UDYAM Registration

What is UDYAM

Udyam Registration, also known as MSME Registration, involves the government sign-off and the provision of an Udyam Recognition Certificate and a Unique Number. This certification is essential if you seek legal and operational certification for small or medium businesses. The Ministry of MSME, Government of India, conducts Udyam registration for micro and small businesses.

Benefits of UDYAM

Here are some of the Udyam certificate benefits:

Borrowers get collateral-free loans from banks.
Organizations registered with Udyam get eligible for Credit Linked Capital Subsidy Scheme.
Bank loans with subsidies and lower interest rates.
Direct tax laws rule exemption.
Barcode registration subsidy.
Patent registration subsidy.
Subsidy on NSIC performance fees and credit rating.

Important Things to Know

An enterprise shall be classified as a micro, small or medium enterprise on the basis of the following criteria, namely:

(i) a micro enterprise, where the investment in plant and machinery or equipment does not exceed one crore rupees and turnover does not exceed five crore rupees;
(ii) a small enterprise, where the investment in plant and machinery or equipment does not exceed ten crore rupees and turnover does not exceed fifty crore rupees; and
(iii) a medium enterprise, where the investment in plant and machinery or equipment does not exceed fifty crore rupees and turnover does not exceed two hundred and fifty crore rupees.

Must Know:

An enterprise for the purpose of this process will be known as Udyam and its Registration Process will be known as ‘Udyam Registration’
A permanent registration number will be given after registration.
After completion of the process of registration, a certificate will be issued online.
This certificate will have a dynamic QR Code from which the web page on our Portal and details about the enterprise can be accessed.
There will be no need for renewal of Registration.

Must Follow-

MSME registration process is fully online, paperless and based on self-declaration.
No documents or proof are required to be uploaded for registering an MSME.
Only Adhaar Number will be enough for registration.
PAN & GST linked details on investment and turnover of enterprises will be taken automatically from Government data bases.
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.
No enterprise shall file more than one Udyam Registration. However, any number of activities including manufacturing or service or both may be specified or added in one Registration.

Documents Required For New UDYAM Registration

Entrepreneur’s Aadhaar.
Entrepreneur’s/Business PAN.
Social Category of entrepreneur.
Adhaar linked Phone number.
E-mail address.
Business Commencement Date.
Bank A/C No. and IFSC Code (or a copy of the passbook).
Number of employees (with male and female divisions).
Nature of the business.
Number of employees (with male and female divisions).