MSME Samadhaan

MSME Samadhaan is, basically, an online ‘Delayed Payment Monitoring System’. It was launched in the year 2017. MSME Samadhaan portal permits micro or small enterprise to file an application for delayed payment against the buyer of goods or receiver of service. The said application is filed before Micro and Small Enterprise Facilitation Council [i.e. MSEFC].

Some of the interesting figurative details regarding application filed and disposal thereof via MSME Samadhaan portal is tabulated hereunder –

Particulars	Numbers
Applications filed by MSEs	2,06,496
Applications rejected by MSEFC Council	56,165
Applications mutually settled	19,101
Applications pending to be viewed by MSEFC Council	50,883
Cases disposed by MSEFC Council	40,518
Cases under consideration by MSEFC Council	39,829

The present article highlights the provisions governing delayed payment to micro and small enterprise; eligibility under MSME Samadhaan; manner of filing an application under MSME Samadhaan; procedure undertaken post filing of an application under MSME Samadhaan; manner to check status of an application and some FAQs.

Provisions governing delayed payment to micro and small enterprise under MSME Act, 2006 –

Section 15 to section 24 of the Micro, Small and Medium Enterprises Development Act, 2006 [MSME Act, 2006] contains provisions relating to delayed payment to micro and small enterprise.

As per the provisions, the buyer of goods or services is liable to make payment to micro and small enterprise within the following time limit –

• Cases, wherein, agreement is entered –

The buyer is liable to make the payment within the period agreed upon in the agreement. However, the said period cannot be more than 45 days from the date of acceptance of goods/ services.

• Cases, wherein, agreement is not entered –

The buyer is liable to make the payment before the appointed day [i.e. within a period of 15 days].

In case the buyer fails to make the payment as per above prescribed time limit, the buyer will be liable to pay interest on such delayed payment. Further, MSME Act also allows enterprise to make a reference to Micro and Small Enterprises Facilitation Council for such delayed payment.

Eligibility under MSME Samadhaan 

Any MSE (i.e. Micro enterprise or Small enterprise) having a valid UAM (Udyog Aadhar/ Udyam Registration) can file an online application via MSME Samadhaan Portal.

Manner of filing of an application under MSME Samadhaan

Following is the manner in which micro enterprise or small enterprise can file an application under MSME Samadhaan –

STEP 1 – Go to MSME Samadhaan Portal [i.e. https://samadhaan.msme.gov.in/MyMsme/MSEFC/MSEFC_Welcome.aspx];

STEP 2 – Click ‘Case Filing for Entrepreneur/ MSE Units’;

STEP 3 – Select the type of MSME Registration i.e. Udyog Aadhaar Number or Udyam Registration Number;

STEP 4 – Enter registration number and registered mobile number;

STEP 5 – Click ‘Validate Udyog Aadhaar’ or ‘Validate Udyam Registration’;

STEP 6 – Enter OTP sent to registered mobile number/ email id;

STEP 7 – Fill the claim application and attach all the required documents [like copy of invoice, copy of purchase order, proof of provision of service or delivery of goods, etc.];

STEP 8 – Submit the application for review.

Procedure undertaken post filing of an application under MSME Samadhaan

Application filed under MSME Samadhaan will be processed in the following manner –

• Micro and Small Enterprise Facilitation Council will take action on the application after 15 days;
• Online information via e-mail will be send to the applicant and the respondent;
• Before converting the application into case, Mutual Settlement Options is available to the enterprise [MSME];
• Micro and Small Enterprise Facilitation Council will either approve the application and convert the same into case or reject the application;
• In case the application is converted into case, the same will be informed to the applicant and the respondent via SMS and email;
• Later, Micro and Small Enterprise Facilitation Council will update the case hearing status or case hearing dates.

Manner to check status of an application under MSME Samadhaan

The micro or small enterprise will able to check the status of an application under MSME Samadhaan by following the below-mentioned steps –

STEP 1 – Go to MSME Samadhaan Portal [i.e. https://samadhaan.msme.gov.in/MyMsme/MSEFC/MSEFC_Welcome.aspx];

STEP 2 – Click ‘Check Case Status’;

STEP 3 – Select the type of MSME Registration i.e. Udyog Aadhaar Number or Udyam Registration Number;

STEP 4 – Enter registration number and registered mobile number;

STEP 5 – Click Login.

Frequently Asked Questions [FAQs] on MSME Samadhaan

Some of the relevant Frequently Asked Questions with regard to MSME Samadhaan are highlighted hereunder –

1. What is MSME Samadhaan?

MSME Samadhaan is a portal through which micro enterprise and small enterprise can file an online application in case of delayed payment by the buyer of goods/ services.

2. What is the MSME 45 days rule?

MSME 45 days rule is that the buyer of goods/ services is liable to make payment within a maximum period of 45 days to micro enterprise or small enterprise from the date of acceptance of goods/ service.

3. How do I raise a complaint in MSME Samadhaan?

In case of delayed payment, micro enterprise or small enterprise can file an application (complaint) to the Micro and Small Enterprise Facilitation Council. The application can be filed by clicking ‘Case Filing for Entrepreneur/ MSE units’ in MSME Samadhaan portal.

4. How to check the status of complaint filed in MSME Samadhaan?

The applicant is required to click ‘Check Case Status’ button available on the home page of MSME Samadhaan portal, in order to check the status of the complaint filed.

5. How to fill a samadhaan form?

Enterprise can fill the Samadhaan form via MSME Samadhaan portal i.e. https://samadhaan.msme.gov.in/MyMsme/MSEFC/MSEFC_Welcome.aspx. Applicant needs to click ‘Case Filing for Entrepreneur/MSE Units’ button available on the homepage of the portal.

6. Are Udyam and MSME the same?

Technically, Udyam and MSME are same. Udyam is an online system via which MSMEs i.e. Micro, Small and Medium Enterprise can obtain registration.

7. How to complain in MSME for non-payment?

Provisions of section 15 of MSME Act, mandates timely payment to micro or small enterprise by the buyer of goods or services. In case of delay, MSME Act empowers enterprise to file complain for delayed payment/ non-payment via MSME Samadhaan portal.

8. What is the MSME payment law?

MSME payment law states that buyer of goods or services are liable to make payment to micro or small enterprise within a maximum period of 45 days from the date of acceptance.

9. What is the turnover limit for MSME?  

Turnover limit for Micro, Small and Medium Enterprise (MSME) are INR 5 Crore in case of micro enterprise; INR 50 Crore in case of small enterprise and INR 250 Crore in case of medium enterprise.