Reserve Price Floor:
Under RBI rules effective April 1, 2026, your gold's auction reserve price must not be less than
90%
of its current assessed value.
After 2 Failed Auctions:
The minimum floor may reduce to
85%
— but never below that under any circumstances.
LTV Limits (Apr 2026):
≤₹2.5L → 85% LTV · ₹2.5–5L → 80% LTV · Above ₹5L → 75% LTV.
Valuation:
Based on actual purity + net weight + RBI benchmark price. Stones and gems are excluded from the calculation entirely.
Surplus Refund:
If auction proceeds exceed your total dues, the balance
must
be returned to you by the lender per RBI directions.
Micro, Small, and Medium Enterprises (MSMEs) play a crucial role in the country's socioeconomic growth. Besides creating employment opportunities, they also contribute to developing the nation's remote regions.
Despite this, many people are still unsure about the differences between Micro, Small, and Medium Enterprises. The following article highlights the distinction between the three types of enterprises.
What Are Micro, Small and Medium Enterprises (MSME)?
MSME is an acronym for Micro, Small, and Medium Enterprises. According to the MSMED Act of 2006 by the Government of India, MSMEs are enterprises that process, produce, and preserve products.
The ministry has, however, removed the distinction between manufacturing-based MSMEs and service-based MSMEs in the 2020 revision of the Micro Small and Medium Enterprises Act.
Classification of MSMEs in India
1. Micro Enterprises
According to the revised MSME definitions released by India's finance ministry (with effect from 01.07.2020), Micro Enterprises are small companies with investments up to 1 crore and turnovers under 5 crores.
Micro enterprises vary from small cafes to local grocery stores to ice cream parlours. Small businesses like these typically start with little capital and have fewer than ten employees.
2. Small Enterprise
The income cap for small enterprises is between one and ten crores, and the turnover cap is up to 50 crores. The workforce is small and has a low sales volume.
Small Businesses can range from well-performing restaurants to manufacturing plants and bakeries. The average number of employees for small enterprises exceeds that of micro-enterprises.
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