Banking Micro, Small And Medium Enterprises

Micro, Small And Medium Enterprises

In accordance with the provision of Micro, Small & Medium Enterprises

Development (MSMED) Act, 2006 the Micro, Small and Medium Enterprises

(MSME) are classified in two Classes:

1. Manufacturing Enterprises

The enterprises engaged in the manufacture or production of goods pertaining to any industry or employing plant and machinery in the process of value addition to the final product having a distinct name or character or use.

The Manufacturing Enterprise are defined in terms of investment in Plant & Machinery

Types    Investment in Plant and Machinary

Micro    Not more than 25 lakh rupees

Small    25 lakh-5 Crore

Medium    5-10 Crore

2. Service Enterprises

The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.

Types    Investment in Equipment

Micro    Not more than 10 lakh

Small    10 lakh-2 Crore

Medium    2-5 Crore