AS per MSMED Act 2006 SMEs are classified in two categories
(a) Enterprises engaged into manufacturing or production of goods where the investment in plant and machinery is to be considered and cost of land and building is not included.
(b)Enterprises engaged in providing and rendering services, where investment in equipment is to be considered. e.g.small road transport operator / water transport operator professional and self employed persons.
FOLLOWING ARE THE CRITERIA FOR CLASSIFYING DIFFERENT CATEGORIES
S. PARTICULARS MANUFACTURING SERVICE
N. ENTERPRISE ENTERPRISE
1 MICRO UP TO 25 LAC UP TO 10 LAC
ENTERPRISE
2 SMALL 25 LAC TO 5 CRORE 10 LAC TO 2 CRORE
ENTERPRISE
3 MEDIUM 5 CRORE TO 10 CRORE 2 CRORE TO 10 CRORE
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