- As per the Self-Reliant India (SRI) Fund guidelines, MSMEs, defined as per the MSMED Act, as amended from time to time, are eligible for consideration.
- The equity support is provided to all existing and interested MSMEs which, after assessment, are found viable, whose growth trajectory is positive and who have a defined business plan for growth indicating positive funds flow.
- For Private Equity, as of now 46 Daughter Funds (Private Equity/Venture Capital Funds) have been empaneled by NSIC Venture Capital Fund Ltd. (NVCFL) under SRI Fund.
- As a part of Aatmanirbhar Bharat package, Rs 50,000 crore Equity infusions for MSMEs through Fund of Funds was announced.
- Under this Fund of Rs. 50,000 crore, there is a provision of Rs.10,000 Crore from the Government of India and Rs.40,000 Crore through Private Equity / Venture Capital funds. Since inception, Rs. 6,200 crore has been infused till 25.11.2023.
Definitions of Micro, Small & Medium Enterprises In accordance with the provision of Micro, Small & Medium Enterprises Development (MSMED) Act, 2006 the Micro, Small and Medium Enterprises (MSME) are classified in two Classes:
- Manufacturing Enterprises-the enterprises engaged in the manufacture or production of goods pertaining to any industry specified in the first schedule to the industries (Development and regulation) Act, 1951) or employing plant and machinery in the process of value addition to the final product having a distinct name or character or use. The Manufacturing Enterprise are defined in terms of investment in Plant & Machinery.
- Service Enterprises -The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.
The limit for investment in plant and machinery / equipment for manufacturing / service enterprises
Manufacturing Sector
Enterprises Investment in plant & machinery
Micro Enterprises Does not exceed twenty-five lakh rupees.
Small Enterprises More than twenty-five lakh rupees but does not exceed five crore rupees.
Medium Enterprises More than five crore rupees but does not exceed ten crore rupees.