Small businesses often require loans and additional funds to continue their day-to-day functioning. However, receiving these loans at an affordable interest rate and in time is not always easy. But what if all this and more was possible without any hassle? This is where the NSIC Scheme comes into picture.
The NSIC scheme enables the government to offer all Micro and Small Enterprises (MSEs) a credit rating, which displays their capabilities and credit-worthiness.
How does an MSE benefit from this scheme?
This independent and trusted third party rating provides MSEs with many benefits. They are as follows:-
- Quick and hassle-free loans from Banks and Financial Institutions
- Attractive interest rates
- A subsidized rating fee structure (This enables an MSE to pay only a part of the rating fee, while the government pays the rest)
- A premier SE 1A rating for the company (This rating is the highest rating an MSE can receive which improves their chances of participating at global trade fairs and exhibitions)
- Expert advice on how to manage money better
What is the eligibility criteria for this scheme?
All Micro and Small Enterprises (MSEs) are eligible for this scheme.
How can an MSE apply for this scheme?
To avail this scheme and get their company rated, MSEs are required to fill up and submit the prescribed application form to CRISIL, along with their share of the rating fee.
For more details on the NSIC credit rating scheme call 1800 103 3453.
Documents are required to apply for NSIC rating scheme are –
- SSI/UAM (Udyog Aadhaar Memorandum)
- Registration Certificate
- Partnership Deed / Memorandum & Article of Association.
- Authority letter to sign the application.
- A list of all Partners or Directors with their age, address, Net worth / Income Tax Return, qualifications and experience.
- A copy of the audited accounts for the last three years. In case accounts for the last year have not been audited, provisional accounts duly certified by a Chartered Accountant along with two years audited accounts are to be submitted.
- In case of new project or expansion, a copy of the project report containing a brief project profile, the cost of project, source or means of finance need to be submitted.
- Brief write-up about the products manufactured, end users, marketing tie-ups and orders in hand.
- Details of subsidy, tax concession available to the applicant.
- Quality certificates, export awards won membership of any associations.
- Any other information that would help understand your business better.