Definitions of Small Business in the Context of Bangladesh:

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Offline Shah Alam Kabir Pramanik

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Definitions of Small Business in the Context of Bangladesh:
« on: April 03, 2017, 04:36:05 PM »
Definitions of Small Business  in the Context of Bangladesh:
“Small industry means an industrial establishment or unit which is run mainly by hired labor and not using mechanical motive power but does not normally employs more than 50 workers and whose land, building and machinery does not exceed Tk.150, 00,000 in value in either case.”

Definition Stated By The Bangladesh Bank
The central bank of Bangladseh has come up with a new definition for small and medium enterprises in line with the government's industrial policy of 2010.
The new definition replaced the previous ones formulated in May 2008, incorporating microenterprise and cottage industries.
Under the new definition of Bangladesh Bank, the Bangladesh Bank will deem an individual as an entrepreneur or a small business owner if the person is an owner or proprietor of a privately-run organization, or owns at least 51 percent of share in case of a joint venture or company listed with the Office of the Registrar of Joint Stock Companies and Firms.
The central bank also included- microenterprise and cottage industries in all of its SME loan policies and programmes.
According to the new definition,
In Manufacturing,
Medium-size industry/enterprise
Assets: Worth Tk 10 crore to Tk 30 crore (excluding land and factory building, but including replacement value)
Employee No. : 100 to 250 workers.
Small-size industries/enterprises
Assets: Worth Tk 50 lakh to Tk 10 crore (excluding land and factory building, but including replacement value)
Employee No. : 25 to 99 workers.

Micro industry/enterprise
Assets:  Worth Tk 5 lakh to Tk 50 lakh (excluding land and factory building, but including replacement value
Employee No. : 10 to 24 or less

In both services and Businesses,
The medium-size enterprises
Assets: Worth Tk 1 crore to Tk 15 crore (excluding land and factory building)
Employee No. : 50 to 100 workers
The small-size enterprises
Assets: Worth Tk 5 lakh to Tk 1 crore.
Employee No. : 10 to 25 workers
Micro-enterprises:
Assets : worth Tk 5 lakh or less(excluding land and factory building, but including replacement value)
Employee No . : 10 or less.
Cottage industries/enterprises
Assets:  Worth Tk 5 lakh to Tk 50 lakh (excluding land and factory building, but including replacement value)
Employee No. : 10 to 24 workers or less
Ref: Tuesday, June 28, 2011
 SME: new definition to herald new life,Pocket of Change, Business, The Daily Star