SSI Registration Benefits in IndiaPosted by Enterslice India on August 4th, 2018 SSI enterprises are becoming a prime factor for developing countries to grow and helps to improve economic stability, promoting equitable development for all. The government of India is also supporting such enterprises by providing various aid such as subsidies, schemes, and incentives to promote SSI. For availing such benefit from Central or State government, the enterprise needs to get registered under SSID Act. Micro, Small and Medium enterprise whether a manufacturing or service sector needs to get registered under SSID Act. SSI registration is not compulsory, but to avail benefits for business, one should register it. Who can apply for SSI Registration?
When to apply for SSI Registration? Registration under SSI Registration can be done after the commencement of business. The date can be a past date but not a future date. Benefits under SSI Registration? Reservation Policy The most vital benefit given to this enterprise is the Reservation Policy. To safeguard the SSI sector from the market competition, the central government has given exclusive rights to manufacture certain products to this sector. Under the purchase program, the Central Government has reserved the purchase of more than 300 products. Entrepreneurial Memorandum policy An Enterprise engages in manufacturing process needs to file Entrepreneurial Memorandum. The banks are directed by the RBI to assign a certain percentage of their lending to priority sectors like agriculture, Micro, small and medium-sized enterprises, loans to poor students for their education, etc. So, the filing of Entrepreneurial Memorandum helps the SSI to get the benefit. Credit Guarantee Fund Trust The Reserve Bank of India has directed various banks to give collateral-free loans to Micro and small companies. Such type of companies can avail a loan up to 50 lakhs collateral free loan. Capital Aid for Technological up gradation Due to lack of funding, some SSI registration process company may not be able to use their resources to full potential. The Government, under the capital aid for technological up gradation scheme, helps this sector to upgrade the equipment through the latest technology. Market Development The government provides marketing assistance to this sector, which is manufactured, which does not fall under the purview of Reservation policy. Source url https://enterslice.odoo.com/ssi-registration-benefits-in-india Like it? Share it! More by this author |