NSIC Registration – Online Process, Fee and Benefits

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. 

How to Register for NSIC?

All Micro and small enterprises are entitled to undergo single-point registration for NSIC. According to a Government order issued in 2012, NSIC registration can now be done entirely online:

• 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. 

Also Read: How To Avail Of A Business Loan Without ITR?

NSIC Registration Fees

NSIC registration involves a one-time payment of registration fees along with inspection charges. Micro-sized enterprises must pay NSIC registration fees of Rs.3000 for turnover less than Rs.1 crore and an additional Rs.1500 for turnovers above Rs.1 crore. 

For small-sized enterprises, the registration charge amounts to Rs.5000 for turnovers less than Rs.1 crore and an additional Rs.2000 beyond Rs.1 crore. In addition to the registration fees, micro-sized enterprises are liable to pay Rs.2000 while small-sized enterprises are liable to pay Rs.3000 as inspection charges.

Features and Benefits of NSIC Registration

NSIC registration allows MSMEs to take advantage of certain schemes that boost competitiveness and overall business growth. NSIC schemes like the Performance and Credit Rating Scheme, Skill and Development Scheme and Bill Discounting scheme aim to open avenues for the growth of MSMEs. 

• 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. 

Moreover, registering for NSIC enables companies to overlook the money deposits that bidders accept to guarantee deal sincerity. Also, a list of 358 items is reserved for purchase, which helps in the development of small businesses.

Eligibility Criteria for NSIC Registration

The eligibility criteria for NSIC registration are enumerated below: 

• 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. 

Documents Required for NSIC Registration

An applicant needs to send the following documents for NSIC registration:  

• Address and identity proof of the applicant/authorised person  
• A copy of the MSME registration containing the necessary details 
• PAN and Udyog Aadhaar Memorandum (UAM) number
• Attested copies of all ownership documents and sales deeds (if any)
• Detailed declaration from the director’s board, partners, sole proprietors, and other related parties  
• Quality control documents
• Information about the assembly and subassembly lines
• Finished product quality control
• List of the quality control equipment and testing facilities 
• Test reports and other relevant documents from independent labs
• Proof of business existence of at least 3 years with proof of ownership for the plant, equipment, machinery, etc.
• Any entry made in the MSME Data bank 
• Performance Statement in the format described in Annexure F with audited balance sheet for the previous 3 years 
• Banker’s certificate, BIS licenses, FSSAI certificates (if any) and copy of ISO 9000 (if applicable)

What was the Government’s Objective behind Setting Up NSIC?

The National Small Industries Corporation contributes to the operational efficiency of business ventures. It promotes self-sustenance by advancing short/long-term loans at low-interest rates. Listed below are some basic objectives on which NSIC exists. 

• NSIC promises compliance, innovation and redefining business management processes at par with the global narrative. 
• Micro, small and medium enterprises can improve their scalability, suitability, and transparency in operations with the intelligent use of technology. 
• The Quality Management System aims to apply strategic direction against unidentified risks like economic shocks. 
• NSIC promises to uphold the interests of employees, employers, suppliers, and customers alike. 
• Constant upgrading of professional skills to keep pace with growing business needs. 
• NSIC thrives on boosting domestic exports to boost the balance of payment.  

Also Read: A Detailed Guide on Unsecured Business Loan: How To Apply, Benefits And Eligibility Criteria

Final Word

The NSIC certificate granted to the MSMEs under the Single Point Registration scheme offers a multitude of benefits to small and medium enterprises. They receive additional benefits when it comes to business growth and expansion. The NSIC Registration process continues to boost the productivity of small and medium enterprises and ventures. 

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