Single Point Registration Scheme (SPRS): Eligibility and Application Process

The Single Point Registration Scheme (SPRS) is an initiative launched by the National Small Industries Corporation (NSIC) under the government of India to promote and support Micro and Small Enterprises (MSEs). It provides an online central marketplace that enables MSEs to sign up and makes them competent to bid on procurement contracts without having to sign up for each tender separately. The Scheme seeks to improve the competitiveness of small businesses and the ease of doing business in public procurement.

Key Objectives of SPRS

1. Promote MSEs: To encourage fair participation of MSEs in government procurement.
2. Ease of Access: Registration should be made much more manageable, which could help ease the paperwork burden on small business organizations.
3. Boost Opportunities: This is a tool of market access that helps MSEs win government tenders and achieve higher sales rates.
4. Financial Benefits: To make registered enterprises able to receive famous financial and procedure concessions such as the exemption of earnest money deposits.

Eligibility Criteria for SPRS

To register under the Single Point Registration Scheme, MSEs must meet specific eligibility requirements:

1. Type of Enterprises:

• Micro and Small Enterprises, as defined under the MSMED Act, 2006, are eligible for this Scheme.
• New medium and large enterprises are prohibited from applying for an SPRS registration.

2. Manufacturing or Service Providers:

• State-owned or contracted enterprises that produce goods or offer services that meet the government procurement criteria can participate.

3. Prior Business Experience:

• Audited enterprises should have been in business for at least one year.

• Exception: Where an MSE has applied for and has qualified for a Provisional Certificate, it may be exempt from this requirement if it can show that the products or services it intends to supply are necessary for government use and that it has the requisite technical know-how and production capacity as may be determined by the AC and as evidenced by the memorandum submitted to the AC when the MSE applied for the Provisional Certificate.

4. Udyam Registration Certificate:

•  The Ministry of Micro, Small, and Medium Enterprises provides Udyam Registration Certificates for MSEs.

5. Quality Standards:

• The enterprise should maintain specific quality standards and accreditations corresponding to its operation category.

6. Performance Records:

• Relevant experience as regards the company’s product or service offering and/or customer relationship is an added advantage.

Benefits of SPRS Registration

1. Tender Participation:

• MSEs, upon registration, can access government tenders without the need to register with other agencies.

2. Exemption from Earnest Money Deposit:

• The MSEs that register under SPRS are relieved from certain tender conditions, including paying earnest money for the tenders.

3. Price Preference:

• MSEs are allowed to be given up to 15 per cent price preference in some circumstances.

4. Procurement Mandate:

• The government has adopted a policy whereby they must procure from MSEs at least twenty-five per cent of their requirement on an every financial year basis.

5. Recognition:

• SPRS registration provides accreditation and acknowledgement forms, which help build trust with potential clients or partners.

Application Process for SPRS

The application process for SPRS involves several steps: 

1. Preparation of Documents: It is advisable to have the following documents ready:

• Udyam registration certificate.
• The balance sheet and statement of income and expenditure for the financial years ended three years before the year of this report.
• Report of financial credibility as produced by the bankers.
• Rental or title deed to business premises.
• More information is needed on each company’s qualification standards and quality certification, if any.
• Purchase orders that were executed last year.

2. Online Registration:

• To register, the client can go to the official NSIC website and navigate to the SPRS registration section.
• Enter the data of the enterprise, products/services provided, and financial data into the online application questionnaire.

3. Payment of Fees:

• For turnovers up to Rs. 1 crore: Rs. 5,000 + GST.
• For turnovers between Rs. 1 crore and Rs. 5 crore: Rs. 10,000 + GST.
• For turnovers above Rs. 5 crore: Rs. 25,000 + GST.

4. Submission of Application:

• Enclosed is the current passport-sized photograph, signature on correspondence, and the original application form.

5. Inspection of Premises:

• The NSIC officials will visit the enterprise premises to check the capacity, quality, and credentials, among other things, that the enterprise stated during registration.

6. Approval and Issuance of Certificate:

• The recognition result would be the issuance of an SPRS registration certificate valid for two years to the enterprise, provided that certification is achieved on-site.
• The certificate is valid for two years but can be renewed with new documents and after paying the renewal fee.

Important Considerations

1. Renewal Process: All MSEs are subject to biennial registration to ensure they can continue to access SPRS facilities. The major drawback of many of these is that they lapse, which can only be averted through timely renewal.
2. Compliance with Government Norms: Government procurement standards apply in registered enterprises, permitting them to benefit from the relevant advantages of SPRS while keeping the necessary quality level.
3. Awareness of Reserved Items: Some of the products procured are procured in strict compliance with the requirements of the Public Procurement Policy MSEs. Enterprises should know these items so they deal in the right tenders.
4. Grievance Redressal: Under the NSIC, there are mechanisms for registered enterprises to address grievances concerning challenges experienced in government procurement.

Conclusion

A single-point registration scheme is essential for MSEs because it provides many benefits that allow them to compete effectively in government procurement markets. SPRS enhance the abilities of small enterprises and helps bring change to India’s economic growth by providing them with financial and procedural benefits. SPRS registration is, therefore, essential for MSEs interested in market enlargement. Suppose the applicant employs the constraints of the framework and adheres to the eligibility requirements instructions. In that case, they will discover many opportunities that can open up and advance their business.

Related Services

• MSME Registration
• Sole Proprietorship Registration