UDYAM REGISTRATION

  • INDIA
  • UDYAM REGISTRATION

Udyam Registration

The Ministry of Micro, Small & Medium Enterprises introduced the new registration procedure for MSME on July 1, 2020, known as Udyam Registration or MSME Registration. Udyam is a company involved in this process, and Udyam Registration is the name of its registration procedure. Since July 2020, the Udyog Aadhaar registration has been replaced with the Udyam registration.

Udyam Registration Certificate

A certificate will be issued online once the Udyam Registration process is complete. This Udyam Registration Certificate will feature a dynamic QR Code that can be scanned to view the business's information.

Udyam Registration Benefits

There is no need to manage papers to obtain Udyam Registration because the process is so straightforward. The advantages are:
  • ✓ Special Preference in Government Tender Procurement
  • ✓ Reduction in electricity costs
  • ✓ It offers a defence against delays in Buyers' Tax Rebate payments.
  • ✓ Special 50% off government fees for submitting trademarks and patents
  • ✓ Fast Dispute Resolution

Revised MSME definition – The Atamnirbhar Bharat package

The package states that investment and turnover together constitute the composite requirements for the designation of an MSME; the upper ceiling has also been adjusted.

Composite Criteria

Type of Enterprises Investment Turnover
Micro enterprises

Less than Rs.1 Crore

Less than Rs.5 Crore
Small enterprises

Less than Rs.10 Crore

Less than Rs.50 Crore
Medium enterprises

Less than Rs.20 Crore

Less than Rs.100 Crore

When to apply for MSME Udyam Registration?

Obtaining Udyam Registration is not required and is entirely up to the Entrepreneur. However, it is advised that most enterprises seek MSME registration immediately after registration to take advantage of the various government perks.

Documents Required for Udyam Registration Online

Self-declaration is the basis of the Online Udyam Registration application process; no further documents need to be provided.

The applicant will simply need to submit their 12-digit Aadhaar number, PAN, and business bank account information in order to register.

Udyam registration of New Enterprise – Udyam Registration Portal

To register on the Udyam Registration Portal, the new business must first complete the following steps:

  • ✓ The new business wants to become an MSME and must apply for online Udyam Registration using the Udyam Registration Portal.
  • ✓ The application is based on self-declaration, and no other documents, certificates, papers, or evidence are required. Registration for Udyam is free.
  • ✓ PAN and GST-related information on firm investment and turnover would be automatically extracted from government databases.
  • ✓ MSME online is completely connected with the Income Tax and GSTIN systems.
  • ✓ The enterprise will be assigned a 'Udyam Registration Number' (i.e., permanent identity number) upon successful application submission.
  • ✓ After the registration process is completed, the firm will be awarded a 'Udyam Registration Certificate.'
  • ✓ Certificate of Incorporation granted by the foreign government
  • ✓ Residential Proof

Frequently Asked Questions

FAQs

  • How many NIC codes can be entered into a NIC registration?

    For Udyam registration, a maximum of ten NIC codes can be entered.

  • What does Udyam Registration mean?

    The government declared Udyam registration as the most recent method of registration for Micro, Small, and Medium-Sized Enterprises (MSME) on July 1, 2020, to streamline the system.

  • Who is eligible to register for Udyam?

    Anyone planning to start a micro, small, or larger business can apply for Udyam registration online.

  • What is the Udyam Registration NIC code?

    The NIC code is a business code supplied by the government to track the commercial transactions of organisations classified as micro, small, and medium enterprises.