal<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Faster_Payment_Clearance_by_PSUs\" title=\"Faster Payment Clearance by PSUs\">Faster Payment Clearance by PSUs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#No_Global_Tender_up_to_Rs_200_crores\" title=\"No Global Tender up to Rs 200 crores\">No Global Tender up to Rs 200 crores<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/swaritadvisors.com\/blog\/how-can-msme-registration-guarantees-business-growth-in-india\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Concept_of_Micro_Small_and_Medium_Enterprises\"><\/span>Concept of Micro Small and Medium Enterprises<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The term MSME or Micro Small and Medium\nEnterprise mean the enterprises or the business entities registered under the\nprovision of the MSMED Act. Further, these enterprises are usually labour\nintensive in nature and offer significant employment opportunities at minimal\ncapital cost. <\/p>\n\n\n\n<p>Moreover, it shall be considerate to state that due to growth driven capability of the MSME sector, the government tries to provide it various incentives, subsidies, and schemes as well. One such recent example is the \u201cAtma Nirbhar Bharat Scheme\u201d, i.e., the Self-reliant India Initiative.<\/p>\n\n\n\n<p>As per the initiative, the criterion for classifying MSMEs have been revised, and as a result, the factors, such as \u201cInvestment in Plant and Machinery\u201d and \u201cTurnover\u201d, have been combined into one.<\/p>\n\n\n\n<p>However, earlier, the categorization of\nan MSME or Micro Small and Medium unit was based only on its investment in\nplant and machinery, together with the type of sector, i.e., Manufacturing or\nService Sector.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Categorizations_of_Micro_Small_and_Medium_Enterprises\"><\/span>Categorizations of Micro Small and Medium Enterprises<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The categorization of MSMEs under the\nMSME sector are as follows:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Micro_Enterprises\"><\/span>Micro Enterprises<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<table width=\"100%\">\n<tbody>\n<tr>\n<td width=\"23%\">\n<p><strong>Type of Industries<\/strong><\/p>\n<\/td>\n<td width=\"26%\">\n<p><strong>Type of Investment<\/strong><\/p>\n<\/td>\n<td width=\"25%\">\n<p><strong>Amount of Investment <\/strong><\/p>\n<\/td>\n<td width=\"24%\">\n<p><strong>Amount of Turnover <\/strong><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td width=\"23%\">\n<p>Manufacturing and Service Sector<\/p>\n<\/td>\n<td width=\"26%\">\n<p>In-Plant and Machinery<\/p>\n<\/td>\n<td width=\"25%\">\n<p>Less than Rs. 1 Crore<\/p>\n<\/td>\n<td width=\"24%\">\n<p>Less than Rs. 5 Crores<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Small_Enterprises\"><\/span>Small Enterprises<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<table width=\"100%\">\n<tbody>\n<tr>\n<td width=\"23%\">\n<p><strong>Type of Industries<\/strong><\/p>\n<\/td>\n<td width=\"26%\">\n<p><strong>Type of Investment<\/strong><\/p>\n<\/td>\n<td width=\"25%\">\n<p><strong>Amount of Investment <\/strong><\/p>\n<\/td>\n<td width=\"24%\">\n<p><strong>Amount of Turnover<\/strong><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td width=\"23%\">\n<p>Manufacturing and Service Sector<\/p>\n<\/td>\n<td width=\"26%\">\n<p>In Plant and Machinery<\/p>\n<\/td>\n<td width=\"25%\">\n<p>Rs. 1 Crore to Rs. 10 Crores<\/p>\n<\/td>\n<td width=\"24%\">\n<p>Rs. 5 Crore to Rs. 50 Crores<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Medium_Enterprises\"><\/span>Medium Enterprises<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<table width=\"100%\">\n<tbody>\n<tr>\n<td width=\"24%\">\n<p><strong>Types of Industries<\/strong><\/p>\n<\/td>\n<td width=\"26%\">\n<p><strong>Type of Investment<\/strong><\/p>\n<\/td>\n<td width=\"24%\">\n<p><strong>Amount of Investment<\/strong><\/p>\n<\/td>\n<td width=\"24%\">\n<p><strong>Amount of Turnover<\/strong><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td width=\"24%\">\n<p>Manufacturing and Service Sector<\/p>\n<\/td>\n<td width=\"26%\">\n<p>In Plant and Machinery<\/p>\n<\/td>\n<td width=\"24%\">\n<p>Rs. 10 Crores to Rs. 20 Crores<\/p>\n<\/td>\n<td width=\"24%\">\n<p>Rs. 50 Crores to Rs. 100 Crore<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_Are_All_Eligible_to_Obtain_MSME_Registration_in_India\"><\/span>Who Are All Eligible to Obtain MSME\nRegistration in India?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The entities eligible to obtain MSME Registration in India are as follows:<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/Who-Are-All-Eligible-to-Obtain-MSME-Registration-in-India-1.png\" alt=\"Who Eligible to get MSME Registration\" class=\"wp-image-485\" width=\"520\" height=\"523\" srcset=\"https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/Who-Are-All-Eligible-to-Obtain-MSME-Registration-in-India-1.png 1000w, https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/Who-Are-All-Eligible-to-Obtain-MSME-Registration-in-India-1-150x150.png 150w, https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/Who-Are-All-Eligible-to-Obtain-MSME-Registration-in-India-1-298x300.png 298w, https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/Who-Are-All-Eligible-to-Obtain-MSME-Registration-in-India-1-768x774.png 768w\" sizes=\"(max-width: 520px) 100vw, 520px\" \/><\/figure><\/div>\n\n\n\n<ol><li>Sole Proprietorship Firm;<\/li><li><strong><a href=\"https:\/\/swaritadvisors.com\/limited-liability-partnership-registration\" class=\"text-primary\">Limited Liability Partnership<\/a><\/strong>;<\/li><li>Partnership Firms;<\/li><li>Public Limited Company;<\/li><li><strong><a class=\"text-primary\" href=\"https:\/\/swaritadvisors.com\/private-limited-company-registration\">Private Limited Company<\/a><\/strong>;<\/li><\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_the_MSME_Registration_Guarantees_Business_Growth\"><\/span>How the MSME Registration Guarantees Business Growth?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The factors and benefits that prove MSME Registration Guarantees Business Growth in India are as follows:<\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/How-MSME-Registration-Guarantees-Business-Growth-in-India-heading.png\" alt=\"MSME Registration Guarantees Business\" class=\"wp-image-486\" width=\"587\" height=\"481\" srcset=\"https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/How-MSME-Registration-Guarantees-Business-Growth-in-India-heading.png 1000w, https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/How-MSME-Registration-Guarantees-Business-Growth-in-India-heading-300x246.png 300w, https:\/\/swaritadvisors.com\/blog\/wp-content\/uploads\/2020\/12\/How-MSME-Registration-Guarantees-Business-Growth-in-India-heading-768x629.png 768w\" sizes=\"(max-width: 587px) 100vw, 587px\" \/><\/figure><\/div>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Lending_on_a_Priority_Basis\"><\/span>Lending on a Priority Basis<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The first benefit of an <strong><a href=\"https:\/\/swaritadvisors.com\/msme-registration\" class=\"text-primary\">MSME Registration Online <\/a><\/strong>is that the entities are eligible to avail of cheaper loans and credit from the financial institutions. At present, the interest rate charges from MSMEs range from 1 to 1.5%.<\/p>\n\n\n\n<p>Recently, the World Bank has allocated around\nthe US $750 million (Rs 5600 crores) as emergency response funding for the MSME\nsector. The main purpose behind such funding was to offer the much required\nsupport and liquidity to the MSME sector. Further, through this funding, NBFCs\nand banks will now be able to offer credit to MSMEs. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Eligible_for_MAT_Credit\"><\/span>Eligible for MAT Credit<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>A registered MSME is capable of availing\nMAT (Minimum Alternate Tax) credit, which can be carried forward up to a period\nof 15 years.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Access_to_Rebates_and_Concessions\"><\/span>Access to Rebates and Concessions<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>After obtaining MSME Registration,\na business entity is eligible to acquire several rebates and concessions, which\nwill, in return, reduce the cost of applying patent registration for new\ntechnology. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Eligible_for_Government_Tenders\"><\/span>Eligible for\nGovernment Tenders<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>After the integration of the Government e-marketplace with the Udyam Registration Portal, all the registered MSMEs are now eligible to get access to government e-tenders.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_facility_of_One_Time_Settlement_Fee\"><\/span>The facility of One Time Settlement Fee<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In the case of repayment of defaults against the loans, the registered MSMEs can now choose the option of one-time settlement fee.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Upgradation_of_Technology_and_Quality\"><\/span>Upgradation of Technology and\nQuality<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>To improve the cost-effectiveness and encourage the use of clean energy in the process of manufacturing, the central government has decided to reimburse the project cost incurred towards the fulfilment of the goals for MSME sector units. Also, it has decided to compensate for the expenses incurred for the preparation of audit reports, implementation of clean technology, subsidies for licensing products as per the national and international standards.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Reimbursement_of_ISO_Certification\"><\/span>Reimbursement of ISO Certification<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>To encourage the\ncertifications and standards acquired by MSMEs in a bid to improve their\nperformance in all the sectors, MSMEs can now avail exemption and concession on\nall the expenses incurred for acquiring ISO 9000, HACCP, and ISO 14001\nCertification.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Eligible_for_Market_Development_Assistance_Scheme\"><\/span>Eligible for Market\nDevelopment Assistance Scheme<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>All the businesses\nregistered under the MSMED Act are eligible for Market Development Assistance\nScheme. As per this scheme, the Central Government follows the policy of Price\nand Purchase Preference, wherein it purchases more than 358 listed items and\nproducts exclusively from registered MSMEs.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Entitled_to_Capital_Grants\"><\/span>Entitled to Capital\nGrants<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In India,\nthe MSME sector is known for generating employment and providing\nentrepreneurial ventures a start, as a result, the government has decided to offer\nsupport for entrepreneurial development and capital grant for infrastructure\nimprovisation.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Assistance_from_Government_and_Export_Promotion\"><\/span>Assistance from Government and\nExport Promotion<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The Government of India organises various craft fairs, exchange programmes, exhibitions, and international trade events. Further, the reason behind such programmes is to provide MSMEs international platforms for trade-related aspects, together with new business connections. Also, the government offers incentives, subsidies, technical support, and tax exemptions for the export of goods and services by MSMEs.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Collateral_Free_Loans\"><\/span>Collateral Free Loans <span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The <strong>MSME Ministry<sup><a class=\"text-primary\" href=\"https:\/\/msme.gov.in\/\"><strong>[1]<\/strong><\/a><\/sup><\/strong>, together with SIDBI (Small Industries Development Bank of India), has created a trust named CGTMSE (Credit Guarantee Fund Trust for Micro Small Enterprises), particularly to introduce Credit Guarantee Fund Scheme for providing collateral-free loans up to Rs 50 lakhs to MSMEs. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Avails_Income_Tax_Exemption\"><\/span>Avails Income Tax Exemption<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>As per\nthe Presumptive Basis of Taxation Scheme, an entity registered is exempt from\nmaintaining unnecessarily detailed books of accounts and\nundertaking audit procedures.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Introduction_of_CHAMPIONS_Portal\"><\/span>Introduction of\nCHAMPIONS Portal<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>It shall be significant to mention that\nthe introduction of CHAMPIONS Portal is another positive reason as to why MSME\nRegistration Guarantees Business Growth. The main objective of this portal is\nto assist MSMEs in terms of raw material, permissions, finance, and labour,\netc.<\/p>\n\n\n\n<p>Also, this portal seeks to help\nregistered MSMEs in reaching new opportunities and heights, inclusive of\nproduction of medical products, together with the accessories combined.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Faster_Payment_Clearance_by_PSUs\"><\/span>Faster Payment Clearance by PSUs<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>To improve the liquidity status of MSMEs,\nthe Central Government has directed that the amount outstanding by PSUs (Public\nSector Units) or Government Departments need to be cleared within 45 days of\nacceptance of goods or service.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"No_Global_Tender_up_to_Rs_200_crores\"><\/span>No Global Tender up to Rs 200 crores<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Recently, the\ngovernment has amended the provisions of the General Financial Rules 2017 to\ndisallow the global tenders in government procurement up Rs 200 crores.\nFurther, the same was announced in the Atma Nirbhar Bharat Stimulus Package.\nThe reason behind the implementation of such decision was to create more\nopportunities and prospects for domestic players. Moreover, the local industry\nwill benefit as well from this initiative.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In a nutshell, we can rightly state that MSME Registration Guarantees Business Growth as it aims to uplift and elevate small entities from the growth and financial viewpoint. Since MSME Registration is a bundle of productive benefits, as a result, one can choose to go for registration to set off the development of his\/her business. <\/p>\n\n\n\n<p>Besides this, the Ministry of MSME takes\ncare of the financial health of the small entities by offering them easy\ncredit, that, too at nominal rates.<\/p>\n\n\n\n<p>Lastly, in case of any other doubt or confusion, reach out to <strong><a href=\"https:\/\/swaritadvisors.com\/contact-us\" class=\"text-primary\">Swarit Advisors<\/a><\/strong>, our MSME experts are there to cater to all your needs and provide end to end assistance.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>\u2018MSMEs\u2019, the backbone and growth drivers of our economy, contribute around 30% of the total GDP (Gross Domestic Product) and 40% of the total exports. Also, this sector plays a crucial role in generating employment opportunities and provides around 110 million people employment every year. Therefore, it can rightly be stated that MSME Registration Guarantees [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":483,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[34],"tags":[109],"acf":[],"_links":{"self":[{"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/posts\/481"}],"collection":[{"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/comments?post=481"}],"version-history":[{"count":9,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/posts\/481\/revisions"}],"predecessor-version":[{"id":494,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/posts\/481\/revisions\/494"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/media\/483"}],"wp:attachment":[{"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/media?parent=481"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/categories?post=481"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/swaritadvisors.com\/blog\/wp-json\/wp\/v2\/tags?post=481"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}