Registrations to a Small Scale Industry is allowed by the State Directorates of Industries according to the guidelines given by the Ministry of Industry, Development Commissioner (SSI), Department of Small Scale Industries and Agro & Rural Industries, Govt. of India, New Delhi. The categorization of activities and size of investment in fixed resources of plant & machinery for SSI is administered by the arrangements of Industrial (Development & Regulation) Act, 1951.
The SSI Board under the chairmanship of the Prime Minister and the Small Industries Development Organization (SIDO) different policies for the growth of the SSI sector. An extensive number of products are cautious for restricted manufacture by the SSI sector to take care of small scale industries from large industries.

SSI registration can be acquired by both manufacturing units and service-rendering activities.

However, the enrollment eligibility criteria distinct for SSI units in manufacturing and SSI units in service rendering as follows:-

Micro Enterprises: Investment in plant and machinery of up to Rs.25 lakhs.

Small Enterprises: Investment in plant and machinery of up to Rs.5 crores.

Medium Enterprises: Investment in plant and machinery of up to Rs.10 crores.

Step 1: Provisional SSI Registration:-

To get SSI registration the business must initially apply for Provisional SSI Registration Certificate (PRC). Provisional Registration Certificate is given when the unit is in a preoperative time and supports the SSI unit to get term loans and working capital from financial institutions/banks under priority sector lending. Also, to help in getting a bank loan, the provisional SSI registration certificate supports the business obtain facilities for land, accommodation, other approvals, etc. and obtain different essential NOC’s and clearances from regulatory bodies such as Labor Regulations, Pollution Control Board, etc.

Provisional SSI enrollment can be applied anytime for by a business and an industrial license is not needed. When an application is made for Provisional SSI registration, the provisional registration is issued and no field inquiry is completed. Provisional SSI registrations are valid for 5 years and if the entrepreneur is helpless to set up the unit in this period, a unique application for provisional registration can be made at the end of 5 years period.

Step 2: Start the Business:- Begin your business with the provisional SSI registration certificate. Commence activity or production.

Step 3: Permanent SSI Registration:-

When the business begins production or activity, the business can apply to get permanent SSI enrollment. getting permanent SSI registration will help the business to get the following advantages:

Price and purchase preference for goods produced.

Income Tax exemption and Sales Tax exemption as per State Government Policy.

Availability of raw material depending on existing policy.

Incentives and adjustments in power tariff as per State Government Policy.

Permanent SSI enrollment will be given only if the following circumstances are convinced by the SSI unit:-

1. The unit has acquired all essential clearances whether statutory or administrative,

2. The unit does not violate any limitations in force,

3. Value of plant and machinery is within recommended limits and,

4. The unit is not controlled, subsidiary, or owned, of any other industrial undertaking as per notification.

To register a Small Scale Industry, Contact LegalRaahi.