Dear Friend
What is sick?
If the enterprise runs in loss for consecutive 3 years then it will be considered as Sick Unit. Do you think the small Entrepreneur can withstand for 3 year loss continuously?. If he withstands the loss for consecutive 3 years, then the SME can declared / registered as Sick SME. If the ownership changes due to loss occurred continuously for 1 or 2 or 3 years then also the enterprise cannot get registered as sick due to new owner and the enterprise name also gets changed. If the entrepreneur withstands and survives then he cannot be classified in the MSME or the loss may not be the actual.
Dear Ms.(Cite Contribution)
I was also searched for the same in 2004 for doing my M.Phil in Economics. But this was the reply I got from a clerk from SME Department, Guindy, Chennai.