What is MSME?
MSME factories are the backbone of the economy in a developing country such as India.
The MSME sector accounts for 45% of India’s total industrial jobs, 50% of India’s total exports, and 95% of all the country’s industrial units and over 6000 product forms (As per msme.gov.in). As these sectors expand, the country’s economy is growing and prospering as a whole. These industries are also called small-scale or SSI industries.
benefits of MSME :
The bank loans are cheaper as the interest rate is around ~ 1% to 1.5% because of the MSME registration. Far less than the daily loan interest.
It also provided for credit to be carried forward for a minimum alternative tax (MAT) for up to 15 years rather than 10 years
When a patent is registered or the expense of developing the industry decreases the number of discounts and concessions available.
Registration with MSME helps to quickly procure state tenders, with Udyam Registration Portal incorporated into the government e-marketplace and several other State government portals providing quick access to its marketplace and e-tenders.
For unpaid sums of MSME, there is a one-time payment fee.
