Overview of NSIC Registration

In this article the author has tried to throw some light on the benefits and procedure to be followed while applying single point registration (NSIC Registration) in a brief manner:

The Single Point Registration Scheme was introduced in 1976 with the objective to avoid the multiple registrations. NSIC (National Small Industries Corporation Limited) has been working to promote aid and foster the growth of micro, small and medium enterprises in the country. NSIC is public sector undertaking holds ISO 9001:2015 certification. It provides integrated support services under Marketing, Technology, Finance and other Support service.

SINGLE POINT REGISTRATION

NSIC registers Micro & Small Enterprises (MSEs) under Single Point Registration scheme (SPRS) for participation in Government Purchases. Unit registered under Single point registration scheme are eligible to get benefits of “Public Procurement Policy for Micro & Small Enterprises (MSEs) Order 2012” as notified by the Government of India, Ministry of Micro Small & Medium Enterprises.

SOME OF THE BENEFITS

• Issue of the Tender Sets free of cost: Issue of the Tender Sets free of cost-In addition to the above, 358 items are also reserved for exclusive purchase from SSI Sector
• Enables the allotment of tenders free of the cost: The key benefit of NSIC registration is that it authorizes the allotment of tenders free of cost to permitted MSMEs.
• Enhances the proficiency of MSMEs: It undertakes a set of customized services to enhance the proficiency of MSMEs in India.
• Assistance to MSMEs by combining various support services: NSIC helps in implementing various integrated support services as regards Marketing, Technology, Finance, and other sorts of support to MSMEs.
• Free from earnest money deposits: MSMEs having NSIC Registration are not required to pay EMD (Earnest Money Deposits). EMD is taken from the bidder to guarantee his sincerity in the deal.
• Progress of small-scale industries: To uplift the Small-scale Industrial sector NSIC has reserved 358 items for purchase particularly only from SSIs.
• Relief in government tenders: All MSMEs bidding for tenders within the price cap of L1+ 15% is permitted to supply up to 20% of the demand by lowering the price to L1.
• Offers various consultancy services: NSIC provides various consultancy services that include Capacity building, Policy framework, and Entrepreneurship development.
• Exemption from payment of Earnest Money Deposit (EMD);
• In tender participating MSEs quoting price within price band of L1+15 per cent shall also be allowed to supply a portion upto 25% of requirement by bringing down their price to L1 Price where L1 is non MSEs.
• Every Central Ministries/Departments/PSUs set an annual goal of minimum 25 percent of the total annual purchases of the products or services produced or rendered by MSEs.

ELIGIBILITY CRITERIA

• All Micro & Small Enterprises having MSME registration are eligible for registration with NSIC.
• For start-ups, Micro & Small Enterprises who have already commenced their commercial production but not completed one year of existence. In that situation the Provisional Registration Certificate can be issued to such Micro & Small Enterprises which shall be valid for the period of one year.

TRADERS ARE NOT ELIGIBLE FOR REGISTRATION UNDER THIS SCHEME

Micro & Small Enterprises who have already commenced their commercial production but not completed one year of existence. The Provisional Registration Certificate can be issued to such Micro & Small Enterprises under Single Point Registration scheme with monitory limit of Rs. 5.00 Lacs which shall be valid for the period of one year only from the date of issue after levying the registration fee and obtaining the requisite documents.

• All Micro Enterprises whose investment in- Plant & machinery is up to INR 25 lakhs and In-service sector up to INR 10 Lakhs, OR
• All Small Enterprises whose investment in Plant & machinery is up to INR 5 Crore, In-service sector up to INR 2 crores, OR
• Holding MSME Certificate.
• Completed one year of business commencement.

LIST OF DOCUMENTS REQUIRED FOR SINGLE POINT REGISTRATION

• Identity proof and address proof of the authorized person.
• Copy of Acknowledgement of MSME registration
• A Signed copy of PAN, Udyog Aadhaar Memorandum (UAM) Number,
• A Signed copy of ownership documents of the business location,
• Copy of sales deed, if any
• Declaration from the Directors, Partners, or Sole proprietor that whether or not they have any link with large scale Unit(s).
• Write-up on quality control measures adopted by the firm for ensuring the quality of raw material bought out item (s) for assembly and sub-assembly and for products/stores in process and the finished products quality control
• List of quality control equipment and testing facility available in factory
• Copy of type test report from an independent lab, where applicable as mentioned in the relevant standard.
• Business existence proof for a minimum of 3 years along with the proof of ownership of raw materials, plant/machinery, equipment, and tools.
• Particulars of employees involved in production and services.
• Particulars of entry have been made in MSME Data Bank.
• Memorandum as per application’s Performa ‘Annexure-F.
• Review on quality control measurement chosen by the firm for quality control.
• Audited balance sheet and P&L for the previous 3 years.
• Banker’s Certificate.
• Copy of BIS license, if applicable.
• Copy of ISO 9000 (not obligatory).

Registration Fee

The author can also be reached at redvatadvisory@gmail.com

Disclaimer: The information provided by the author (Ajay Sharma) in the article is for general informational purposes only. All information provided is in the good faith, however we make no representation or warranty of any kind, express or implied, regarding the accuracy, adequacy, validity, reliability, availability or completeness of any information in the article.