Recover Your Dues with MSME SAMADHAAN-Delayed Payment Monitoring System
MSMEs in that it can assure the smooth functioning and development of the business. Probably, these days, one of the biggest overwhelming problems that most MSMEs are likely to face is delays in payment made by the client or vendor. This hugely creates a dent in their financial stability. Realizing this problem, the Government of India has come up with MSME SAMADHAAN, an exclusive platform to help MSMEs recover their dues effectively and efficiently, and in lesser time.
What is MSME SAMADHAAN?
MSME SAMADHAAN is an initiative of the Government of India, conceptualized as an online system to assist Micro, Small, and Medium Enterprises to overcome one of the key problems—delayed payment by buyers.
These payment delays severely hamper the cash flow of the MSMEs, slow down their growth, and impede operations, without which this relief given by the government under the MSMED Act, 2006, MSMEs having MSME registration in Madurai could not have such financial hassles.
About MSME SAMADHAAN:
Cash flow continuity is very much important for MSMEs to carry on the day-to-day business activity, salaries and wages of the employee, buying of raw material, etc.
Normally, the problem many MSMEs face is that they have to suffer from extremely late payments from clients or buyers. In many cases, it goes on to such an extent that the buyer takes a longer time than the stipulated or normal period to clear their dues, which causes a financial problem for the MSME.
Realizing this problem, the Government of India enacted the MSMED Act, 2006, which contains provisions making delayed payments to MSMEs mandatory. The Act stipulates that a buyer has to legally pay the bill before a particular date, which in most cases is in 45 days of the goods being accepted or services rendered or deemed to be accepted.
How MSME SAMADHAAN Works ?
MSME SAMADHAAN is specially designed so that an MSME can file a complaint against buyers in case of delaying payments beyond 45 days. This works as follows:
1. Filing Complaint: An MSME registered in Cochin, if it faces any such delay in payment for a period exceeding 45 days, can file a complaint on the portal of MSME SAMADHAAN is designed in an intuitive way and is easy to access. Later, using the portal, an MSME is empowered to lodge complaints in the digital mode.
2. It is filed under the stipulated provision of the MSMED Act, 2006. This Act has provided a legal framework: all buyers should necessarily comply with payment terms and provides an avenue of redressal to MSMEs.
3. This is forwarded to the concerned Micro and Small Enterprise Facilitation Council (MSEFC).
4. MSEFC shall enquire into the complaint and assist in settlement of the dispute. The Council can initiate conciliation in the dispute between the MSME unit and the buyer in more friendly terms.
Explain in point form
5. Arbitration. If conciliation fails MSEFC can start the arbitration procedure, and the arbitration award is fruitful and holds the parties so that the MSME can get back its dues.
6. Interest on Delayed Payments: The MSMED Act also caters for interest on belated payments. Where the buyer defaults in making payment within the stipulated time, he shall be liable to pay compound interest at a rate three times the bank rate notified by the Reserve Bank of India.
7. This would be a penal rate for delayed payment and ensure reasonable compensation to the MSMEs for the financial inconvenience caused.
Eligibility to File a Case on MSME SAMADHAAN
The following are the pre-requisites for filing a case on the MSME SAMADHAAN portal:
1. MSME Registration: The complainant shall be a registered MSME under the MSMED Act, 2006.A proper MSME registration in Coimbatore will form the basic initial requirement.
2. Delayed Payment: The payment in question should be delayed beyond 45 days from the date of acceptance or deemed acceptance of goods or services.
3. Parties Registration: Ideally, both MSME and the buyer shall be registered under MSME Act; however, having the buying party unregistered and MSME correctly registered can still call for a complaint to be filed.
How Can Smartcorp Help You?
Filing a complaint on MSME SAMADHAAN portal and dealing with related legal and procedural complications is a tough task. That’s where Smartcorp steps in. Your experts in MSME compliance, including MSME registration in Chennai, we offer complete support to the MSME on recovery of dues against buyers through the MSME SAMADHAAN platform. The services we offer include:
• Initial Consultation: We assess the case of a client, discuss the particulars, and advise on the best means to advance.
• Case Preparation: We guide the client on how to compile all the necessary documents and get the case prepared for submission in the best way possible.
• Help in Filing Complaint: We at Smartcorp will take up the total process of filing a complaint on your behalf in the MSME SAMADHAAN portal with absolute accuracy and efficiency.
• OSS Cont. Support: We will be glad to provide you all 24×7 days support on the redressal process with continuous updates and adequate protection of your interest.
Why Choose Smartcorp?
• Specialist: With a lot of experience in MSME compliance and payment recovery, Smartcorp is much better placed to handle the MSME registration complexities of Bangalore, and legal procedures.
• Personalized Services: We are aware that not two businesses are the same. That is why we customize our services to suit the very specific needs and conditions of your MSME, whether you hail from Chennai, Coimbatore, Bangalore, Cochin, or Madurai.
• Effectiveness: With optimised processes, we save your time and effort for filing and recovery to be as smooth.
• Positive Results: Smartcorp is committed to your quick and fast recovery of your dues for the growth and success of your business.
TAKE ACTION TODAY
Payments received on time are the oxygen that every small enterprise requires to keep itself financially healthy. If your business is registered in India and is experiencing delayed payments, the MSME SAMADHAAN platform can be utilized with the assistance of Smartcorp. Please feel free to reach out to us with a query to schedule a consultation, and let the process of recovery begin.
Don’t let delayed payments stagnate your business growth. We, at Smartcorp, will guide you confidently through the process of MSME SAMADHAAN and help you recover your hard-earned money—invoiced but not received yet. Please free to reach out to us to understand more about our services and how we, at Smartcorp, can help your MSME maintain financial stability for further growth.