MSME policy, regulatory and legal framework
Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Small and Medium Enterprises in India — Certificate Course on MSME.
One-liners from this chapter
Free sample — 8 of 65 rapid-fire Q&A cards.
What is the primary legislation governing MSME development in India?
The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 is the primary legislation that provides the framework for promotion and development of MSMEs in India.
What is the full form of MSMED Act?
Micro, Small and Medium Enterprises Development Act, 2006
Which ministry is responsible for policy formulation related to MSMEs in India?
The Ministry of Micro, Small and Medium Enterprises (MoMSME) is responsible for policy formulation, coordination, and monitoring of programs related to MSMEs in India.
Under which schedule of the Constitution do states derive power to legislate on small industries?
Entry 24 of List II (State List) of Seventh Schedule
What are the revised investment and turnover limits for a Micro enterprise under the Atma Nirbhar Bharat classification?
A Micro enterprise must have investment in plant and machinery or equipment not exceeding Rs. 1 crore and annual turnover not exceeding Rs. 5 crore.
What is the maximum period within which a buyer must make payment to an MSME supplier if no agreement exists?
45 days from the day of acceptance or deemed acceptance
What are the investment and turnover criteria for classifying a unit as a Small enterprise?
A Small enterprise must have investment not exceeding Rs. 10 crore and annual turnover not exceeding Rs. 50 crore as per the revised MSMED Act classification.
What rate of compound interest is payable on delayed payments to MSMEs under the MSMED Act?
Three times the bank rate notified by the Reserve Bank of India
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