Micro Small & Medium Enterprise (MSME)
MSME—MICRO, SMALL and MEDIUM ENTERPRISES
Here is all that you need to know
Enterprise—such a powerful and purposeful sounding word—and indeed it is. It almost makes you wish you had one for yourself—and that’s entirely possible. Just read on and you’ll see how.
MSME- What does this mean?
MSME stands for Micro, Small and Medium Enterprises. Micro, Small and Medium- besides t-shirts, you can apply these labels to enterprises as well, based rather obviously on their sizes—basically anything that’s not a large enterprise or bigger, can be placed under the MSME banner. Most of the start up companies and other upcoming enterprises you see around you fall into the MSME category. Both the manufacturing as well as service enterprises are a part of the MSME.
Importance of MSME
From the point of view of the nation’s economy, these are a goldmine in contributing to its substantial growth. The enterprises falling within the MSME bracket are considered to the backbone of the economy—accelerating its development. More importantly, MSMEs play a vital role in balancing out and providing equitable development for everyone—the necessity of which is paramount. Since these enterprises are so important for our country, our government does whatever it can to support and encourage the development of a lot more such
enterprises. For successfully promoting the idea of MSME, the government has launched the MSMED act—on the basis of which many incentives are provided in the form of subsidies, development schemes, etc solely for the benefit of the MSMEs. These benefits, being provided by the Central or State Government along with the banking sector, are easily available upon registration.