An Overview of NSIC Registration
The term NSIC stands for National Small Industries Corporation and is a Government undertaking introduced in 1955 after independence. NISC Registration helps promote & foster the growth of Micro, Small and Medium Enterprises (MSMEs) in India by operating various schemes such as Single Point Registration Scheme for the involvement in Government purchases, Marketing Support, Performance & Credit Rating Scheme for small industries & more.
To facilitate the growth and competitiveness of the MSME sector, various schemes have been launched by the NSIC. These schemes include the Performance and Credit Rating Scheme, Single Point Registration Scheme, and Tender Marketing Scheme, etc. Hence, MSMEs are always suggested to obtain NSIC Registration to avail of schemes and benefits offered by NSIC.
NSIC also acts as an intermediary for MSMEs (Micro, Small and Medium Enterprises) as it bridges their need with various development schemes. Moreover, it has also set up various Training cum Incubation Centres, which are managed and controlled by professional manpower.
What are the Functions of NSIC?
Listed below are some of the key functions of NSIC:
- NSIC provides various skill development training concerning finance, marketing, etc.
- It provides imported and indigenous equipment or machinery to the Small-scale industries on an easy and cheap financial term due to its Hire Purchase Scheme.
- NSIC (National Small Industries Corporation) provides raw materials to several micro and small-scale enterprises.
- It also has the facility of leasing equipment to Indian small-scale industries.
- It participates in the bulk purchase program to assist in providing raw materials.
- NSIC also emphasises the facet of modernisation of SSIs by developing and advancing the technology.
- NSIC also deals with the construction of industrial estates.
Benefits of NSIC Registration
The benefits of NSIC Registration are mentioned below:
- The MSMEs having NSIC Registration are eligible to participate in various international fairs organised by NSIC.
- The MSMEs can even participate in various Tech Mart Exhibitions organised by NSIC. It will help them in getting familiar with the advanced & upgraded technologies.
- Individuals running small or micro-businesses also get a chance to participate in the Buyer-Seller meeting with the Government or other same-level associations.
- NSIC registered MSMEs augment their skills by taking part in various skill development training.
- The Government assists all the NSIC registered SSIs in computer-aided product designing.
- The MSMEs registered with NSIC have a chance to broaden their range of products and export all across the International Markets.
- MSMEs having NSIC Registration are exempted from the instalment of EMD (Earnest Money Deposit).
Eligibility Criteria for NSIC Registration in India
The applicant must fulfil the following criteria before applying for NSIC Registration in India:
- All Micro Enterprises whose investment in-plant & Machinery is up to Rs. 25 lakhs & in-service sector up to Rs. 10 lakhs;
- Must have MSME Registration Certificate;
- All Small Enterprises in India whose investment in plant and machinery is up to Rs. 5 crores, in-service sector up to Rs. 2 crores;
- Completed 1 year of Business Commencement.
Important Point: The Provision Registration Certificate shall be issued to the MSEs under the SPR Scheme, which has not completed one year of business commencement.
Some Important Schemes of NSIC in India
- Single Point Registration Scheme: For increasing the level of government purchases from SSIs, the SPRS or the Single Point Registration scheme was initiated. The MSMEs who are registered under this scheme are exempted from the EMD (Earnest Money Deposit) in Government Purchases.
- Performance and Credit Rating Scheme: This respective scheme aims at establishing trusted and independent third-party opinions on the competencies and creditworthiness of MSEs (Micro and Small Enterprises). Further, this scheme makes the availability of the credit at low-interest rates and also makes sure better productivity. Moreover, under this scheme, a percentage of the fee charged by the Credit Rating Agency is reimbursed by the Ministry of SSI according to MSEs Turnover.
- Bill Discounting Scheme: All the bills generated from genuine trade transactions, i.e., supplies made by MSMEs to renowned Public limited or Private Limited Companies/State or Central Government Departments and undertaking manufacturing or service activities. However, the traders are not covered under the ambit of this scheme.
- Raw Material Assistance Scheme: This scheme supports the MSME sector by financing their raw material purchase for indigenous and imported products. This scheme also provides an opportunity for MSMEs to emphasise manufacturing quality products.
- MSME Global Mart: MSME Global Mart is a Business to Business (B2B) portal. The NSIC initiated this to offer technology, financial assistance, and business to MSMEs at affordable rates. Further, the services offered by the MSME Global Mart can be benefited only by Annual Membership.
- Skill and Development Scheme: Various skill development training and technical support are provided to the MSMEs registered under NSIC. These trainings are provided at the NTSC (NSIC Technical Services Centres). Apart from this, it also has several Livelihood Incubation Centres (RBIs) and Training Incubation Centres (TICs), spread across the country.
Documents Required for NSIC Registration
The following listed are the set of documents required for obtaining NSIC Registration:
- A duly-signed copy of PAN and UAM Number (Udyog Aadhaar Memorandum);
- Identity proof of the authorised individual such as Aadhar Card, Voter ID, Driving License, etc.;
- Copy of MSME Registration Certificate;
- Details of employees involved in production & services;
- Banker’s Certificate;
- Business existence proof for at least 3 years along with the ownership proof of raw materials, equipment, plant or machinery, and tools;
- Audited balance sheet and Profit & Loss for the last 3 years;
- Copy of BIS License, if applicable;
- Sale Deed copy, if any;
- Declaration from the Partner or Director or Proprietor whether or not they have any link with large scale unit;
- Quality control measures adopted by the firm to ensure the quality of raw material bought out the item for assembly & sub-assembly and products or stores in process and the final products quality control;
- List of quality control equipment & testing facilities available in a factory;
- Review on the measurement for quality control chosen by the firm for quality control;
- Copy of ISO 9000 (not obligatory);
- Copy of test report from an independent lab, where applicable, as mentioned in relevant standard;
- Memorandum as per application’s Performa Annexure-F;
- Assigned copy of ownership documents of the business location (Certificate of Incorporation);
- The item for which required with specification;
- List of technical personnel employed in production & services;
- Performance Statement.
Procedure for NSIC Registration in India
Enterprises registered under MSME or have Udyog Aadhar Registration can apply for NSIC Registration. To get NISC Registration Certificate, MSMEs must fill out the application form and submit it along with the required documents to the respective NSIC's zonal or branch office nearest the unit.
Step 1: The applicant needs to visit the official website of the NSIC.
Step 2: To register for SPR applicant, MSMEs must register in MSME Data Bank using PAN and UAM Number.
Step 3: Then the applicant needs to fill out all the vital details in the application form and submit it along with the necessary documents.
Step 4: After submitting the application and documents, pay the prescribed fees to get the NSIC Certificate.
Step 5: Once the payment is done and documents & application get verified by the authority, then the NSIC Certificate shall be sent by post.
Validity Period of NSIC Registration in India
The Certificate of NSIC Registration is valid for a period of two years. Hence, the NSIC Registration will be reviewed and rechecked after the expiry every two years. The same is done to verify and check the Commercial and Technical Competence of the registered MSEs. In contrast, the Provisional NSIC Registration Certificate is valid for one year.
Charges for NSIC Registration
- Registration Fees:
Turnover up to Rs. 1 crore
Turnover More Than Rs. 1 crore
Rs. 3000 + Rs. 1500 for every additional turnover of Rs. 1 crore
Rs. 5000 + Rs. 2000 for every additional turnover of Rs. 1 crore
- Inspection Charges:
- 2000 for micro-sized MSME;
- 3000 for small-sized MSME.
NSIC Registration FAQs
NSIC or National Small Industries Corporation is an organisation that registers Micro, Small, and Medium Enterprises (MSMEs) involved in Government Purchases under the SPRS (Single Point Registration Scheme). The MSMEs that have NSIC Registration can easily obtain access to numerous developmental schemes introduced by the government and tremendous growth and escalation in their business.
The term “NSIC” stands for National Small Industries Corporation.
An MSME can either directly approach the bank, which is under the tie-up arrangement with NSIC, to submit its request for the loan requirement or visit the official NSIC Portal.
The main functions of NSIC include access to various progressive schemes, integrated support services, and training and skill development to the MSME sector to improve their competitiveness with regard to Marketing, Finance, and Technology.
NSIC was started in the year 1955 by our Indian Government. It is a Mini Ratna PSU (Public Sector Unit) and has the objective to raise and elevate the MSME sector in India.
NSIC or National Single Industries Corporation falls under the Ministry of Information Technology, Government of India.
The NSIC Registration is required to be renewed in every two years.
The schemes covered under NSIC are SPRS. i.e., Single Point Registration Scheme; Credit Rating Scheme; Tender Marketing Scheme; Assistance for Raw Material; National hub for SC (Schedule Caste) and ST (Schedule Tribe); and Offering Services concerning Marketing Intelligence
MSME Global Mart is a Business to Business (B2B) portal. It was initiated by the NSIC for offering technology, financial, and business assistance to MSMEs at affordable rates. However, the ones having the Annual Membership can only benefit from the services offered by the MSME Global Mart.
Yes, NSIC can issue a Provisional Enlistment Certificate under the SPRS to those MSMEs which have started their production but are not having the Audited Balance Sheet for the past one year.
An MSME with valid Udyog Aadhar or EM Part-II can obtain NSIC Registration in India. However, the MSMEs which have started their production but are not having the Audited Balance Sheet for the past one year can apply for NSIC registration with a validity of one year.
Yes, Swarit Advisors is an online platform where one can find experienced CA, CS, and legal experts. We have completed NSIC registration in Delhi, Mumbai, Gurgaon, Bangalore, Noida, Chennai, Ahmedabad, Hyderabad, Kolkata, Pune, Surat, Lucknow, Jaipur, Kanpur, Nagpur and other Indian cities.
No, there is no need for an individual to be physically present at our office as the entire process of NSIC registration is 100% online. The applicants just need to provide a scanned copy of the documents required by our experts.
No, the traders are not eligible to obtain NSIC registration in India.
An SPRS certificate remains valid for 2 years and can be renewed in every 2 years.
No, NSIC does not register any units or manufacturer dealing in Drugs and Medicines.
All the MSMEs are qualified to obtain NSIC Registration under SPRS.
An MSME Registration Certificate has lifetime validity. That means there is no need to get it renewed after a point of time. However, NSIC Registration Certificate issued to MSMEs under SPRS (Single Point Registration Scheme) remains valid only for 2 years.