MSME Samadhaan

On 30th October 2017, the Ministry of MSME launched the MSME Samadhaan portal to support micro and small entrepreneurs. This platform allows MSMEs to directly file complaints about delayed payments with the Micro and Small Enterprise Facilitation Council (MSEFC). 

The portal makes these complaints visible to relevant authorities, such as Central Ministries, Departments, and State Governments, prompting proactive actions. It also helps monitor delayed payments efficiently, with information made publicly available to apply moral pressure on defaulters. MSMEs can track their cases through the portal as well.

MSMED Act 2006

The MSMED Act, 2006 addresses delayed payments to MSMEs, making buyers liable for a compounded fine if they fail to pay within 45 days of accepting goods or services. The fine is compounded monthly at three times the RBI's bank rate.

Sections 20 and 21 of the Act require State Governments to set up Micro and Small Enterprise Facilitation Councils (MSEFC) to resolve payment disputes. MSMEs with a valid Udyog Aadhar (UAM) or Udyam Registration can seek facilitation. MSEFC must resolve disputes within 90 days. 

The Council is chaired by the Director of Industries of the relevant State/UT. Under Section 16, buyers must pay interest on delayed payments, compounded at three times the RBI's bank rate. If an appellant is not a supplier, they must deposit 75% of the award amount before the court hears the case.

Nature of Compensation Provided to MSME

The MSEFC of the State after the examination of the case filed by an MSME may issue directions to the buyer for the full payment of the due amount along with interest as well.

Who Can Apply on the MSME Samadhaan Portal?

Any MSME with a valid Udyog Aadhar (UAM) or Udyam Registration can file an online application against the buyer of goods/services with the relevant MSEFC in their State/UT. These applications will be reviewed by the MSEFC Council, and the concerned Central Ministries, Departments, CPSEs, and State Governments will also have access to them.

Features of the MSME Samadhaan Portal

1. Filing the application online: Entrepreneurs/MSME can now file claims online for delayed payments using the MSME Samadhaan portal.  In order to do so, a user must have a Udyog Aadhaar number validated with Aadhaar or Udyam Registration number.
2. Check status: Entrepreneurs/MSME can by means of the porta check the status of the filed online applications for delayed payments.
3. Pending payments dashboard: The portal will give information about the pending amount of MSMEs with individual buyers, CPSEs, Central Ministries, State Governments, etc. The CEO of PSEs and the Secretary of the concerned Ministries will be able to monitor the cases of delayed payment and issue necessary instructions to resolve such issues

Process to File Application on MSME Samadhaan Portal

The process to file an application on the MSMEs Samadhaan Portal by the MSMEs are as follows:

Step 1: Visit the MSME Samadhaan Portal.

Step 2: Click on the ‘Case Filing for Entrepreneur/MSE Units’ button on the top left corner of the homepage.

Step 3: A new page will open. Choose either the ‘Udyog Aadhaar Number’ or ‘Udyam Registration Number’ option.

Step 4: Enter your Udyog Aadhaar/Udyam Registration Number, mobile number, and click on ‘Validate Udyog Aadhaar’ or ‘Validate Udyam Registration’.

Step 5: An OTP will be sent to your registered email ID. Enter the OTP to proceed.

Step 6: Fill in the application form for delayed payment.

Step 7: Upload the required documents:

• Work orders issued by the Respondent
• Invoices raised by you against those work orders (in scanned PDF format)

Step 8: Review the details and submit the application.

Process to Check Status on MSME Samadhaan Portal

The process to check the status of the filed application on the MSMEs Samadhaan Portal by the MSMEs are as follows:

Step 1: Visit the MSME Samadhaan Portal.

Step 2: Click on the ‘Check Case Status’ button located on the top left-hand side of the homepage.

Step 3: A new page will open. Select either the ‘Udyog Aadhaar Number’ or ‘Udyam Registration Number’ option.

Step 4: Enter your Udyog Aadhaar/Udyam Registration Number or application number, and click on the ‘Login’ button.

Step 5: After logging in with valid credentials, you will be redirected to your Dashboard.

Step 6: From the Dashboard, you can view the status of your application and perform other related actions.

Budget 2025: New Initiatives for MSMEs from Budget 2025

The Union Budget 2025 introduced several measures to strengthen the MSME ecosystem and complement existing platforms like MSME Samadhaan:

• Revised MSME Classification: Now, more businesses are eligible for MSME benefits due to expanded thresholds.
• Credit Cards for Micro Enterprises: Udyam-registered micro-units will get credit cards with a limit of up to ₹5 lakh. 10 lakh such cards will be issued in the first year.
• ₹10,000 Crore Fund of Funds: A new fund will provide easier access to capital for MSMEs at various stages of growth.
• Support for First-Time Entrepreneurs: A new scheme will offer term loans up to ₹2 crore to 5 lakh women and SC/ST entrepreneurs over five years, coupled with online skill development support.