NSIC Registration In Chennai

The government has recently introduced a number of programmes to support the growth of MSME enterprises, including Single Point Registration, Marketing Assistance Scheme, Performance and Credit Rating Scheme, and others. Every one of these programmes is run by NSIC, the National Small Industries Corporation, a government organisation that is a part of the Ministry of Micro, Small, and Medium Enterprises (MSME).

Under the Ministry of Micro, Small and Medium Enterprises, National Small Industries Corporation (NSIC) is a recognised Government of India enterprise (MSME). NSIC has been trying to increase support for and encourage the expansion of MSME businesses throughout the nation. NSIC may also be regarded as a Mini Ratna PSU established in 1955 by the Indian government.

The goal of NSIC is to provide integrated support services that cover marketing, technology, finance, and other areas in order to support and promote the Micro, Small, and Medium-Sized Enterprises (MSMEs) Sector.

   

NSIC Registration - Eligibility Criteria

To qualify for NSIC registration, the business enterprises must meet the following requirements :

• Microbusinesses having a maximum investment of 1 crore rupees and a maximum annual revenue of 5 crores rupees.
• Small businesses having an investment of up to 10 crore rupees and a turnover of up to 50 crore rupees.
• Businesses must possess an MSME Certificate.
• Tradespeople are not eligible to register under this programme.

 

Benefits for NSIC Registration

The following are the advantages of NSIC registration:

Development of Small-Scale Businesses

• To apply for the licence, a manufacturer must be domestic or international and willing to sell their product in the Indian market as specified in the programme.

 

Free Allotment of tenders

• Previously, there was a fee associated with the allocation of bids, but now that we have registered with NSIC, we have the privilege of filing tenders for qualified MSMEs absolutely free of charge.

 

No EMD deposit

• Earnest Money Deposit is not needed of companies registered with NSIC (EMD)
• Assistance with government contracts: If an MSMEs firm has NSIC registration, it is permitted to supply up to 20% at a discounted rate.
• Facility for consortium-based tender marketing

 

Reserved Quota

• The department provides services in marketing, technology, finance, etc. to support and develop MSMEs.
• A minimum of 25% of all annual purchases of goods and services made by MSEs must come from the Central Ministry, and of that 25%, 4% must go to units controlled by Schedule Case and Schedule Tribes, and 3% must go to Women Enterprises.
• The NSIC department offers business development services to MSEs as well as a development capacity building policy and institutional framework to support entrepreneurship.

 

Credit Facilitation Through Bank

NSIC has signed a Memorandum of Understanding with many Nationalized and Private Sector Banks of India in order to fulfil all the credit needs of MSME businesses. NSIC makes it easier for MSME to receive financial support from the banks through syndication with these institutions. NSIC also follows up with banks on behalf of MSMEs and helps them complete the paperwork needed to submit bids to them.

Under the Bank Loan Facilitation Scheme, MSMEs can access bank financing depending on the banks' lending policies, and the credit proposals supported by NSIC receive particular attention. It consists of a variety of banks from both the public and private sectors.

• It gives MSMEs the choice to apply for a new bank or change their existing account to a new account.
• It also assists MSMEs with completing paperwork and submitting it to the bank.
• Following a positive grade being given to the unit under the ministry's Performance and Credit Rating plan, it aids MSMEs in obtaining a generous rate of interest from the banks.

 

RMA against Bank Guarantee

To assist MSMEs, the Raw Material Assistance Scheme provides finance for the acquisition of raw materials (Both indigenous & imported). In a manner, this presents a chance for MSMEs to better concentrate on the production of high-quality goods.

• Financial support for up to 180 days during the raw material acquisition process.
• MSMEs have made it possible to take advantage of purchasing economies such bulk discounts and cash savings.
• For the MSE's order, the units registered under this NSIC programme are qualified to get benefits under the public procurement policy.

 

Documents required for obtaining NSIC registration in India:

• MSME registration certificate
• information on plants and machinery and the cost of purchasing raw materials
• Accounts P&L, Trading, and Audited Balance Sheet
• Account for the last three years, properly signed by the designated CA
• Bankers' Report detailing the applicant firm's financial situation in accordance with Performa "F" of the application form
• Performance Evaluation
• inventory information and raw materials available
• a list of the technical personnel working on products and services
• Report on product and service quality control
• replica of PAN
• A copy of the rental agreement, the lease, or any relevant documents
• A statement from the owner/director stating that they have no relation to the large-scale unit
• Objects that require registration
• Articles of Association or a COI, or a partnership deed