MSME

The Ministry of Micro, Small and Medium Enterprises, a branch of the Government of India, is the apex body for the formulation and administration of rules, regulations and laws relating to micro, small and medium enterprises in India.

What is SSI or MSME?

• There is no difference between SSI & MSME.
• SSI stands for Small Scale Industries and MSME Stands for Micro, Small & Medium Enterprises. These are like Similar words, used to denote a single thing.
• Now the next, which enterprise can be said a Small Scale.
• There are 2 sides. One is for Manufacturing Units and another one is Service Rendering Units. In case of Manufacturing Units, that concerned units will be considered for the same if, investment in its Plant & Machinery (excluding land & building).
• Micro Enterprises: Investment of up to Rs.25 lakhs in plant and machinery.
• Small Enterprises: Investment of up to Rs.5 crores in plant and machinery.
• Medium Enterprises: Investment of up to Rs.10 crores in plant and machinery.
• In case of Service Rendering Units, that concerned units will be considered for the same if, investment in its Plant & Machinery (excluding land & building).
• Micro Enterprises: Investment of up to Rs.10 lakhs in equipment.
• Small Enterprises: Investment of upto Rs.2 crores in equipment.
• Medium Enterprises: Investment of upto Rs.5 crores in equipment.

MSME according to Indian Law:

The Government of India has enacted the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 in terms of which the definition of micro, small and medium enterprises is as under Enterprises engaged in the manufacture or production, processing or preservation of goods as specified below:

A micro enterprise is an enterprise where investment in plant and machinery does not exceed Rs. 25 lakh

A small enterprise is an enterprise where the investment in plant and machinery is more than Rs. 25 lakh but does not exceed Rs. 5 crore

A medium enterprise is an enterprise where the investment in plant and machinery is more than Rs.5 crore but does not exceed Rs.10 crore.