Investors Guide

Visualizing project by an entrepreneur

Market survey for demand of product to be manufactured or

service to be rendered.

Identifying product / service , processing involved, finances,

manpower etc.

Preparation of detailed project report on following lines:

o Promoters background/experience

o Product with capacity to be built up and processes involved

o Project location

o Cost of the Project and Means of financing thereof

o Availability of utilities

o Technical arrangements

o Market Prospects and Selling arrangements

o Environmental aspects

o Profitability projections and Cash flows for the entire

repayment period of financial assistance

Type of organisation:

In case of partnership firm, partnership deed is to be registered

under Indian Partnership Act 1932 with the concerned GM, DIC.

In case of company, registration of Company with Registrar of

Companies, Chandigarh.

In case of Limited Liability Partnership,

o Apply for a Designated Partner Identification Number

(DPIN), which can be done by filing eForm for acquiring the

DIN or DPIN. You would then need to acquire your Digital

Signature Certificate and register the same on the portal.

Thereafter, you need to get the LLP name approved by the

Ministry of corporate affairs. Once the LLP name is approved,

you can register the LLP by filing the incorporation form .For

more details visit mca.gov.in

Apply for Permanent Account Number (PAN) from Income Tax

Department

For proprietary units, PAN should be obtained in the

name of the Proprietor.

For others, PAN should be obtained in the name of

firm/company/enterprise etc. (as applicable)

Provisional registration or Entrepreneurs Memorandum Part-I to be

applied online at www.msme.gov.in for Micro, Small & Medium scale

projects with investment in plant & machinery upto Rs. 10.00 crores

or

APPLY in prescribed common application form to be submitted in

Directorate of Industries, Shimla for approval from State Level

Single Window Clearance & Monitoring Authority headed by the

Hon’ble Chief Minister, Himachal Pradesh for large scale units

having investment in plant & machinery more than 10.00 crores,

forest produce based industries and industries listed in negative

list as notified under incentive rules 2004 of Department of

Industries as amended upto 12th March, 2015. (Form can be

downloaded from www.himachal.nic.in/industry)

Identifying land

In case of own land registered sale deed / purchase deed/ gift

deed , land where unit is set up should have clear title, in the

name of proprietor, firm, company/unit

In case of purchase of land from private owner enter into

agreement to sell with the land owner

For non agriculturist Himachali and non himachali entrepreneur,

Application for Essentiality Certificate (EC) for purchase of

private land is to be submitted to Directorate of Industries in a

prescribed format. FORMAT I (web address

http://himachal.nic.in/industry )

After getting EC apply for permission under section 118 of H.P.

Tenancy & Land Reform Act to the concerned Dy. Commissioner.

FORMAT II

Registration of land at the concerned Tehsil.

Application for change of land use to local Town & Country

Planning Authority (if applicable)

In case of rented property / lease on private premises rent/

lease agreement followed by rent/ lease deed to be registered

with Sub Registrar of the area.

In case of lease / rent from Govt. Agency application for

allotment of plot / shed /shop to be made to the concerned Dy

Director / GM/MS , SWCA,. FORMAT III

Prepare of building plan as per norms prescribed under Factories

Act and as per norms of Fire Department.

Apply for approval of building plan from Town & Country Planning

Department. FORMAT IV (Web address www.tcphp.in )

Apply for consent to establish from H.P. Pollution Control Board

FORMAT V-A,B,C (Web address http://xgn.hp.nic.in )

Apply for registration under State taxes to H.P. Excise & Taxation

Department, FORMAT VI (Web address https://hptax.gov.in )

Apply for NOC from Panchayat / Local Body.

In case of loan requirement apply of bank finance in banks /

financial institutes

Registration for getting benefits under various schemes like Central

Capital Investment Subsidy, Freight Subsidy , Food processing etc.

with concerned DIC (provided project does not fall in the negative

list)

Complete construction of building / factory shed (as case may be)

Approach to HPSEB for power availability (for large scale units,

forest produce based industries, negative industries prior sanction

of power availability is accorded by the State Level Single Window

Clearance & Monitoring Authority)—FORMAT VII (Web address

http://www.hpseb.com )

Order for plant & machinery

Installation of machinery

NOC from Fire Department FORMAT VIII. (Web address

http://himachal.nic.in/showfile.php?lang=1&dpt_id=171&level+1&suvli

nkid=8624&lid=8936 )

Registration under Factories Act FORMAT IX-A,B (Web address

http://admis.hp.nic.in/ofris/ )

Registration under contract labour act, if required.

Apply for grant of permit for sinking of well and use of ground

water(commercial/industrial users) from IPH Department FORMAT

X (web address http://hpiph.org )

Obtain sanction/ release of power connection from HPSEB

Apply for final NOC i..e. consent to operate from H.P. Pollution

Control Board. FORMAT V

NOC from Environment Department (if applicable)

Registration of trademark at Office of the Trade Marks Registryat New Delhi Boudhik Sampada Bhavan, Plot no.32, sector 14,Dwarka, New Delhi-110 075 Tel. : 011-28082915/28082916Fax : 28082917

Get approval from Drug Controller in case of Pharma units.

After commencing commercial production and 1st sale of the

products being manufactured

Registration with Central Excise Department if applicable (Web

address www.cbec.gov.in )

Apply for permanent registration or entrepreneur Memorandum

Part-II in case of Micro, Small , Medium industries online at www.

msme.gov. in and for getting commencement of production

certificate in case of large unit application be submitted to

concerned GM, DIC/MS/SWCA

Timely renewal of consent to operate from H.P. Pollution Control

Board may be done.

What categories of persons are required to obtain registration withthe Central Excise department?

Subject to specified conditions, generally the following categoriesof persons are required to get themselves registered with theCentral Excise department:

(i) Every manufacturer of dutiable excisable goods;

(ii) First and second stage dealers or importers desiring to issueCenvatable invoices;

(iii) Persons holding bonded warehouses for storing non-duty paidgoods;

(iv) persons who obtain excisable goods for availing end-use basedexemption.

Is there any category of persons who are exempt from obtainingregistration?

Yes. Subject to specified conditions, the following categories ofpersons need not obtain Central Excise registration.

(i) Manufacturers of goods which are chargeable to nil rate of dutyor are fully exempt;

(ii) SSI manufacturers having annual turnover of below Rs.90 lakhs.Once their turnover touches Rs.90 lakhs, they should give theprescribed declaration to the Jurisdictional Superintendent ofCentral Excise;

(iii) Job-workers of ready-made garments if the principalmanufacturer undertakes to discharge the duty liability;

(iv) Approved/licensed units in Export Processing Zones, SpecialEconomic Zones and 100% Export Oriented Units.

What is the procedure for obtaining registration?

Apply to the nearest Central Excise Division Office in Form A.1 along witha self-attested copy of the PAN issued by the Income Tax Department.After post verification, a regular Registration certificate in form RC isnormally issued immediately, as far as possible.

What are the items on which Central Excise duty is leviable?

All goods listed in the Central Excise Tariff Act, 1985 attractCentral Excise duty unless specified to the contrary in the Actitself or under any notification issued under the Central Excise Act,1944 by the appropriate statutory authority.

Who is liable to pay Central Excise duty?

Generally speaking, the manufacturer who actually undertakesmanufacturing activity is liable to pay Central Excise duty. A persondoes not become a manufacturer simply by supplying raw materialsto the manufacturer or getting his goods manufactured according tohis own specifications, brand name or trade name, etc. However, forthe textile sector, the option is with the supplier of raw materialsor with the job worker to pay duty.

LIST OF INDUSTRIES IN SMALL AND TINY SECTOR EXEMPTEDFROM CONSENTMECHANISM OF THE STATE BOARDS.No. Type of unit/Product1. Dhoop manufacturing2. Kohlus3. Wooden furniture4. Wooden structure manufacturing e.g. Posts. Beams, joinery, carpentryshop (excluding seasoning)5. Wooden cable drums for all aluminium and ACSR conducture6. Railway wooden slippers (excluding seasoning)7. Bamboo cane and reed furniture8. Mat weaving9. Photo frames (wooden)10. Bee hive boxes11. Baan Making12. Tooth picks13. Sewing machine covers wooden14. Black board15. Dolls and wooden handicrafts16. Handlooms products17. Tool boxes wooden18. Roofing and flooring title wooden (excluding seasoning)19. Atta chaki20. Electronics assembly units not involving in PCB mfg21. Computer software training22. Weaving without dying and processing (having no use of water and fewin between)23. Barbed wire (excluding de-scaling pickling and galvanizing)24. Nails25. GI wires mesh (excluding de-scaling pickling and galvanizing)26. Hosiery products without dying and processing27. Corrugated boxes (for packing)28. Pilfer proof capsHPSPCB Page 229. ACSR conductors30. Carpet weaving31. Readymade garments

32. Laminated jute bags33. Motion picture production including video filming34. Repair of foot wears and leather goods35 Repair of electrical appliances36. Servicing of electrical machinery37. Repair of clock and watches38. Repair of machinery other than electrical39. Repair of electronics equipment (I/c radio transistor etc.)40. Book binding41. Excise note books42. Paper coups43. Papers bags44. Paper tubes and cones (electric heating)45. Candle manufacturing46. Mobile snacks bar47. Oil expelling units48. Carding units in tiny sector49. Roofing tiles without kiln50. Vehicles body building51. Shoe making52. Leather garments53. Sheet metal fabrication54. Wick stoves (excluding electroplating)55. Seri-culture56. Khadi clothes57. Net manufacturing58. Tailoring (job work)59. Wire drawing copper (electric heating excluding enamelling)HPSPCB Page 360. Rubber stamps61. Sign boards advertising and display62. Spice grinding63. Gunny bags64. Embroidery works65. Durry weaving66. Cloth bags67. Wire netting without galvanizing and pickling68. Photocopying

69. Rewinding of electrical motors70. Repair of type writer87. Manufacturing of brushes, shoe brushes, hair brushes and printingbrushes88. Apiaries (bee keeping)89. Fruit packing90. Manufacturing of plaster boards and other art objects91. Assembling of coffee and tea vending machines92. Poly propylene woven sacks and rasps93. Toy making (stuffed)94. Nursery farming95. Mulberry basket manufacturing96. Tyre repairing except re-treading97. Structural testing lab98. Pisciculture99. Sun-dried fruits and vegetables100. Offset printing101. Solar panels (assembly)102. Home Stay Facility Maximum of Three Rooms located in rural areas103. Educational Institutes which do not have hostels for student and orresidential colony for faculty