NSIC Registration

Eligibility Criteria for NSIC Registration Online

Before opting for registration under NSIC, the entities must look at the eligibility to get the registration. The eligibility criteria to acquire NSIC registration online are as follows-

• The micro industries that have invested up to Rs 25 Lakhs in plants and machinery and up to Rs 10 Lakhs in the service sector are eligible to obtain the NSIC certificate.
• The small industries that have invested up to Rs 5 crore in plants and machinery and up to Rs 2 crore in the service sector are eligible to obtain the NSIC certificate.
• The entities that have completed one year of business operations.
• The micro and the small industries must have obtained Udyam Registration from the appropriate authority before applying for registration of NSIC.

Note: The entities that have not completed one year of business operations can benefit from the NSIC Single Point Registration Scheme and can obtain a provisional certificate of registration.

Offline Process for NSIC Registration

The applicants also have access to the offline process for NSIC registration. The offline process involves the following steps-

• Application Form: The applicant opting offline process for NSIC registration must either download the form from the official website or go to the respective office and get the physical copy of the form from there. Now, the downloaded form must be printed in a physical form to fill it out.
• Filling out Form: The applicant must fill out the physical copy of the application form with all the details mentioned in it. The details filled out in the form must be true to the applicant's knowledge.
• Documentation: The application form must be added with all the documents required for obtaining the NSIC license. All the required licenses, registrations, and reports from officials must be attached to it.
• Application Form Submission: The filled application form must be submitted to the respective office of the region to go through the offline process for NSIC registration. The form must be submitted by the applying entity in a definite time so that the authority can go through with the application and inspect the MSME premises.
• Verification: The submitted form is then verified by the authorities, who look into all the requirements, including documentation, details of the application form, registrations (like Udyog registration, business registration, etc), reports, and the business premises. The application form can be rejected for failure to provide any details necessary for registration.
• Grant of Registration: After the verification is done successfully, the authorities grant the registration certificate to the entity, and the entity will then be able to receive benefits from the registration. However, the registration needs to be renewed at the time of its expiry.
• Post-Registration Compliance for NSIC Registration: The entities must follow the post-registration compliance for NSIC Registration to avoid penalties from the authority. These compliances are as follows –
• Financial Reporting: The entities must submit annual financial reports, including profit & loss statements, books of accounts, balance sheets, etc. They are also required to submit audit reports of the previous financial year, whose audit must be done by a registered Chartered Accountant.
• Registration Renewal: The registration needs to be renewed every 2 years, and the request for such renewal can be made 6 months before such expiration. For the NSIC renewal application, the applicant must submit details like performance reports, financial statements, and proof of entities' business activities.
• Information Update: If there is any change in the business relating to essential things like name, registered business place, goods or services offered, working methodology, nature of business, etc., then this needs to be informed to the authorities before commencement.
• Statutory Compliance: All applicable rules and regulations, including those about labour, the environment, taxes, and industry-specific matters, must be followed by registered entities. Maintaining excellent standing and adhering to these legal obligations requires making sure laws are met, taxes are paid on time, and filing returns, such as income tax and GST.
• Grievance Redressal: The entities having the registration must settle their disputes through the NSIC grievance redressal mechanism.
• Quality Standards: The entities must align with the quality standards of their products or services as they were at the time of application of NSIC registration.

Validity of NSIC Certificate

The NSIC certificate holds validity for 2 years, after which a renewal request must be made to the regulating authority by the applicant. The NSIC renewal is required after every 2 years at the time of the expiry of the registration certificate. Entities that have not completed one year of business operations and have a provisional certificate of registration need to obtain a permanent registration certificate as soon as they complete the tenure.

Fees Required to Get NSIC Registration Certificate

The fee required for getting an NSIC Registration certificate is divided into three factors. The government fee is charged to the entities based on their annual turnover. The fee requirements are listed below –

• Govt Fees for Micro Enterprises: If turnover is less than Rs 1 Crore, INR 3000 will be the fees for micro enterprises. If turnover is more than Rs 1 Crore, the fees will be INR 3000 plus Rs 1,500 for every extra crore turnover.
• Govt Fees for Small Enterprises: If turnover is less than Rs 1 crore, INR 5000 will be the fees for small enterprises. If turnover is more than Rs 1 Crore, the fees will be Rs 5000 plus Rs 2000 for every extra crore turnover.
• Note: The registration fee showcased above is exclusive of the inspection charges. This inspection charge is levied by the inspecting agency. Besides this, GST will be applicable extra on the charges. Cap of Rs 1 Lakh for all categories.
• Inspection Charges: The authorities need to inspect the registered business place, and for that, a desired fee must be paid to them. The MSMEs are required to pay a sum of Rs 2,000 for micro entities and Rs 3,000 for small entities as required fees.
• Professional Charges: In case, the entities have taken professional help from any consultant, lawyer, CA, or CS they have to pay a certain amount of fee to them for taking care of the process.

Timeline for NSIC Certificate Registration

The timeline for NSIC certificate registration is around 30 to 45 days.

• The application filing and submission takes around 1 to 2 weeks.
• The document verification takes around 1 to 3 weeks.
• NSIC evaluates the eligibility of the applicants. It takes around 2 to 4 weeks.
• Finally, the NSIC issues the NSIC certificate within 3 to 5 days.