1. SUPPORT ORGANIZATIONS
FOR AN ENTREPRENEUR
AND THEIR ROLES,
FRAMEWORK FOR
STARTING A BUSINESS IN
INDIA
Presented By:- Ganesh Adasul
Bhavik Jani
BhavikMehta
Mayuresh Shivankar

2. Institutional support system is necessary at
three stages enterprise development:
 Inception or Promotion
 Day-to-day management
 Expansion and Diversification

3. Three dimensions of institutional support
system are:
 Central Government
 State Government
 Non-government Support System

4. CENTRAL GOVERNMENT
INSTITUTES

5. SMALL SCALE INDUSTRIES BOARD
Established in 1954 to provide effective
coordination and inter-institutional linkages for
the benefit of small scale sector.
It consists of the following members:
 Union Industry Minister
 State Industry Minister
 Selected members of Parliament
 Secretaries of department concerned
 Financial Institutions
 Eminent experts in the field

6. NATIONAL BANK FOR
AGRICULTURE AND RURAL
DEVELOPMENT (NABARD)
Services offered by NABARD:
 Attracting youth to rural non-farm sector.
 District Industries Rural Project (DRIP).
 Rural Entrepreneurship Development
Programme (REDP).

7. SMALL INDUSTRIES
DEVELOPMENT ORGANISATION
(SIDO)
Constituted in 1954 to develop support
services for promotion of SSS.
Main objectives of SIDO are:
 To formulate policy for promotion of SSI
 Provide coordination of policies of state
government
 To collect and disseminate information
 To offer consultancy services
 Provision of testing services

8. NATIONAL SMALL INDUSTRIES
CORPORATION (NSIC)
Set up by government of India in 1955.
Main functions are:
 Supply of machinery and equipment.
 Provision of financial assistance.
 Assistance for arrangement of raw materials.
 Establishment of technology transfer centers.
 Arrangement of marketing assistance.
 Priority in government purchase programme

9. SMALL INDUSTRIES
DEVELOPMENT BANK OF INDIA
(SIDBI)
Subsidiary of IDBI, setup as an act of
parliament.
Provides assistance for:
 Setting up of new SSI units, small hotels,
hospitals and so on
 Technological upgradation and modernization,
expansion and diversification.
 Quality upgradation.
 Discounting of bills of manufacturer-seller in

10. STATE GOVERNMENT
INSTITUTES

11. STATE FINANCIAL CORPORATIONS
(SFC)
Objectives:
 Provide term loans for the acquisition of land,
building, plant and machinery.
 Promotion of self-employment.
 Encourage women entrepreneurs.
 Expansion of industry.
 Provide seed capital assistance.

12. STATE SMALL INDUSTRIES
DEVELOPMENT CORPORATION
(SSIDC)
Important functions performed are:
 Procurement and distribution of raw materials.
 Supply of machine on hire-purchase basis.
 Construction of industrial estates.
 Providing assistance for marketing of products
of SSI.
 Eg:- KARNATAKA STATE SMALL
INDUSTRIES DEVELOPMENT
CORPORATION LTD.

13. TECHNICAL CONSULTANCY
ORGANISATON
Services of TCOs include:
 Preparation of project profiles.
 Undertaking industrial potential surveys.
 Identification of potential entrepreneurs.
 Undertaking market research.
 Project supervision and rendering technical
and administrative assistance.
 Conducting EDPs.

14. KHADI AND VILLAGE INDUSTRIES
COMMISION (KVIC)
It is engaged in the development of khadi and
village industries in rural areas.
Main objectives of KVIC are:
 Providing employment in rural areas.
 Skill improvement.
 Rural industrialization.
 Transfer of technology.

15. NON-GOVERNMENT
INSTITUTES

16. INDIAN COUNCIL OF SMALL
INDUSTRIES (ICSI)
It was established in 1979.
Main functions are:
 Information dissemination.
 Entrepreneurship development.
 Consultancy and managerial support.
 Training and research.

17. LAGHU UDYOG BHARTI (LUB)
It was founded in 1995.
It is responsible to undertake:
 Entrepreneurial training.
 Technology upgradation.
 Marketing services.

18. Framework for setting up a
business
 General Information
 Project Report
 Financial Assistance
 Marketing

19. General Information:
 Selecting an activity
 Industry potential survey
 Market study
 Inputs required
 Agencies providing help-MSMEDI, SIDC

20. Project Report:
 Gives an account of the project proposal
 Detailed information
 Model project reports
 Agencies providing help-MSMEDI, SFC, NSIC

21. Financial Assistance:
 Loan for fixed capital and working capital
 Suitable source of funding
 Eligibility criteria
 Margin money
 Procedure for getting a loan
 Agencies providing help-SIDBI, NSIC, SFC

22. Marketing:
 Offer goods and services of desired quality at
optimum cost
 Create awareness through a network of
dealers
 Exhibitions and trade fairs
 Agencies providing help-NSIC, KVIC

23. Success story of Raisin Cluster, Sangli in
Maharashtra
 MSME sector in India contributes-
8% to GDP
45% to Mfg output
40% to total exports
 Cluster Development Programme (MSE-CDP)
one of the flag-ship schemes of the Ministry
 Cluster :- Group of enterprises located within
an identifiable area having similar properties
like methods of production, quality control,
testing, technology & marketing
strategies/practices

24. What does the GoI do?
 Diagnostic Study for SWOT analysis
 Soft Intervention – Activities like general
awareness, counseling, motivation, seminars,
workshops
 Capacity Building - M/S. Sangli Grape
Processing, Marketing & Research Industries
 Marketing Development - National level
Exhibition , W.T.O. Mumbai
 Management Development - Seminar on
management practice at VP Institute of
Management

25.  Hard Interventions i.e. setting up of Common
Facility Centers
 Facilities of CFC
a) Common Processing Centre
b) Common Testing Centre
c) Common Packaging Centre
 Benefits of CFC
1) Increase the efficiency and productivity of the MSME
units
2) Reduced cost of Product
3) Mfg. of the internationally competitive raisins is
possible
What does the GoI do?

26. Success of the Cluster
32.36
51.58
36.45 34.56
19.94
37.64
28.89
36.76
49.7
36.32
87
Increase in Revenue (Rs. in Lakhs)
Increase in Revenue (Rs. in Lakhs)

27. CONCLUSION
The most important development in the post-
independence period has been the growth of a
number of key institutions to promote, assist
and develop entrepreneurs to initiate industrial
growth in the country. The country has laid a
strong foundation broad based its
infrastructure and provided much needed
support and assistance.

28. REFERENCES
 Entrepreneurship and Small Business
Management
-M. B. SHUKLA
 The Dynamics of Entrepreneurship
Development and Management
-VASANT DESAI

29. THANK YOU