Government Registration

Single Point Registration Scheme of NSIC: A Complete Checklist

The Indian Government has launched several measures for the promotion and development of the small and budding entrepreneurs of India. Some of the initiatives are – make in India, Skill India, Digital India, Startup India, and Standup India. Various Public Sector Undertakings (PSUs) supports the Government in its goal of development of the MSME sector. One such PSU is the NSIC or National Small Industries Corporation, which assists in the drive of boosting and uplifting the micro and small scale units or MSMEs in India. The single largest purchaser of the variety of goods is the Government. To increase the share of purchases from the small sector, the Government Stores Purchase Programme was introduced in 1955-56. NSIC registers Micro and Small Enterprises (MSMEs) under the Single Point Registration Scheme (SPRS) for participation in Government Purchases (GP).

Benefits of Single Point Registration Scheme

The businesses registered under Single Point Registration Scheme of NSIC are eligible to get the benefits under “Public Procurement Policy for Micro & Small Enterprises (MSEs).

• Issue of the Tender Sets free of cost.
• Exemption from payment of Earnest Money Deposit (EMD).
• In tender participating MSEs quoting price within the price band of L1+15 percent shall also be allowed to supply a portion up to 20% of the requirement by bringing down their price to L1 Price where L1 is non-MSMEs.
• The Central Government or Government Department or PSUs shall set an annual goal of a minimum of 25 percent of the total annual purchases of the products or services produced or rendered by MSMEs. Out of the annual requirement of 25% procurement from MSMEs, 4% is earmarked for units owned by Schedule Caste /Scheduled Tribes, and 3% is earmarked for the units owned by Women entrepreneurs.
• 358 items are also reserved for exclusive purchase from Small-Scale Industrial Undertakings (SSIs) Sector.

Eligibility Criteria for Single Point Registration Scheme

• The Micro and Small Enterprises registered with the Director of Industries (DI) or District Industries Centre (DIC) as manufacturing/service enterprises or having Acknowledgement of Entrepreneurs Memorandum (EM Part-II) are eligible for registration with NSIC under its Single Point Registration Scheme (SPRS).
• Traders are not eligible for registration under this Scheme.
• Micro and Small Enterprises who have started their commercial production but have not completed one year of its existence. 
• Provisional Registration Certificate can be issued to the new Micro & Small Enterprises under Single Point Registration scheme with a monetary limit of Rs. 5 Lakhs which shall be valid for a period of one year from the date of issue after paying the registration fee and obtaining all the requisite documents. 

Registration Process to Obtain Single Point Registration Scheme

Online Registration

The guidelines to apply online for Single Point Registration Scheme (SPRS) is given below:

Offline Registration Process

The following are the guidelines for registering under the Single Point Registration Scheme in offline mode:

• The Micro and Small Enterprises have to submit the application form (in duplicate) along with the requisite fee and documents to the Zonal or Branch and Sub Office/Extension office of NSIC situated nearest to their location.
• A duplicate copy of the G.P. Registration Application Form submitted by the Micro & Small Enterprise will be forwarded to the concerned MSME-DI RITES / CDC along with the copies of required documents and requisite Draft or Pay Order of inspection charges in favor of respective Inspection Agency requesting to carry out the Technical Inspection of Micro & Small Enterprise and forward their recommendations in this regard.
• After receiving the Inspection Report, NSIC will issue the G P Registration Certificate to Micro & Small Enterprise for items/stores as recommended.

Documents Required for Registration under the Single Point Registration Scheme

S. No	Documents
1.	Copy of the entrepreneur memorandum part II or Udyog Aadhar memorandum.
2.	Pan Card Copy
3.	Statement showing the results of operation which must be duly signed by authorised person under his seal and must be verified by C.A. as per annexure C along with the Profit & Loss statement and Balance Sheet and Schedule/details of turnover and fixed assets as per final accounts for the last three years.
4.	Bankers’ report.
5.	Declaration by applicant as per the prescribed format.
6.	GPA in case of partnership unit, which must be duly notarized along with the self-attested copy of the Partnership Deed.
7.	Board Resolution along with the Certificate of Incorporation in case of Company.
8.	Proof of Ownership – Self-attested copy of Lease Deed or rent Deed for factory premises.
9.	List of the Plant and Machinery along with the Original Value of Machinery.
10.	Demand draft or Pay order made in favour of ‘National Small Industries Corporation Ltd.’ based on the latest Turnover as per the Audited Balance Sheet
11.	Performance Statement.
12.	Copy of the Electricity bill
13.	Product Flow Chart
14.	Details of testing equipment and facilities.
15.	Details of manpower which includes technical as well as non technical workforce.

Registration Fee under the Single Point Registration Scheme

The registration Fee under the Single Point Registration Scheme is based on the turnover as per the latest audited Balance Sheet of the Micro & Small Enterprise. The below table indicates the fee structure:

S. No	Category	Fee
1.	Fee for new Registration of Micro & Small Enterprises: Turnover up-to Rs. 100 lakh   (b) Turnover exceeding Rs. 100 lakh	a) Turnover up to Rs. 100 lakh.   For Micro Enterprises- Rs. 3000. For Small Enterprises-Rs. 5000.   b) Turnover exceeding Rs. 100 lakh   For Micro Enterprises: Rs. 3000 plus Rs. 1500 for every additional turnover of Rs. 100 Lakh. For Small Enterprises : Rs. 5000 plus Rs. 2000 for every additional turnover of Rs. 100 Lakh.
2.	Fee for issuance of amendments in stores (Qualitative & Quantity), Fee for issuance of change in monetary limit or any other amendment in the certificate.Fee for issuance of Renewal of G.P. Registration (Every Two Years)	50% of the charges of new registration for Micro and Small Enterprises respectively with a cap of Rs. 50,000.

Procedure for calculation and fixation of Monetary Limits for MSEs in Single Point Registration Scheme

• In case the Company or Partnership firm or Proprietorship unit is in loss for one year out of the past three years, their monetary limit will be fixed at 40% of their average net sales turnover.
• When the Micro & Small Enterprise is in loss for two years out of the past three years, the monetary limit will be accordingly fixed at 30% of their average net sales turnover of the previous three years.
• In case of Micro & Small Enterprise being in loss throughout last three years, the monetary limit of the unit will be fixed at 20% of the average net sales turnover of the unit during the past three years. In cases of initial registration where the firm is in existence for less than three years, monetary limit will be fixed at 50% of the average net sales value of the last year for which audited accounts are available.
• Where the turnover of the Enterprise has increased over the previous three years, and the unit is in profit continuously, the Monetary Limit will be fixed at 50% of net sales turnover achieved during the last year.

Validity Period of G. P. Registration under Single Point Registration Scheme

The G. P. Registration Certificate allotted to the Micro & Small Enterprise under the Single Point Registration Scheme (Revised), 2003 is valid for two years and will be reviewed and renewed after every two years.

The renewal is done after verifying commercial and technical competence of the registered  Micro & Small Enterprise in manufacturing or  producing the stores for which it has been registered by NSIC

Documents Required for Renewal of the Single Point Registration Scheme

• Original G.P Registration Certificate.
• PAN Card Copy
• Copy of SSI Registration Certificate
• List of significant Government orders executed during the last two years.
• Copies of Audited Balance sheet of previous 3 years duly signed by the authorized person under his seal.
• Annexure ‘C’ of GP Application form duly signed by a Chartered Accountant
• List of addition or deletion in the plant and machinery after the registration.
• Annexure ‘D’ and ‘E’ duly signed by MSE.
• For renewal of registration where monetary limit is more than Rs 10 Crore and inspection has not been carried out by Technical Inspecting Agency or NSIC during the last one year, such units will be inspected by the respective Branch Office of NSIC before issue of renewal Certificate. The Inspection fees shall be equivalent to the Inspection fee charged by the Rites.

Why Enterslice?

Our professionals in Enterslice will help you in completing the documentation work for getting the NSIC Registration. Our experts will assist you in drafting and filing of the application for NSIC Registration and will also guide you through the Single Point Registration Scheme.

Conclusion

Enterprises are classified as Micro, Small & Medium based on the limit of investment for manufacturing or service sector. Eligible MSME units are provided with Udyog Aadhar Registration certificate. Single Point Registration Scheme is a developmental scheme of NSIC to assist the MSEs in India. By opting for this scheme, the MSMEs having an NSIC registration scheme can get exempted from Earnest Money Deposit (EMD) in Government Purchases.