MSME classification revision expands eligibility and unlocks targeted scheme benefits including collateral-free loans and equity infusion.
Revised MSME classification uses both investment in plant and machinery and turnover thresholds to define micro, small and medium enterprises; registration is effected online by self-declaration (Udyog Aadhaar/Udyam) with Aadhaar, PAN, business and bank details, and allows multiple enterprises per Aadhaar. Registered units gain access to subsidised credit, tax and regulatory concessions, rebates on intellectual property filings, protection against delayed payments, certification reimbursements, preferential procurement and import concessions subject to export-obligation schemes (including EPCG), and pandemic-era support including equity infusion, subordinate debt and collateral-free credit, subject to application and scheme modalities. (AI Summary)