The registration under Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 is for facilitating the promotion, development and enhancing the competitiveness of Micro, Small and Medium enterprises.
Registration of a firm under the Act is a medium to enjoy the benefits available to SMEs in terms of easy finance availability from Banks, preference in procuring Government tenders, stamp duty and octroi benefits, concession in electricity bills, timely receipt of payments from the buyers or debtors, reimbursement of ISO Certification expenses and so on.
All sectors and classes of enterprises, whether Trading, Service or Manufacturing, Proprietorship, Hindu undivided family, Association of persons, Co-operative society, Partnership firm, Company or Undertaking, by whatever name called can apply for the registration and get qualified for the benefits provided under the Act.
SME/SSI Registration India
The SME/SSI registration scheme has no statutory basis. Units would usually get registered to avail some benefits, incentives or support given either by the Central or State Govt. The regime of incentives offered by the Centre usually contains the following:
Although in many cases they may define it differently. However, usually the registration certificate issued by the registering authority is seen as proof of being SSI. States/UTs have their own package of incentives and facilities for small scale. They relate to development of industrial estates, tax subsidies, power tax subsidies, capital investment subsidies and other support. Both the Centre and the State, whether under law or otherwise, target their incentives and support packages generally to units registered with them.