Tag: MSMEs

Categories
MSME

Udyam Registration Portal: Over 25 Lakh MSMEs Registered Through Centre Govt’s Online Initiative

A worker at an MSME firm
A worker at an MSME firm. | Representative image.

The central government is taking several schemes to promote and develop the MSME sector. Certain programmes have been undertaken for the welfare of the micro, small and medium enterprises. One such initiative is the Udyam Registration Portal, which was undertaken to simply the process of registering a firm as an MSME. The registration through the portal has crossed 25 Lakh so far. As per the data shared by Union MSME Minister Nitin Gadkari in Rajya Sabha, a total of  25,07,112 firms have been registered as the micro, small or medium enterprises on the Udyam Registration Portal till March 22, 2021. In November the registration toll stood at 11 lakh. Udyam Registration Portal: GSTIN No Longer Mandatory for Registering MSMEs.

Launched in July last year, the portal aimed to eliminate the excessive paperwork involved in the registering process, making it more efficient and streamlined. The objective of the portal is to provide a single-page registration, consume less time and simplify registering process for MSMEs. The portal has been welcomed by the various existing MSMEs and the business owners who have been planning to get their firms registered under the sector. It has made the process of registration from transparent and user friendly. MSMEs in India: Over 11 Lakh MSMEs Registered So Far on Udyam Online System Since July; Here’s How You Can Register Your MSME Online.

Recently, the government also did away the need to have a GSTIN to register the firm as MSME through the Udyam Portal, following the complaints and criticism from the various groups and business owners in the sector. The business owners can now register under the MSME sector through the portal by using their PAN (Permanent Account Number) cards only,  the GSTIN is no longer a mandatory requirement for the same. It also aims to support several  micro-enterprises, including skilled craftsmen and artisans and other enterprises in the informal sector and unorganised sector, by easing the process of registration.

Categories
MSME

Centre Committed to Promote Renewable Sources of Energy, Especially in MSME Sector, Says Union Minister Nitin Gadkari

Union MSME Minister Nitin Gadkari. (Photo Credit: PIB)
Union MSME Minister Nitin Gadkari. (Photo Credit: PIB)

The government and its various enterprises have taken several initiative to promote and develop the micro, small and medium enterprises. Several schemes and programmes have been implemented with the aim to boost the MSME sector in the country and improve its competitiveness at par with the global competitors. There are have certain steps undertaken by the Nitin Gadkari-Led Union MSME Ministry to reduce the cost of operations and increase the efficiency of its functioning. At a recent event, Nitin Gadkari said that the government is committed to promote the use of renewable resources in the country, especially for the enterprises in the micro, small and medium sector. MSMEs Should Avail Concessional Finance and Install Rooftop Solar System to Increase Business Efficiency, Says Union Minister Nitin Gadkari.

Addressing a webinar, Union Minister Nitin Gadkari said that the firms in the micro, small and medium sector with good track record are now being encouraged for capital market. Gadkari added there exists a huge opportunity for investment in scrapping policy. The MSME Minister also invested foreign investors to invest in the Indian MSMEs and expressed hope that it will drive the sector to become the world’s largest manufacturing hub, by providing numerous opportunities.Union Minister Nitin Gadkari Inaugurates Technology Centres, Extension Centres To Boost MSME Sector.

He also promoted the use of solar energy for the micro, small and medium firms in another recent event. Gadkari had earlier urged the MSME owners to install rooftop solar for enhancing the efficiency of the firm and bring down the cost of operations substantially. He had said that the roof top solar system offers an excellent value proposition to Micro, Small and Medium Enterprises by significantly bringing down cost of electricity consumption, which on an average, is up to one-fifth of their operations cost. He also asked the people in the sector to avail concessional debt finance to do the same.

“I believe there is a strong business case for MSMEs to install rooftop solar and achieve significant savings to achieve the cost-competitiveness. I am confident that MSMEs will stand together in generating and consuming solar power using their rooftops,” Union Minister Nitin Gadkari had said while addressing an event virtually earlier this month.

Categories
MSME

MSME Sector in India Has Huge Potential To Become World’s Largest Manufacturing Hub, Says Nitin Gadkari

Nitin Gadkari | File Image (Photo Credits: Facebook)

New Delhi, March 13: Union Minter Nitin Gadkari on Saturday said that the micro, small and medium enterprises (MSMEs) sector in India has a huge potential to become the world’s largest manufacturing hub. During a webinar on ‘Aatmanirbhar Bharat – Opportunities in Solar & MSME’ on Friday, Gadkari said that the government is committed to promoting renewable energy resources in the country, especially in the MSMEs sector.

The Minister, who holds the MSME portfolio along with road transport, said by making solar energy available, “we will create big market for electric vehicles”.  He said that the solar power rate in India is Rs 2.40 per unit and commercial rate of power is Rs 11 per unit and the cheap power generated through solar energy can be used for automobiles and other developmental works.

He expressed confidence that within five years, India will be a top manufacturing hub for automobiles in the world. While speaking about the businesses in India, the minister highlighted that India has tremendous potential and capacity for electricity generation. Gadkari invited investors abroad to invest in Indian MSMEs.

During his address, he expressed hope that this will provide a number of opportunities to the MSME sector in the country to become the world’s largest manufacturing hub. Talking about the growth of MSMEs in India, Gadkari said that the MSMEs with good track record are now being encouraged for capital market, adding that there exists a huge opportunity for investment in scrapping policy.

Categories
MSME Startup

Piyush Goyal Tells BIS To Cut Quality Testing Charges for MSMEs, Startups and Women Entrepreneurs in India To Encourage Ease of Doing Business

Women Entrepreneurship (Photo Credits: Pexels)

In a bid to encourage MSMEs, startups, and women entrepreneurs in India, the charges for testing quality of products should be reduced, Food and Consumer Affairs Minister Piyush Goyal said. The Minister said that once the charges are minimised, it will help them to get their products certified and meet standard norms. Goyal said this at the 3rd Governing Council meeting of the Bureau of Indian Standards (BIS). During his address, Goyal said that there is a need to change the approach of the country towards standardisation and instructed BIS to create a customer charter to usher in highest transparency in its certification process and inspections.

The Minister added saying that the fee for testing of standards should be reduced drastically ‘throughout’ for the MSMEs and in the initial years for the startups and for women entrepreneurs. Goyal said that this will encourage them to get their products certified and also encourage the ease of doing business. During his address, Goyal said that it is a challenge for BIS to fast track the standard setting processes, especially for these programmes of national priority.

BIS must therefore ensure that its technical Committees develop the required new standards in the quickest possible time for products where presently none exist, or review and revise existing standards whenever required, the minister said. Goyal reviewed the process of making Indian Standards and their implementation with officials from BIS, different ministries and regulators, among others.

Goyal directed the BIS to go in for massive expansion and modernisation of testing labs so that entrepreneurs don’t have to travel far to get the testing and certification of standards. Talking about PM Narendra Modi’s mantras for economic development, Goyal said, “Prime Minister Shri Narendra Modi has given the three mantra for faster economic development i.e. Speed, Skill and Scale. Now it is time to add fourth dimension of ”Standard” in to this”.

Categories
MSME

MSME Sector ‘Growth Engine’ of Indian Economy, Contributes around 30% to GDP, Says RBI Governor Shaktikanta Das

RBI Governor Shaktikanta Das (Photo Credits: Wikimedia Commons)

The Micro, Small and Medium Enterprises have been gaining momentum in past few years. Government at various levels, the MSME Ministry, Public Sector Banks, and NBFCs among other state agencies have been implementing several initiatives for the development of the sector and encourage more and more people to establish their businesses in the MSME sector. The sector did suffer owing to the coronavirus outbreak and the subsequent lockdown, which lead to curb on all the economic activities across the country. However, the various micro, small and medium enterprises are now on the path of revival and will soon bloom to its full potential soon again. Union Budget 2021: Here Is What the First Paperless Budget Has In Store for the MSME Sector.

Addressing the 185th Foundation Day Celebration of Bombay Chamber of Commerce and Industry, Governor of the Reserve Bank of India Shaktikanta Das said that the Micro, Small and Medium Enterprises (MSME) sector has emerged as the growth engine of the economy and is showing signs of revival after the COVID-led degrowth in early part of the current financial year (2020-21). Das added that the sector has been rendered vulnerable by the pandemic necessitating concerted effected effects to combat the stress and focus on the revival of the sector.

He informed that MSME sector -a vast network of around 6.33 Crore enterprises- is contributing about 30 per cent of the nominal Gross Domestic Product (GDP) of the country and 48 per cent to the total exports of India. “As digital capabilities improve and connectivity becomes omnipresent technological innovation and technology-driven revolution are poised to quickly and radically change India’s economy,”said Das. Adding that the Reserve Bank of India has also made necessary intervention to support economy’s critical sector- referring to the micro, small and medium enterprises. Major Boost to MSME Sector: Govt Trying to Make 5,000 MSME Clusters Under SFURTI Initiate, Says Union Minister Nitin Gadkari.

Meanwhile, the central government on its end has also been contributing towards the development of the MSME sector. In the Union Budget for the upcoming financial year 2021-22, Finance Minister Nirmala Sitharaman has proposed an allocation of a fund of over Rs 15,000 Crore to the Micro, Small and Medium Enterprises, which stands at double the amount apportioned to the sector last fiscal. A reduction in the custom duties has also been proposed, with duties on semis, flat, and long products of non-alloy, alloy, and stainless steels has been reduced to 7.5 per cent uniformly.

Categories
Startup

Startups and MSMEs in India Get Major Boost As Indian Bank Signs MoU With SID of IISc for Extending Exclusive Credit Facility to Businesses

Startup
Startup (Photo Credits: Pixabay)

New Delhi, February 20: In a bid to extend the exclusive credit facility to Startups and MSMEs in India, state-owned Indian Bank has inked an MOU with the Society for Innovation and Development (SID), an initiative of the Indian Institute of Science. Under the pact, the Indian Bank will extend loans of up to Rs 50 crore to these startups for their working capital requirements or for the purchase of machinery, equipment among other things.

This initiative is a part of the Banks scheme Ind Spring Board for financing Startups and will empower Startups and MSMEs to realise their research efforts powered by financial support from the Bank and backed by incubation facilities offered by SID, it said in a release.

In its statement, the Bank said that SID is the forerunner in setting up joint R&D with industries and supporting start-up incubation, the bank said, it provides support to the MSME sector by providing joint research and development arrangements and technical and financial support for incubation and acceleration of high-end technology products under its department named TIME2. (Technology Innovation for Midsized Enterprises).

Under the MOU, SID will identify the start-ups and MSMEs based on their credentials and past experience and will refer the list of such members who require financial assistance to the Bank, it added.

Categories
MSME

Credit Guarantee Trust for MSEs: Over 8 Lakh Entrepreneurs Get Credit Guarantee Under Scheme Run by MSME Ministry and SIDBI

MSME Ministry (Photo Credits: Wikimedia Commons)
MSME Ministry (Photo Credits: Wikimedia Commons)

The central government has launched several schemes to promote women entrepreneurship in the country as well as boost the Micro, Small and Medium Enterprises. One such schemes is the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE). It has operated by the MSME Ministry in collabroation with the Small Industries Development Bank of India (SIDBI). Under this scheme, the agencies offer credit guarantee to financial institutions to provide collateral-free loans to MSEs. As per the recent government data, under this scheme guarantee of Rs 45,215.35 crore in 8,38,947 loan accounts have been approved in fiscal year 2020. 4,35,520 accounts were extended guarantee under the scheme in the previous financial year. Union Budget 2021: Here Is What the First Paperless Budget Has In Store for the MSME Sector.

As many as 67,171 loan accounts of female entrepreneurs totaling to Rs 3,366.63 Crore have been approved under the scheme in the current financial year. Women entrepreneurs in Tamil Nadu got the maximum approval of Rs 394.50 crore on 8,593 accounts. It was followed by Uttar Pradesh where 6,289 accounts were approved for Rs 334.59 crore). Madhya Pradesh with 5,927 accounts approvals for Rs 215.42 crore and , Andhra Pradesh with 5,208 approvals for Rs 143.16 crore stood third and forth respectively. Meanwhile, 4,776 accounts were provided guarantee for Rs 295.22 crore in Karnataka . MSMEs in India: Govt Aims To Raise MSME Sector’s Share in GDP to 40% From the Current 30% To Benefit Rural Poor, Says Nitin Gadkari.

Continuing its efforts to develop and promote the MSMEs in India, the Union Budget 2021 also provided a share fair of public expenditure to the sector. In the budget for the upcoming financial year, Finance Minister Nirmala Sitharaman has allocated a fund of over Rs 15,000 Crore to the Micro, Small and Medium Enterprises, which stands at double the amount apportioned to the sector last fiscal. “We have taken a number of steps to support the MSME sector in this budget. I have provided Rs 15,700 crore more than double the previous year,” said the Finance Minister

Categories
MSME

MSMEs in Haryana Get Major Boost! Products Manufactured by MSMEs in the State To Get Global Market, Talented Artisans To Benefit

Clothing Business

Chandigarh, February 11: The products manufactured by the Haryana MSMEs will now get the global market as the Haryana government signed pacts with three companies on Thursday. The news was informed by Haryana Deputy Chief Minister Dushyant Chautala. The Minister, who also holds the industries department portfolio, said artisans producing traditional handloom products of the state will also get a reasonable price for their craft. The Deputy Chief Minister said the signing of MoUs with three companies of international and national level by the MSME department is a step towards ‘Atmanirbhar Bharat’. The pact will give a boost to the MSMEs of the state as well as to the talented artisans.

The pacts with ”eBay”, Power2SME”, India’s first ”buying club” for SMEs and TradeIndia.com, price and product discovery platform, was signed by Haryana MSME Department Director General Vikas Gupta and the representatives of the companies. The memoranda of understanding (MoUs) by Haryana’s Micro, Small, and Medium Enterprises (MSME) Department with three companies was signed in his presence, a state government statement said. Industries and Commerce Department Principal Secretary Vijayendra Kumar was also present on the occasion.

  • The products being manufactured by the MSMEs of the state will now be able to be purchased in any corner of the world; this will also increase the export of our country.
  • Haryana government’s primary focus is to promote entrepreneurship, to enhance inclusive and balanced regional development in the state.
  • The strategic collaboration will help MSMEs, artisans in remote parts of the state, to overcome challenges restricting their access to domestic and international markets. This will not only give a boost to sales of existing entrepreneurs but also create unprecedented opportunities for new entrepreneurs.
  • Through this initiative, we are aiming at significantly enhancing visibility of indigenous and specialised products from the state, be it industrial products, or traditional handicraft products, and further strengthening ”brand Haryana”.

Chautala said these MoUs will also create unprecedented opportunities for new entrepreneurs. On the occasion, Kumar said MSMEs are becoming the backbone of the economy. He said the state government is committed to strengthening the existing ecosystem of over 2 lakh MSMEs in the state. Chautala said that in the current competitive era, it is important for MSMEs to adopt new and strategic approaches and added that e-commerce has the potential to take MSMEs to new markets. Gupta said the directorate of MSME is providing all possible help to its entrepreneurs so that they can generate good income from their enterprises and more youth can get employment.

Gupta said the directorate of MSME is providing all possible help to its entrepreneurs so that they can generate good income from their enterprises and more youth can get employment. He added that this pact will help our MSMEs transcend geographic boundaries and reach out to newer markets. “We look forward to creating impact and generate larger market opportunities for our MSMEs.”

He added that this pact will help our MSMEs transcend geographic boundaries and reach out to newer markets. “We look forward to creating impact and generate larger market opportunities for our MSMEs.”

Categories
MSME Startup

Aero Space 2021: MSMEs Bag Defence Orders Worth Rs 203 Crore in The Event

Fighter Aircraft (Photo Credits: Pixabay)
Fighter Aircraft (Photo Credits: Pixabay)

The scope of Micro, Small and Medium enterprises have been rapidly expanding. The sector is no longer limited to handicrafts, apparel and other labour intensive industries. Its areas of operations are even including highly advanced and technology incentive ones. Newer capital driven avenues are being opened up for the enterprises. Even MSMEs related to the production of defence related equipment and technology are gaining momentum. In the on going Aero India 2021 in Bengaluru, several small and medium scale enterprises have participated and showcased their prowess.  Overall the MSMEs have garnered a deal worth Rs 203 Crore from the Ministry of Defence during the event. Evaluation of Business Performance: 5 Ways to Measure True Success.

Union Defence Minister Rajnath Singh on Friday addressed the Start-Up Manthan organised by the Innovation for Defence Excellence (iDEX) at the Air Force Station, Bengaluru. The event provides an opportunity for start-ups to showcase their capabilities, products and services to the targeted audience. During his speech, Singh announced that 45 MSMEs participating in the event have bagged orders worth Rs 203 Crore, terming it a big achievement. “We have signed 128 MoUs, 19 ToTs, 4 Handing Overs, 18 Product Launches and 32 major announcements, totalling a grand figure of 201 feats, ” he added.

The number of start-ups in the aero-space sector has also increased manifolds. Over 300 start-ups have been currently engaged and under iDEX. Meanwhile,  10 start-ups have developed products worth ₹100 crore which were put on display at the Aero India event this year.  In Defence India Start-up Challenge (DISC) for the ongoing year, over 1,200 start-ups and innovators took part. Out of the total participants more than 60 start-ups in 30 technological areas under DISC challenges have been recognised. 3 Simple & Effective Growth Hacks for Every Small Business.

The Union Defence Minister informed that around  Rs 4,500 Crore worth investment has been made in 384 start-ups through Fund of Funds Scheme. “In such an ecosystem, it will not be an exaggeration to say that our economy is soon going to be driven by these start-ups,” said Rajnath Singh. Adding that the government is acutely conscious that start-ups being the latest entrants in the defence manufacturing sector require that extra push.

Categories
Business motivation

How Investors can contribute with more than Investing Just Money into the Startups

Investors
ईज ऑफ डूइंग बिजनेस

Investment is the blood of any startup that is vital for its smooth functioning. However, investing in startups is a lot more than just buying stocks.

A report by IBM (Institute for Business Value and Oxford Economics) stated that around 90 percent of the Indian startups fail within the first 5 years of their inception due to the lack of innovation.

Truth to be told, many entrepreneurs themselves believe that post the initial ideation, the startups fail to scale because they lack funds, strategy, or strong leadership. More often than not founders or the owners of small businesses place too much focus on raising money, rather than emphasizing the value that each investor can bring to the table.

So how can an investor add value to the startups beyond making investments into the company?

  1. Financial Aid & Funding

Needless to say that backing startups with finances are often a huge advantage if you are an investor. By providing capital and financial aid, an investor adds immense value to a startup. But, it would be beneficial for the startup if an investor brings more than just money to the table.

As the initial years are crucial for small businesses, investors can help MSMEs and SMEs with their deep industry insights and mentorship. They can help young entrepreneurs in the early stage of the business and guide them to success.

  1. Strategic Planning & Decision Making

Customer satisfaction, cost-effectiveness, and relevance of the product or service in the target market are often lost in the struggle to scale. A seasoned investor who has gained expertise with years of experience can lay a crucial role in decision making.

By making available strategic planning, investors can also help in achieving market penetration and profitable operating ratios.

  1. Network Creation

For small businesses, it is essential to gain access to the right people at the right time in the early stages. An established investor can help in the creation of valuable connectivity to the potential customer or the right talent pool.

Young entrepreneurs who hail from tier II or III cities struggle in finding the right investors and right talents due to the limited access. Hence, investors can help small business owners by being the mediator in business talks. They can also help entrepreneurs in grooming and incubating new profitable ventures to help them grow.

  1. Visibility & Credibility

To add and increase the overall value to an innovative startup venture media attention and access to established domains are required. Hence, an investor can help to build associations with industry doyens, which results from a startup gain visibility and credibility in the market.

Making introductions, build meaningful & profitable associations, giving insights, an investor can do more than just buying the company stocks. With their immense contribution, they can increase the chances of that company`s success.

If you think about it more deeply, why an experienced investor shouldn`t help the startup he is investing in? Want to know how you can find an investor for your business?

Learn the best business strategies that will help you to get investment for your small business with our Everything about Entrepreneurship course. To know more about this course and exclusive offers, click here https://www.badabusiness.com/?ref_code=ArticlesLeads.