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Registration of Small Scale Industries

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The registration process in case of small scale industries is not compulsory at all but you can make it but that will not be statutory. This kind of registration is not essential but if somebody goes for it then the enterprise becomes eligible to take given benefits from the State and Central Government, and with this very easily you can promote your enterprise too. Some quite popular schemes that you can take is credit guarantee scheme capital subsidy, ISO-9000 certification for reimbursement, private sector lending, exemptions that come under tax laws, some power tariff subsidies and many others.

If you like to register your small scale enterprise then you need to contact to State Directorate of Industries or the DIC’s (District Industries Centers). This type of registrations is product and location specific. In case of some states and metropolitan cities this kind of registrations is given to those enterprises that are located inside some industrial areas and estates.

Any small scale enterprise always comes under two types of registration. In its earlier stage they need to take provisional registration. The term provisional enterprise means the particular enterprise is yet to come into existence and within some limited time period it will be going to start. This type of certification is taken for some fixed time period and within that they suppose to set up the industry. The term PRC reflects Provisional Registration Certificate and it enables you to get below mention things:

  • Any kind of term loans and capital can be taken from any financial institutions or bank through the heading of private sector lending.
  • They can take the facilities of accommodation, land and any other types of favorable approvals.
  • With its help they can apply for NOCs (No Objection Certificates) from any regulatory body like from pollution control board, labor system and from others.

To get the permanent registration these units need to commence a type of permanent registration. They will search the authentication of your document and go for a physical inspection before giving a permanent registration of your enterprise. Here mentioning a list of some formalities:

  • They need to take clearance certificate from municipal corporation
  • Taking approval from the State pollution control board
  • They also need to take sanction from the board of electricity
  • Taking whole rights of ownership for the newly set-up unit
  • If the enterprise is a private firm then doesn’t forget to take Memorandum of association and an extra copy of the partnership.
  • One should not  forget to take sale and a purchase bill of manufactured product along with bill of all other products
  • Taking sale and a purchase bill of all raw materials and end products is essential.
  • One should also have a purchase bill of installed machinery inside your enterprise
  • One should have BIS/QC certificate (only if it's required)
  • At last owner should have an affidavit that proves the status of the firm along with the used power consumption and detail of installed machinery.

This type of registration certificate proves the authenticity and makes it reliable for customers and in this way they can take advantage of the given below concessions:

  • They can be benefitted from Income Tax and sales tax exemptions that are mainly given by the State Government
  • From the incentives that are given as power tariff
  • Preference to the produced goods
  • Stock of raw material that depends on existing policy

Taking provisional registration is not essential just to take a permanent registration but it is the fact that once you have taken provisional registration then no wonder you can take advantage of state and center level assistances.

This kind of registration process always comes in the uniformity in all states but individual states makes some changes in it as per their convince like in some state you can find SIDO registration scheme and in other the same is running with the name of the State registration scheme, however both have the same meaning. Generally SSI’s are considered good for the society but if it crosses its limit or foundation then it can be considered for de-registration.



 
 
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