Any person who intends to establish a micro, small or medium enterprise may file MSME/UDYAM Registration online in the Udyam Registration portal. It is based on self-declaration with no requirement to upload documents, papers, certificates, or proof. On registration, an enterprise will be assigned a permanent identification number to be known as the “‘Udyam Registration Number”. An e-certificate, namely, the “Udyam Registration Certificate” shall be issued upon completion of the registration process.

MSME/UDYAM Registration Everything you need to know:
  1. The MSME registration process is free, fully online, paperless, and based on self-declaration.
  2. Registration of an MSME does not require uploading any documents or proof.
  3. Only an Adhaar Number will be enough for registration.
  4. The Aadhaar number shall be of the proprietor in the case of a proprietorship firm, of the managing partner in the case of a partnership
  5. The organization or its authorized signatory shall provide its GSTIN and PAN along with its Aadhaar number.
  6. PAN & GST linked details on investment and turnover of enterprises will be taken automatically from Government databases.
  7. The government online system will fully integrate with the Income Tax and GSTIN systems.
  8. PAN and GSTIN are required for Udyam Registration with effect from 01.04.2021.
  9. No enterprise shall file more than one Udyam Registration.
  10. Whoever intentionally misrepresents or attempts to suppress the self-declared facts and figures appearing in the Udyam Registration or update process shall be liable to such penalty as specified under section 27 of the Act.
  11. Those who have EM-II or UAM registration or any other registration issued by any authority under the Ministry of MSME will have to re-register themselves.
MSME/UDYAM Registration Process
  1. Fill in the MSME registration form with all required details online provided in the Udyam Registration portal.
  2. Click on the first link if you are a New Entrepreneur who is not yet registered as an MSME.
  3. Enter the Aadhaar Number and Name and click on ‘Validate & Generate OTP’.
  4. You will have to fill in the PAN details, after the completion of verification. You can select the No option if you don’t have a PAN card yet.
  5. Post this, you will have to fill the form having field numbers 5-24.
  6. At the end of the form, an OTP request will be sent to your phone again. Enter the OTP and verification code to submit the form successfully
  7. After successful registration, a “Thank You” message will appear with a Registration Number. Keep that number handy for later reference.
  8. After the submission of the application form, it can take 2-3 days for the approval and registration to complete.
  9. If the application receives approval, completion of the registration and sending of the MSME certificate via email will occur.
MSME/UDYAM Registration FOR EXISTING ENTERPRISES
  1. All existing enterprises registered under EM–Part-II or UAM shall register again on the Udyam Registration portal on or after the 1st day of July 2020.
  2. All enterprises registered till 30th June 2020, shall be reclassified following this notification.
  3. The existing enterprises registered before 30th June 2020, shall continue to be valid only for a period up to the 31st day of March 2021.
  4. An enterprise registered with any other organization under the Ministry of Micro, Small, and Medium Enterprises shall register itself under Udyam Registration.
Also Read: What is MSME Loan? MSME Eligibility, Documents, MSME Schemes.
Benefits of MSME/UDYAM Registration

Registration of your MSME is not compulsory. If you want to register, then your business can enjoy an excise privilege scheme from direct taxes, and avail of special schemes from banks custom-made for MSMEs.

Also, registered businesses with an MSME certificate will benefit from different government departments, including electricity. 

  1. MSME certificate helps in getting government tenders.
  2. Under a bank loan, a 15% import subsidy on fully automatic machinery
  3. Becomes easy to get licenses, approvals, and registrations, irrespective of the field of business
  4. Compensation for ISO certificate expenditure
  5. MSME registration helps new entrepreneurs, traders, and business owners in getting loans at low interest rates.
  6. Registered MSMEs get tariff subsidies and tax and capital subsidies
  7. Gets exemption under Direct Tax Laws
  8. Avail special rebates and concessions on patents and industry set-ups 
  9. One-time settlement fee for the amount unpaid 
  10. Government preference for MSMEs 
  11. Get credit guarantee schemes from the Government 
  12. Special consideration on International Trade fairs
  13. Bar code registration subsidy 
  14. Support from your state government

*Note MSME/ Udyam registration process is completely free.

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