Starting a Business? Don’t Forget These Important Things

Entrepreneurship is one of the most successful ways of self-development. People all around the world are striving every day to start a business of their own. Some say starting a business is not about coming up with ideas, but it’s about shaping your ideas into reality.

A majority of entrepreneurs are aware of the business idea they want to begin with, but they don’t know how to use the resources available around them properly. If you are an Indian and starting a new business, these are the few things you should know before you start the gig.

Starting a business is always a great idea if you are clear about your goal and the process in your mind and how you are going to run the business. You may have some questions in your mind before you start a business in the real world.

In this post, we are going to see the things that you need to consider before starting a business.

MSME Loans Can Help Start Your Business

MSME Loan is a government-approved loan to support Micro, Small, and Medium business enterprises. This loan falls under the MSMED (Micro, Small, Medium Enterprises Development) act of 2006 of Indian Jurisdiction. The major aim of this loan is to support the finance, infrastructure, and other areas of the enterprises without a guarantor. Businesses that are struggling to find funds can take the help of an MSME loan.

The major perks of MSME loans are listed below:

• MSME loans can give you access to a large amount of money at one go. You can avail of loans ranging from as low as Rs. 50,000 to as high as a few crores.
• Gone are the days when you wait months to access the loan amount after approval. MSME loans give you access to funds almost instantly without any hassle.
• The biggest perk of MSME loans is that they provide unsecured funds without any guarantor or collateral in the form of property or other assets.
• MSME provides you with a flexible loan facility where you use the loan on your terms. You can withdraw funds in need from the total Flexi loan sanction and have to only pay the interest on it.
• Apart from that, it allows you to pay only the interest on your loan every month. You have the option to pay the annual at the end of the tenor.
• MSME loans get approval fairly quickly as compared to others. If you are availing of the loan from the lender you have had a working experience with, you can get the loan on a pre-approved basis.

With such huge benefits in hand, who would not want to consider an MSME loan. But here comes the question, how do you register for it? Well then, keep reading, learn more

How to Register for MSME?

MSME registration provides you with a unique 12-digit registration number issued by the said department to avail of the scheme’s benefits. In the registration, you have to provide the basic and the business details of the applicant. You will have to first provide all the documents and then make a professional fee payment. After successful registration, applicants are allotted an MSME certificate, which serves as proof of registration. Documents that you will need for the registration include the following:

• Aadhar Card,
• PAN Card, email,
• Mobile number,
• Address,
• Type of business,
• Investment,
• Bank details,
• Investment details
• Turnover detail
• NIC code, etc.

However, there is a certain criterion for you to register under the MSME scheme. It considers only micro, small, and medium enterprises.

• Micro: Investment less than Rs. 1 Lakh and annual turnover less than Rs. 50 Crore
• Small: Investment less than Rs. 10 Crore and annual turnover less than Rs 50 Crore
• Medium: investment less than Rs. 50 Crore and annual turnover less than Rs. 250 Crore.

UDYOG AADHAR: Another Great Tool for Business

Udyog Aadhar is another very useful tool you can use to start your business. It is an exclusive 12-digit Aadhar num issued specially for Micro, Small, and Medium Enterprises in India. The Udyog Aadhar number enables you to have bank loans at a lower rate, concession on tariffs, government subsidies, and lower business setup cost. Now, most of you must be confused about whether MSME and Udyog Aadhar are the same or not. Well, they are the same and different both at the same time. One can say Udyog Aadhar registration is the new way of getting MSME registration. The 12-digit Udyog Aadhar num is used for MSME registration. To make matters simple, SSI, Udyog Aadhar, and MSME registrations have been replaced by Udyam registrations.

Conclusion

Having known these few things would certainly help you make your business a hit. These are some of the tools which can help kickstart your business. It is always great to have a plan than no plan. At least you will have some idea that where you are going next.