Top Successful MSME Businesses in India (2024)

India has been the land of the fastest growth and development over the past few decades. We have witnessed the glory of technology, businesses and developing regions nationwide. One of the key reasons for India's economic growth is the Micro, Small and Medium Enterprises (MSME). According to a recent report, on September 16, 2022, Minister Narayan Rane said that MSMEs have contributed one-third to India's gross domestic product and have the potential to grow further.

 

The government and financial institutions in the country are encouraging people to start businesses. By doing so, you will contribute to the country's overall growth and push India further up the ladder globally.

 

Top Successful MSME Businesses in India

Before we take a look at the different MSME businesses in India, let's take a look at the criteria in terms of investment and annual turnover for a business to fall under the MSME sector:

 

 

So, if your business investment and turnover fall within this range, you are part of the benefits, schemes and other provisions for MSME in India.

 

The MSME sector is mainly divided into two categories: manufacturing and service. Let's take a look:

 

1. Manufacturing Sector

   According to a recent report, MSMEs in India's GDP is expected to grow 100% by 2025. Businesses in the manufacturing sector mainly produce goods. The investment in plant and machinery and annual turnover also play a vital role in categorizing SME businesses under this category.

 

If you are looking for unique business ideas in India or need low investment business ideas, here are some of the thriving manufacturing businesses under MSMEs in India:

 

Machinery	Construction Materials	Biotechnology
Oil, Gas, Coal	Electronic and Electrical Goods	Industrial Supplies
Industrial Engineering	Renewables and Environment	Food Processing
Packaging Material and Supplies	Agriculture and Farming	Medical and Healthcare Products
Automobile Parts and Spares	Chemicals	Khadi Products

 

MSME businesses in these manufacturing industries have shown extreme potential and growth in India. Regarding the Khadi and Food processing industries, the Government of India has undertaken various initiatives to support and encourage SME businesses. The Ministry of MSME introduced the Scheme Fund for Regeneration of Traditional Industries (SFURTI) and the Prime Minister's Employment Generation Programme (PMEGP) to help and support MSME businesses flourish in the non-agriculture sector.

 

Government supports the business ideas and initiatives of the MSME sector. According to a report, the MSME Ministry also launched A Scheme for Promotion of Innovation, Rural Industry and Entrepreneurship (ASPIRE) to foster innovation and the creation of new businesses, including those engaged in food processing. By providing them with support for selling their products through Khadi & Village Industries Commission (KVIC) sales outlets, the Ministry of MSME is also helping micro industries market their agriculturally based products like papad, masala, jam, jelly, etc.

 

Also Read: Funding for Small Business? Explore Government Schemes and Loan Options

 

Some of the products the government has exclusively marked for manufacturing by the MSME industry are:

 

1. Food and Allied Industries
   • Pickles
   • Bread
   • Groundnut Oil (except solvent extracted)
   • Chutneys
   • Mustard Oil (except solvent extracted)

 

2. Chemical and Chemical Products
   • Laundry Soap
   • Wax Candles
   • Fire Works
   • Safety Matches
   • Agarbattis

 

3. Glass and Ceramics
   • Glass Bangles

 

4. Mechanical Products, excluding Transport Equipment
   • Steel almirah
   • Rolling shutters
   • Steel chairs-All types
   • Steel tables-All other types
   • Steel furniture-All other types
   • Padlocks
   • Stainless steel utensils
   • Domestic utensils-Aluminium

 

5. Wood and Wooden Furniture
   • Wooden Furniture and Fixtures

 

If you are looking for the best business ideas or need business ideas for women, you may consider the above list. Many of these business ideas are low investment, so you can have an easy start. 

 

2. Services Sector

According to a recent report, the Service sector contributes to 58% of India's GDP. The MSME industry makes up most of the service sector offerings. Some of the best business ideas to take inspiration from are in the services sector! Some of the popular SME services in India are:

 

 

The small businesses have played a successful role in making life more convenient and products accessible to everyone. They have also been crucial in developing rural and semi-urban areas by providing employment opportunities and utilizing people's skills and raw resources. However, service sector MSMEs do face some challenges. One of the major challenges is the availability of working capital. To aid this situation, small businesses should move toward flexible and safe business loans. 

 

Also Read: Everything you need to know about Business Loans – A definitive guide 

 

Government Schemes for Small Businesses in India

 

 

The government has also introduced positive reforms for the MSME industry under Atma Nirbhar Abhiyan. Let's take a look:

 

• Availability of INR 3 lakh crore collateral-free and automatic loans
• MSMEs can now enjoy INR 20 crore subordinate debt
• An infusion of INR 50,000 crore was done through the MSME Fund of Funds

 

What are Other Loan Options Available?

There are many types of loans in India. If you have a property that you can offer as a collateral, you can opt for mortgage loan a.k.a Loan Against Property, or Business Loan Against Property. If you don’t have any collateral or a property that can be mortgaged, you may opt for unsecured Business Loans. 

 

Getting Started

Starting a business doesn't have to be a dream anymore! Take inspiration from the endless opportunities we have listed for you in the MSME industry. With Loans for Business, you can make your business dreams come true! Take the next step, apply now.

 

Also Read: A Complete Guide to the Different Types of Loans Available in India

 

Need more information, visit our Knowledge Center to learn more about loans and funding options.

 

Related FAQs - 

Q.1. I have some new business ideas. Can I get business loan from Godrej Capital?

Godrej Capital offers Business Loans with some pre-defined criteria. One of the criteria is for a business to have a vintage of 3+ years. Although, unsecured business loan can’t be availed if you are starting a new business, you may consider Loan Against Property or Udyog Loan Against Property.

Q.2. I have low investment business ideas. I want to start a new business. Can I get Loan Against Property?

Yes, you can avail Loan Against Property to start a new business. Loan Against Property has no end-usage restrictions. 

Q.3. How can I calculate loan EMI?

Calculate monthly loan EMI using a simple online loan EMI calculator. Click here to access

Q.4. I want to expand my business and need funds. Can I get a Business Loan?

You can get Business Loans to meet your business requirements. But first, you may want to check your eligibility. A lender considers various factors before sanctioning business loans. With an online Business Loan Eligibility calculator, you can easily assess your business loan eligibility.

Q.5. How to apply for a Business Loan for Women?

Godrej Capital offers tailored Business Loans for Women. Simply click here to apply now and get funding as per your unique business needs.

 

Disclaimer: The names used in this article are fictitious and are used for representational purposes only.

 

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