What is MSME?

3 minutes

MSME full form is the Ministry of Micro, Small & Medium Enterprises. As per the (MSMED) Act, 2006 enacted by the Government of India, the definition of an MSME encompasses Micro, Small and Medium Enterprises.

As per the Micro, Small and Medium Enterprises Development (MSMED) Act, the definition of an MSME encompasses micro, small, and medium enterprises.

What type of businesses come under MSME?

Enterprises come under these sub-categories based on their annual turnover and investment, whether they belong to the manufacturing or the service sector:

Micro

Small

Medium

Investment not exceeding Rs. 1 crore and turnover of up to Rs. 5 crore

Investment of not more than Rs. 10 crore and turnover not exceeding Rs. 50 crore

Investment of not more than Rs. 50 crore and turnover of up to Rs. 250 crore

If you own an MSME and need money for business growth and expansion, apply for an MSME loan from Bajaj Finance. With sanctions of up toRs. 55 lakh, you can cover business expenses like buying machinery or increasing working capital.

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Frequently asked question

What does MSME mean?

MSME is an acronym that stands for Micro, Small, and Medium Enterprises. According to the Micro, Small, and Medium Enterprises Development (MSMED) Act of 2006, MSMEs are divided into two categories:

  1. Manufacturing enterprises are those that manufacture or produce things in any industry
  2. Service enterprises are those that provide or give services.