Benefits of MSME Registration

  • Admin
  • Jun 07,2020
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Following are the main benefits of MSME Registration:

  • Registration will help in to get government tenders.

Government are issuing tenders costing up to Rs 200 Cr only to MSMEs units.

  • Registration will help in to get government subsidies on IPR/Loans

Business enterprises registered under the MSME Act can avail instant subsidy/discount of 50 per cent for patent/trademark registration. 

  • Interest rate exemption

Businesses or enterprises registered as MSME under the MSME Act are eligible to avail a benefit of 1% on the overdraft as part of the Credit Guarantee Trust Fund Scheme. This can be as per the conditions of bank to bank.

  • Easy availability of bank loans with or without collaterals

Under the new initiative of government for MSMEs, a unit can get loan even without collaterals. Small business owner can get benefits of the same by applying with banks/NBFCs.

  • Low Interest rates on loan
  • Protection against delay payments from debtors

Best MSME registration benefits, a buyer is expected to make a payment for the goods/services within 15 days of the purchase. If the buyer delays, the payment for more than 45 days, the enterprise is eligible to charge compound interest which is 3 times the rate notified by RBI.

  • Eligible for self-employment training program conducted by Government
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