INTRODUCTION:

Micro, small and medium enterprises (MSME) sector has been recognized as an engine of growth all over the world. The sector is characterized by low investment requirement, operational flexibility, location wise mobility, and import substitution. In India, the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 is the first single comprehensive legislation covering all the three segments. In accordance with the Act, these enterprises are classified in two:- (i) manufacturing 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. These are defined in terms of investment in plant and machinery; (ii) service enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.

Importance:
The Micro Small and Medium enterprises (MSMEs) have been accepted as the engine of economic growth and play an important role in the equitable economic development of country. It is the second largest employer of human resources after agriculture, providing employment to around 42 million people & create one million jobs every year in the rural and urban areas of the country.

Over the years, the small scale sector in India has progressed from the production of simple consumer goods to the manufacture of many sophisticated and precision products like electronics control systems, micro wave components, electro medical equipments, etc It also produces more than 8000 quality products for the Indian and international markets.

 As a result, MSMEs are today exposed to greater opportunities for expansion and diversification across the sectors. Capacities to develop appropriate indigenous technology.

The SME business opportunity in India can be seen in possibly every sector like financial services, telecom, education, automobiles, media, food, real estate and so on. This makes India a hub for best small business opportunity in various segments High contribution to domestic production. They are a major source of entrepreneurial skills, innovation.

India has got tremendous scope for investors and entrepreneurs as far as business opportunities are concerned. Especially India has always been in the limelight in terms SME business. By SME business, we mean small and medium enterprises that maintain revenues or a number of employees below a certain standard. Every country has its own definition of what is considered as a small and medium-sized enterprise. In India, an industrial undertaking that has investments in fixed assets which do not exceed more than Rs.10 million falls under the category of small business. A small- sized enterprise is a company with less than 50 employees while a medium- sized enterprise is one with fewer than 250 employees.