The National Small Industries Corporation (NSIC) registers Micro, Small & Medium Enterprises (MSME) under a Single Point Registration scheme to offer them unified support services. The corporation is a mediator between the Government of India and the small-scale industries. It aims to promote the growth and competitiveness of the MSME sector by launching various schemes. All MSMEs, including Udyam Aadhaar, registered MSMEs (MSMEs provided with a 12-digit Aadhaar number) are eligible for NSIC registration.
What is NSIC?
NSIC is a certified Government of India enterprise that works on promoting and fostering the growth of small and medium-scale industries across India. Through a network of technical centres, NSIC covers different sectors, including marketing, technology, finance, etc.
To enhance competition and integrate support services, the NSIC has developed several schemes. It also offers marketing support and is a facilitator for several national and international enterprises. NSIC also enables single-point registration for all government purchases. This allows micro and small enterprises to obtain benefits under Public Procurement Policy for Micro & Small Enterprises.
Documents Required
- Copy of Acknowledgement of MSME registration
- Details of of plant & machinery and raw material with original purchase price
- Performance Statement
- Self-attested copy of ownership documents of the premises or copy of lease deed.
- Declaration/Certificate from the Proprietor/Partner/Director whether or not they have any link with large scale unit(s).
- List of raw materials and finished goods in stock.
- Copy of BIS license, if applicable.
- Copy of ISO 9000 (Optional).
- List of technical personnel employed in production and services.
- Item for which registration required with detailed specification(s)
- Write-up on quality control measures adopted by the firm for ensuring quality of raw material, bought out item (s) for assembly and sub assembly and for products/stores in process and the finished products quality control
- List of quality control equipment and testing facility available in factory
- Copy of type test report from Independent lab, where applicable as mentioned in relevant standard.
- Latest Electricity Bill Copy.
- Audited Balance Sheet, Trading Account and Profit & Loss
- Account for the last 3 years duly signed by the authorized person under his seal.
- Statement showing the Results of Operation for the last 3 years duly signed by Chartered Accountant under his seal.
- Bankers’ Report giving details of financial status of the applicant firm as per Performa “F” of application form.
- Copy of Permanent Account No. (PAN)
- Partnership Deed
- Form ’A’ from Registrar of Firms showing the names of the partners.
- Certificate of Incorporation
- Memorandum and Articles of Association
Eligibility Criteria for NSIC Registration
- All micro-enterprises in manufacturing with investments up to Rs.25 lakh and those in the service sector with investments up to Rs.10 lakh.
- Small industries with investment in plant and machinery up to Rs.5 crore or service sector up to Rs.2 crore.
- Any enterprise holding valid MSME certificates or has completed a year of business.
- For business ventures not completing one year of commencement, NSIC registration is possible under the Single Point registration scheme.
How to Register for NSIC?
- Step 1: Eligible applicants should visit the official website of NSIC to obtain an NSIC certificate.
- Step 2: Micro and Small Industries must register themselves with the MSME Data Bank. They must use their UAM number and PAN to begin the process.
- Step 3: Fill in the required details in the application form.
- Step 4: Depending on the Unit enterprise category (Micro/Small), applicants must pay the respective NSIC registration fees.
- Step 5: An Inspection agency performs an inspection of store items in accordance with the domain expertise and jurisdiction.
- Step 6: Once the documents and payment get verified by the authorities, applicants can collect their final certificates online or via mail.
Registration Charges
Registration Fee
The NSIC charges the following fee for new registration based on turnover and MSME classification.
Less than Rs.1 Crore Turnover: Micro enterprises having less than Rs.1 crore turnover, are charged a fee of Rs.3000, while small enterprises having a turnover of less than Rs.1 crore are charged a fee of Rs.5000.
More than Rs.1 Crore Turnover: Micro enterprises having more than Rs.1 crore turnover, are charged a fee of Rs.3000 plus Rs.1500 for each crore of additional turnover. Small enterprises having a turnover of less than Rs.1 crore are charged a fee of Rs.5000 plus Rs.2000 for each crore of additional turnover. The total cap on registration fee is set at Rs.1 lakh.
Inspection Charges
In addition to the registration fee, MSME enterprises must pay for inspection charges, as decided by the inspecting agency. The inspection charges are set at Rs.2000 for micro enterprises and Rs.3000 for small enterprises.
Professional Fee
Finally, the MSME unit must pay professional fee to RITES Limited and Consultancy Development Centre for undertaking physical inspection. Professional fee are set at Rs.6000 for micro enterprises and Rs.8000 for small enterprises.
Features and Benefits of NSIC Registration
- NSIC registration allows the small industry sector to continue operations through loans and different schemes.
- The NSIC oversees the documentation process and helps business ventures to outline their short and long-term growth.
- With the provision for loaning capital with the best interest rates, NSIC assures complete guidance. Apart from extending capital for business development, they also ensure that enterprises can switch banks for credits.
- Small enterprises often face a dearth of capital and basic equipment to begin functioning. NSIC ensures that companies can purchase raw materials, equipment, and other machinery required for continuing production.
- NSIC provides digital and technical support to small enterprises for skill upgrading. They may also conduct sessions to provide useful knowledge on market economics and business development.
- NSIC promotes self-employment and acts as a consultant for business activities
FAQs
What is the validity of NSIC registration?
What are some activities that are not eligible for Single Point Registration (SPR) in the NSIC scheme?
Manufacture of medicines and drugs unless they are MSE units with operations in Ayurvedic, Unani, Sidha, or Homeopathic Medicines.
Any retail trading, wholesale trading, or commission agents.
MSEs awaiting completion of their blacklist period.
MSEs whose proprietor/partner/director is under criminal prosecution.