The document discusses Micro, Small and Medium Enterprises (MSMEs) in India and the support provided by the Ministry of MSME and other organizations. It outlines the definition of MSMEs based on the 2006 and 2018 Acts, describes bodies that work with the Ministry like Khadi and Village Industries Commission, and covers topics like rural industrialization, types of village industries, and government support programs.

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• Micro, Small and Medium Enterprises
(MSME).
• Ministry of Micro, Small & Medium
Enterprises.
• A number of statutory and non-statutory
bodies work under the aegis of the
Ministry of MSME.

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• Khadi and Village Industries Commission
(KVIC) and
• The Coir Board besides
1. National Small Industries
Corporation (NSIC),
2. National Institute for Micro, Small
and Medium Enterprises
(NIMSME) and
3. Mahatma Gandhi Institute for Rural
Industrialisation (MGIRI).

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• 2006 - Micro, Small and Medium Enterprises
Development (MSMED) Act.
• 9 May 2007 - Ministry of Small Scale
Industries and the Ministry of Agro and
Rural Industries were merged to form the
Ministry of Micro, Small and Medium
Enterprises (M/o MSME).
• 2018 -Micro, Small and Medium Enterprises
Development (Amendment) Bill

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Type of
Enterprise
2006 Act
Manufacturing
Micro ≤ 25 Lakhs
Small 25 lakh to 5 crore
Medium 5 to 10 crore

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Type of
Enterprise
2006 Act
Service
Micro ≤ 10 Lakhs
Small 10 lakh to 2 crore
Medium 2 to 5 crore

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Annual Turnover
Type of
Enterprise
2018 Bill
All Enterprise
Micro ≤ 5 crore
Small 5 crore to 75 crore
Medium 75 to 250 crore

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• SS&FA - Special Secretary and
Financial Advisor.
• SS&DC - Special Secretary and
Development Commissioner.
• JS – Joint Secretary

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• Formed by - Government of India -
Khadi and Village Industries
Commission Act of 1956.
• It is an apex organisation under the
Ministry of Micro, Small and Medium
Enterprises.

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• April 1957 - All India Khadi and
Village Industries Board. Its head
office is in Mumbai .
• Six Zonal Offices - Delhi, Bhopal,
Bengaluru, Kolkata, Mumbai and
Guwahati.

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• to "plan, promote, facilitate,
organise and assist in the
establishment and development of
khadi and village industries in the
rural areas in coordination with
other agencies engaged in rural
development.

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• To promote and develop Khadi and Village
Industries and produce Khadi and Village Industries
products.
• The social objective of providing employment .
• The wider objective of creating self-reliance
amongst the people and building up of a strong
rural community spirit.
• To provide opportunity to the rural population to
undertake creative and productive activities which
would generate self-employment and income.

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1. Mineral Based Industry
2. Forest based Industry
3. Agro based and Food Processing industry
4. Polymer and chemical Based Industry
5. Rural Engineering and Bio technology Industry
6. Hand Made paper and Fibre Industry
7. Service Industry

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• Prime Minister’s Employment Generation
Programme (PMEGP) – 2008 to replace The
Rural Employment Generation Programme
(REGP) scheme.
• Scheme of Fund for Regeneration of
Traditional Industries (SFURTI) – 2005 –
financial support - Rs 8 crore.

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• Interest Subsidy Eligibility Certificate (ISEC) –
1977 - to mobilize funds from banking institutions
- rate of interest of 4% per annum for working
capital.
• Market Promotion Development Assistance
(MPDA) - 2008.
• Khadi Reform and Development Programme
(KRDP) – 2014.

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• “as the enthusiastic willingness of
a villager to organize his or her
economics activity, whatever it may be (a
business, a job, an investment etc) with
the help of appropriate technology and
practices conceived for a sustainable
living.”

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• Support & Motivation to local people.
• Low establishment cost.
• Competitive advantages / Availability of
labour
• Government policies and subsidies.
• Availability of raw materials.
• Cost of production.
• Optimum utilization of produces

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• Employment generation for rural youth.
• Promotion cost.
• Potential customer.
• Building the goodwill.

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• Lack of infrastructural facilities.
• Financial constraints.
• Lack of technical know-how.
• Marketing problems.
• Lack of adequate knowledge and information.
• Legal problems.

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• According to startup guru Steve Blank, a
startup is a “temporary organization designed
to search for a repeatable and scalable
business model”.
• Startup India – 2016 - Ministry of Commerce
and Industry

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• To provide a vision of a product with a set of
characteristics.
• Create a series of sceneries of the business
model regarding customers, distributions, and
finance of the company.
• Understand, whether the model is the right one,
based on customers behavior, as your model
predicts.

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• Lifestyle Startups: Self-employed folks.
• Small Business Startups: Feeding the
Family - grocery stores, hairdressers, bakers,
travel agents, carpenters, electricians, etc.
• Scalable Startups: Born to Be Big -
Google, Uber, Facebook, Twitter.

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• Buyable Startups: Born to be bought - Web
and mobile app solutions.
• Large Company Startups: Innovate or die.
• Social Startups: Mission - Difference

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• Business incubation provides a nurturing,
instructive and supportive environment for
entrepreneurs during the critical stages of
starting up a new business.
• Business Incubators are defined as a location in
which entrepreneurs can receive pro-active,
value-added support, and access to critical tools,
information, education, contacts, resources and
capital that may otherwise be unaffordable,
inaccessible or unknown.

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• Business Incubator is an organization
designed to accelerate the growth and
success of entrepreneurial companies
through an array of business support
resources and services that could include
physical space, capital, coaching, common
services, and networking connections.

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• Selection: attracting, selecting and
admitting the most promising entrepreneurs
and their business ideas
• Infrastructure: A managed working space
with shared facilities providing logistics
support

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• Business support and monitoring:
coaching, mentoring, training, financial and
innovation services
• Mediation and networking: connecting
entrepreneurs to tangible and intangible
resources, which can be internally or
externally available

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• Public or non-profit incubators:
government and non-profit organisation,
whose primary objective is to promote
economic development.
• Private incubators: These incubators
generally seek a return on their investment.

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• Academic-related incubators: there are
started with academic objectives also focus
on faculty development, and on creating
business-spin-offs from faculty research.
• Public/private incubators.