What is MSME / SSI / Udyog Aadar?

The registration under Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 is for facilitating the promotion and development and enhancing the competitiveness of Micro, Small and Medium enterprises.

Though the MSME registration is not statutory, it is beneficial for business at it provides a range of benefits such as eligibility for lower rates of interest, excise exemption scheme, tax subsidies, power tariff subsidies, capital investment subsidies and other support.

Slabs for Micro, Small and Medium enterprises

The following slabs have been prescribed under the MSMED Act to determine the status of the Enterprise:

No Type of Enterprise Manufacturing Industry(Investment in Plant and Machinery) Service Industry(Investment in Equipment’s)
1 Micro Does not exceed Rs. 25 Lac Does not exceed Rs. 10 Lac
2 Small Exceeds Rs. 25 Lac but does not exceed Rs. 5 Crore Exceeds Rs. 10 Lac but does not exceed Rs. 2 Crore
3 Medium Exceeds Rs. 5 Crore but does not exceed Rs. 10 Crore Exceeds Rs. 2 Crore but does not exceed Rs. 5 Crore


  • Lower rates of interest and FDI
  • Excise exemption scheme,
  • Tax subsidies,
  • Power tariff subsidies
  • Capital investment subsidies

Required Documents

  • Mandatory – Aadhar Card & PAN Card


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