MSME Government Schemes.

MSME Government Schemes.

What are the government schemes for MSME ?

The government of India has launched several schemes to support and promote the growth of Micro, Small, and Medium Enterprises (MSMEs). Some of the popular schemes are:

1. Prime Minister's Employment Generation Programme (PMEGP): This scheme aims to generate employment opportunities in rural and urban areas by setting up new micro-enterprises. It provides financial assistance of up to Rs. 25 lakhs for manufacturing units and up to Rs. 10 lakhs for service sector units.

2. Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE): This scheme provides credit guarantee cover to banks and financial institutions to encourage them to provide collateral-free loans up to Rs. 2 crore to micro and small enterprises.

3. Micro Units Development and Refinance Agency (MUDRA) Yojana: This scheme provides loans up to Rs. 10 lakhs to micro-enterprises, which can be used for working capital, purchasing equipment, and for business expansion.

4. Scheme for Promotion of Innovation, Rural Industry and Entrepreneurship (ASPIRE): This scheme aims to promote entrepreneurship in rural areas by setting up incubation centres, providing skill development training, and supporting the development of rural industries.

5. National Small Industries Corporation (NSIC) Scheme: This scheme provides support to small and micro-enterprises in the form of marketing assistance, technology upgradation, and export promotion.

6. Credit Link Capital Subsidy Scheme for Technology Upgradation (CLCSS): This scheme provides capital subsidy of up to 15% for technology upgradation of micro and small enterprises.

7. Technology and Quality Upgradation Support to MSMEs: This scheme provides support to MSMEs for technology upgradation, quality certification, and intellectual property rights.

These are some of the major government schemes for MSMEs in India. MSMEs can take advantage of these schemes to grow their businesses and contribute to the country's economic development.

Benefits of MSME registration

MSME registration offers several benefits to small and medium-sized businesses in India. Some of the key benefits of MSME registration are:

1. Access to Government Schemes: MSMEs registered with the government can access various schemes and incentives offered by the government, such as loans at low interest rates, subsidies on machinery and equipment, and tax exemptions.

2. Financial Assistance: MSME registration can help small businesses in availing financial assistance from banks and financial institutions, as they are more likely to lend to registered MSMEs due to their credibility.

3. Protection of Intellectual Property: MSME registration offers protection to businesses' intellectual property through patents, copyrights, and trademarks, which can help them safeguard their innovations and products.

4. Easy Credit: MSME registration can help small businesses in obtaining loans and credit at lower interest rates and with better repayment terms, as registered MSMEs are considered more trustworthy by banks and financial institutions.

5. Priority in Government Tenders: MSME registered businesses get priority in government tenders, as the government has mandated that a certain percentage of its procurement should be from MSMEs.

6. Marketability: MSME registration provides a mark of authenticity and reliability to businesses, which can help them gain trust and credibility among customers and partners.

Overall, MSME registration offers a range of benefits to small businesses, from access to government schemes to financial assistance, protection of intellectual property, and more.

What is the new scheme for MSME 2023?

The revamped credit guarantee scheme for Micro, Small and Medium Enterprises (MSMEs) will take effect from April 1, through infusion of ₹9,000 crore in the corpus, said Union Finance Minister Nirmala Sitharaman while presenting the Union Budget 2023.

What is MSME subsidy scheme?

This subsidy is provided to MSMEs for induction of well established and improved technologies in specified sub-sectors or products approved under the scheme. This scheme provides an upfront subsidy of 15% on institutional credit up to Rs. 1 crore (i.e. a subsidy cap of Rs.

Who is eligible for MSME scheme?

Individuals are not eligible to apply for MSME registration. MSME registration is open to any proprietorship, partnership business, corporation, trust, or society with an investment of less than Rs. 50 crore and an annual revenue of less than Rs. 250 crore.