Preview

Management of Small Scale Industries in India

Powerful Essays
Open Document
Open Document
7233 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Management of Small Scale Industries in India
MANAGEMENT OF SMALL SCALE INDUSTRIES

SYBMS A

CONTENTS:-

SMALL SCALE INDUSTRIES

SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA (SIDBI)

SSI 1: TAJ PAPER BOX

SSI 2: NATIONAL DIARY

SMALL SCALE INDUSTRIES

An industrial undertaking in which the investment in fixed assets in plant and machinery whether held on ownership terms on lease or on hire purchase does not exceed Rs 10 million is defined as a small scale industry or an SSI. There are different categories of industries that qualify as SSI. They are known by the abbreviation MSME which stands for Micro, Small and Medium Enterprises. Micro industries are also known as tiny industries. Tiny industries are ones in which investment limit in plant and machinery in respect of tiny enterprises is Rs 2.5 million irrespective of location of the unit. These limits are created according to norms set by the RBI. However they do not serve as a detriment to acquiring finance in any way. It is just a mere classification. In the course of our interview with SIDBI officials we learnt that SIDBI does not adhere to any hard and fast rule while segregating these industries. Loans are given depending upon the financial viability of the unit and not the category to which it belongs.

However the govt. has certain certain prescribed limits over the years for SSI. The details of investment limits upto the year 1997 are as follows:

|YEAR |INVESTMENT LIMITS |ADDITIONAL CONDITIONS |
|1950 |Upto Rs 5 lacs in fixed assets |Less than 50/100 |
| | |persons with |
| | |or without power |
|1960 |Upto Rs 5 lacs in Plant & Machinery |No condition
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Powerful Essays

    Management of SMEs: Kapai Case Study Analysis

    • 5185 Words
    • 16 Pages

    Management of SMEs: Kapai Case Study Analysis

    Case Study Analysis Kapai New Zealand Limited Student Name Lecturer Paper Naomi‐Jane Scroggins Anne Messervy Management of SME’s Naomi‐Jane Scroggins Kapai Case Study Analysis Management of SMEs Table of Contents 1 Introduction ..................................................................................................... 3 2 Internal Analysis ..............................................................................................…

    • 5185 Words
    • 16 Pages
    Powerful Essays
    Read More
  • Best Essays

    Explain what sources of finance are available for small to medium sized companies and explain why they sometimes face difficulties in raising finance
    • 2502 Words
    • 8 Pages

    Explain what sources of finance are available for small to medium sized companies and explain why they sometimes face difficulties in raising finance

    For a long time, small or medium-sized enterprises(SMEs) have played important roles in the development of national economy construction. And lots of research have been set up to look for the solution for the SMEs in raising finance. Putting so much efforts on SMEs based on two reasons: on one hand, SMEs are the engine of economic development; on the other hand, banks and some institutions fail to invest SMEs which will impede their growth in the society, and will constrain the development of society.(Beck, 2006) SMEs have been defined in various ways, and lots of the definitions include the number of employees, the investors, the suppliers and most…

    • 2502 Words
    • 8 Pages
    Best Essays
    Read More
  • Good Essays

    Entrepreneurship in India: Challenge and Problems
    • 4782 Words
    • 20 Pages

    Entrepreneurship in India: Challenge and Problems

    Abstract - “Entrepreneurship is defined as the ability of an individual to master the new trending business options which have an outcome “. This paper deals with the challenges which are faced by Indian Entrepreneurs in starting up financing of new emerging trends. Growing up in terms of business in case of any developing nations is a quite difficult task where they face a financial stop at some point or the other. There are various barriers that are a major cause which stops the growth of the Indian entrepreneurs they are Terrorism, Corruption etc. The Indian entrepreneurs will develop only when there a equal growth throughout without any fall outs.. Due to liberalization, now, the challenge for every Indian entrepreneur is increased and it is the individual thought to how to take advantage of it efficiently. The new technology that has been evolved not only improves the business but also raise the standard of any Indian entrepreneur. The workforce is another thing through which the India had gone through an unexpected change where the involvement of the educated personnel both men and women breaking all the barriers work hard in each of the sector in an organization make a remarkable change. Marketing is another challenge which should be taken care of otherwise the business turn out to be in another way which will give a great fall in the business. Marketing in India is done through various media such as the television, radio etc. Finance is the heart…

    • 4782 Words
    • 20 Pages
    Good Essays
    Read More
  • Good Essays

    The Growth of the Micro Enterprise Lending in the Philippines
    • 572 Words
    • 3 Pages

    The Growth of the Micro Enterprise Lending in the Philippines

    The Philippine government’s efforts to develop albeit the small industry sector including micro enterprises started to intensify in the 1960s with the creation of the Institute for Small Scale Industries within the University of the Philippines (UP-ISSI) in 1966. It was also during the same period when rural banks and cooperatives started the concept and practice of servicing small loans. However, this was not sustained due to low repayment rates and initial structural problems faced by the new concept of credit provision.…

    • 572 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Journal of SEBON
    • 25603 Words
    • 199 Pages

    Journal of SEBON

    rights offerings has been in the tune of Rs. 8.4 billion from 109 issues. In the…

    • 25603 Words
    • 199 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Performance of Development Financial Institutions in India
    • 4886 Words
    • 20 Pages

    Performance of Development Financial Institutions in India

    Similarly in India there was scarcity of finance which was a big hurdle in way of industrial development. The means of providing finance for large scale industries were not adequate. Moreover new enterprises, projects in backward areas and the projects which by their very nature involve huge capital and the projects with long gestation periods owing to the nature of the technology or product sophistication found it difficult to mobilise funds. To cater to these kinds of projects for which adequate long term financing were required , the Government of India decided to set up a series of financial institutions to provide funds to the large industrial sector. These DFIs were set up on the model of “Industrial Bank Of Japan”.Also with the introduction of Five Year Plans the need for these kind of financial institutions was felt all the more.…

    • 4886 Words
    • 20 Pages
    Powerful Essays
    Read More
  • Good Essays

    Functions of Development Banks
    • 778 Words
    • 4 Pages

    Functions of Development Banks

    In places like India, a majority of the applicants for financial assistance from the DFI’s in the initial stages were existing large industrial houses, or Managing agency firms. These institutions had resources of men, material and money and were therefore, able to conceive, plan and implement new or expansion projects successfully. Therefore, there was no problem of arrears. In the wake of socialist policies pursued by these newly independent states, further growth of large industrial houses and managing agency firms through DFI assistance was considered monopolistic and exploitative of the majority by the minority. These were conceived as institution reminiscent of the former British regime. This attitude led to a greater intervention of the state in the regulation and operation of DFI’s, which in almost all cases were state owned.…

    • 778 Words
    • 4 Pages
    Good Essays
    Read More
  • Best Essays

    MSME Lending Norms
    • 3241 Words
    • 13 Pages

    MSME Lending Norms

    Micro, Small and Medium Enterprises (MSME’S) play a major role in most global economies. This calls for a better understanding of the financing aspects of MSME’S.…

    • 3241 Words
    • 13 Pages
    Best Essays
    Read More
  • Powerful Essays

    THE PAST, PRESENT AND FUTURE OF INDUSTRIAL POLICY IN INDIA
    • 10883 Words
    • 44 Pages

    THE PAST, PRESENT AND FUTURE OF INDUSTRIAL POLICY IN INDIA

    began to erode in the 1980s. Following a serious external liquidity crisis in 1991 the…

    • 10883 Words
    • 44 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    An Analysis of Investment in the Registered Manufacturing Sector in India”
    • 8609 Words
    • 35 Pages

    An Analysis of Investment in the Registered Manufacturing Sector in India”

    The present paper is an attempt to study the pattern of growth and structure of investment in Indian registered manufacturing sector both at all India and state level. At the same time also tries to explore the factors those influence the level of investment in Indian registered manufacturing sector and finds out the reasons for uneven growth and share of investment across major Indian states. The study mainly relies upon the Annual Survey of Industries (ASI) data, published by Central Statistical Organization (CSO). The study intends to examine the above-mentioned objectives at 2-digit level of Industry classification. The period of study is from 1980-81 to 2001-02. Semi log linear model has been used to calculate the trend growth of GFCF and simple OLS method has been used to estimate the factors those influence the investment in the Indian registered manufacturing sector. To explain the variations in investment growth and share across states, relative income index and composite infrastructure index has been constructed. The study found, at all India level there has been investment boom in the first half of nineties and after that sharp decline in investment. The story remains same in case of majority of the states. The reasons for investment boom are, (i) increase in the share of profit during this period, (ii) declining share of depreciation, (iii) issue of new capital in the stock market by…

    • 8609 Words
    • 35 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Presentation on Idbi, Sidbi and Hudco
    • 546 Words
    • 3 Pages

    Presentation on Idbi, Sidbi and Hudco

     The institutions built by IDBI are:  Securities and Exchange Board of India (SEBI),  National Stock Exchange of India (NSE),  National Securities Depository Limited (NSDL),  Stock Holding Corporation of India Limited (SHCIL),  Credit Analysis & Research Ltd,  Exim Bank (India)(Exim Bank),  Small Industries Development Bank of India(SIDBI),  Entrepreneurship Development Institute of India (EDI)…

    • 546 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Consumer Behavior Towards Ready Made Garments
    • 8748 Words
    • 35 Pages

    Consumer Behavior Towards Ready Made Garments

    Government of India has approved the introduction of a new credit linked subsidy programme called Prime Minister’s Employment Generation Programme (PMEGP) by merging the two schemes that were in operation till 31.03.2008 namely Prime Minister’s Rojgar Yojana (PMRY) and Rural Employment Generation Programme (REGP) for generation of employment opportunities through establishment of micro enterprises in rural as well as urban areas. PMEGP will be a central sector scheme to be administered by the Ministry of Micro, Small and Medium Enterprises (MoMSME). The Scheme will be implemented by Khadi and Village Industries Commission (KVIC), a statutory organization under the administrative control of the Ministry of MSME as the single nodal agency at the National level. At the State level, the Scheme will be implemented through State KVIC Directorates, State Khadi and Village Industries Boards (KVIBs) and District Industries Centres (DICs) and banks. The Government subsidy under the Scheme will be routed by KVIC through the identified Banks for eventual distribution to the beneficiaries / entrepreneurs in their Bank accounts. The Implementing Agencies, namely KVIC, KVIBs and DICs will associate reputed Non Government Organization (NGOs)/reputed autonomous institutions/Self Help Groups (SHGs)/ National Small Industries Corporation (NSIC) / Udyami Mitras empanelled under Rajiv Gandhi Udyami Mitra Yojana (RGUMY), Panchayati Raj institutions and other relevant bodies in the implementation of the Scheme, especially in the area of identification of beneficiaries, of area specific viable projects, and providing training in entrepreneurship development. 2. (i) Objectives To generate employment opportunities in rural as well as urban areas of the country through setting up of new self-employment ventures/projects/micro enterprises. To bring together widely dispersed traditional artisans/ rural and…

    • 8748 Words
    • 35 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Theories of Growth of Small Scale Enterprises
    • 3317 Words
    • 14 Pages

    Theories of Growth of Small Scale Enterprises

    Various theoretical models have been developed which describe the growth of small businesses. One class of theoretical models focus on the learning process, either active or passive, and the other models refer to the stochastic and deterministic approaches.…

    • 3317 Words
    • 14 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Access to Finance
    • 19513 Words
    • 79 Pages

    Access to Finance

    translation. A copy of the re-printed or translation material should be sent to the DCCI.…

    • 19513 Words
    • 79 Pages
    Satisfactory Essays
    Read More
  • Satisfactory Essays

    Small and Medium Enterprises in Logistics Management
    • 13560 Words
    • 55 Pages

    Small and Medium Enterprises in Logistics Management

    I take this opportunity to express my sincere gratitude towards the pillars of successful completion of this study on “Small and Medium Enterprises in Logistics Management, Bringing Value to the changing Indian landscape ”, without their unflinching co-operation at all times it would rather have been impossible for me to achieve the desired goal. I would like to thank Mr. Shriram Vishwanathan for his invaluable guidance and support that made my going easy and provided me a good learning opportunity and also colleagues at Ministry of Rural Development who helped me to know and learn various aspects of logistics management at various stages.…

    • 13560 Words
    • 55 Pages
    Satisfactory Essays
    Read More

Related Topics