Government Package For MSME 2020

The Micro, Small, and Medium Enterprises (MSME) sector has emerged as a crucial piece in India’s overall economic growth and development. It is an essential part of the critical supply chain for products and services.

Introduced in 2006, MSME comprises over 90% of total enterprises in the economy. With its dynamism and legerity, MSME established its estimable innovativeness and adaptability in providing large-scale employment opportunities. The sector also facilitates the industrialization of rural and backward areas, thereby assuring equal distribution of national wealth. The highly vibrant sector has shown recently its power to survive the economic downturn and recession.

Government Package For MSME

Concerning the issues arising out of the design, existence, and implementation, the government provides various policies and interventions to ensure development in various sectors. MSME is important among them. The government allows various packages for the MSME sector to strengthen the sector with sufficient financial backing.

1. Atmanirbhar Bharat

Atmanirbhar Bharat Abhiyaan or Self-Reliant India Mission is the special economic package worth 20 lakh crores or 10% of India’s GDP in 2019-20, announced by prime minister Mr. Narendra Modi. The government package for MSME brings out the importance of self- sufficiency and self-reliance, especially in times of devastation. For sustainable economic development, Atmanirbhar or self-independence is necessary. In the globalized world, the definition of self-reliance has undergone a transformation where it becomes more inclusive. In the global supply chain, it will prepare the country for tough competition.

This government package for MSME focuses on land, labor, laws and liquidity, and factors of production. Along with MSMEs, it also caters to various sections including cottage industry, laborers, middle class, and industries. The package aims to empower the poor, laborers, migrants, etc. from both organized and unorganized sectors.

2. Schemes For MSME

MSME is a catalyst for the socio-economic transformation of the country. The government, especially the MSME ministry, allows different schemes to enhance the marketability of products and services in the sector thereby increasing the growth in the sector. These schemes stretch from providing collateral-free credit and access to incubation centers to improved employment opportunities and equipment for entrepreneurs in different corners of the country.

The schemes boost competitiveness in the sector and support their long-term sustainability. Some of the schemes and government package for MSME provided for the MSME sector recently are ASPIRE (A Scheme for Promoting Innovation, Rural Industry & Entrepreneurship), CLCSS (Credit Linked Capital Subsidy Scheme), PMEGP (Prime Minister’s Employment Generation Programme), etc.

3. Collateral Free Loans

For the collateral-free automatic loan worth 3 lakh crores, borrowers with up to 25 crores outstanding and turnover of Rs.100 crore and eligible. These loans have a 100% credit guarantee along with a 4-year tenure and moratorium for 4 months. The scheme can be availed till 31 October 2020. It is expected to benefit about 45 lakh units.

4. Subordinate Debt For MSMEs

To provide stressed MSMEs with equity support, a subordinate debt which will facilitate provision of Rs.20000 crore. It is expected that the loans will help MSME to expand in size as well as incapacity. In the subordinate debts for stressed MSMEs, the debt will be given by the bank to the promoters of the MSMEs and then it will be infused among the units by the promoters. It is expected that the subordinated debt facility will aid 2 lakhs stressed MSMEs.

5. COVID-19 Relief Package

To help the country’s economic tide over the ongoing coronavirus, Mr. Narendra Modi announced a mega 20-lakh crore stimulus package which is expecting to revive the economy. The package will help the MSME sector in great ways where it can secure the jobs and the payment. Addressing the issue of payment is a great relief to the sector. In this challenging period, small businesses need the most support and stimulus, and the packages for MSMEs help the sector to survive in every way possible.

6. The Emergency Credit Line For MSME

PNB or Punjab National Bank opened an emergency credit line for the MSME sector. If the facility tries to help the sector to tide over liquidity issues amidst the coronavirus crisis.

Why Choose Udyog-adhaar.in Over Government Website?

Often rightly termed as the “engine of economic growth”, the MSME sector is the backbone of any developing country. The government of India, State as well as Central, has always been in favor of MSMEs by supporting, promoting and providing them benefits. You can avail the government package for MSME only if you obtain an MSME registration under the MSME Act.

At the official government website, you can register for MSME for free. But you will probably become exhausted because of the form filling and documentation. You can take professional help for the complex online registration process to easily avail of the government package for MSME.

Udyog-adhaar.in is the most trusted website platform for MSME registration at the best price. The experts with us have years of industrial experience and knowledge that make them efficient enough to handle the whole process with ease. Online registration might not be simple for everyone. If you don’t know the terms of it, the whole process can turn into an intimidating task. In such a scenario, what you need is a reliable expert who can support you by getting the registration done on behalf of you.

At Udyog-adhaar.in, the clients are assured of the fastest and most secure MSME registration at affordable prices. We ensure that the registration process is carried out correctly and efficiently so that you will get the certificate within 3-4 working days despite the government website which takes 5-7 days to issue the certificate.

Individual or entity, if you are already registered under MSME, you can still get help from msmeregistrar.org to update your certificate or check the validity of it. We will constantly review the registered status of our clients so that we can help them to enjoy the government financial packages for MSMEs without any hassle. We are the best Udyog Aadhar Registration consultancy that believes in the satisfaction of our clients. Hence, we assure 100% accuracy and safety in the information provided and so the registration process. Enjoy the privileges of the financial government package for MSME with us at pocket-friendly prices.

For more details, feel free to contact us just by filling up the form.