MSME (Micro, Small and Medium Enterprise), loans are mostly offered to start-ups and small business owners defined under the Micro, Small and Medium Enterprises Development Act, 2006 came into force on 02nd Oct, 2006
a) Section 2(E) – defines Enterprise
i) (e) "enterprise" means an industrial undertaking or a business concern or any other establishment, by whatever name called, engaged in the manufacture or production of goods, in any manner, pertaining to any industry specified in the First Schedule to the Industries (Development and Regulation) Act, 1951 (55 of 1951) or engaged in providing or rendering of any service or services;
ii) Any business owner – who is not a corporate, should be structured business – pan and Aadhar – then u can get MSME
b) On 13th May the Finance Minister increased the scope of Definition and
i) Removed the distinction between Manufacture and Service provider – put them in the same boat
(1) Redefined the brackets of who would fall in which sector
ii) Micro – Investment less than 1 Cr and Turnover less than 5Cr
iii) Small - Investment less than 10 Cr and Turnover less than 50 Cr
iv) Medium – Investment less than 20 Cr and Turnover less than 100 Cr
