The Ministry of the Micro, Small, and Medium Enterprises MSME, Government of India, has introduced a new process of classification and registration of MSME Enterprises under the name of ‘Udyam Registration’ on July 01, 2020.
And as per the Ministry of the Micro, Small, and Medium Enterprises, every enterprise unit previously registered under MSME / Udyog Aadhaar shall be treated as a valid MSME up to 31st March 2021.
Any Proprietor business who intends to establish a micro, small or medium enterprise - MSME may file Udyam Registration online in the Udyam Gov portal.
Udyam Registration portal is a single-window portal, on self-declaration with no documents required to upload, papers, certificates, or proof.
And all the existing MSME enterprises and businesses must re-register/convert to Udyam on or before 31st March 2021 to enjoy the MSME Benefits.
What is Udyam Registration and When was it established?
Udyam Registration is a new single window, quick and easy online process for enterprises form registration under the Ministry of Micro,
Small, and Medium Enterprises.
The new MSME registration process is fully self-declaration, paperless portal, where to no documents. The new MSME registration portal is known as the Udyam registration portal.
After the registration, registered business enterprises are given a permanent identification registration number ie is known as Udyam registration number (URN), and the online certificate (e-certificate) is known as the Udyam registration certificate.
The Udyam registration process was established on July 1, 2020. Any small scale (Proprietor) enterprise can do the registration process under the Ministry of MSME through this Udyam portal.
Benefits of Udyam Registration for Proprietor
There are many benefits for a Proprietor for registering under Udyam. The Government of India is focusing on the growth of small-medium enterprises. A few of the Udyam benefits are listed below.
Udyam registration helps in getting Government tenders
Helps in getting low-Interest rate subsidy on bank loans
15% import subsidy on fully automatic machinery on bank loans
Registered Udyam MSME, the enterprise gets tariff subsidies
Collateral free loans from financial institutes and banks
Protection against delayed payments
Exceptional beneficial reservation policies in the production/ manufacturing sector
Ease of obtaining registrations, licenses and approvals.
Udyam Registered enterprise gets eligible for CLCSS (credit linked capital subsidy scheme)
Earlier, the MSMEs were defined on the basis of investments only, now the newly revised definitions will also include both turnover and investment of the company.
New Criteria for Classification of MSME - Micro, Small And Medium Enterprises
An enterprise will now be classified as a Micro, Small and Medium Enterprises on the basis of the following new criteria mentioned below:
Investment in plant & machinery/equipment
The investment in plant & machinery/ equipment does not exceed Rs 1 Cr and turnover does not exceed Rs 5 Cr.
The investment in plant & machinery/ equipment does not exceed Rs 10 Cr and turnover does not exceed Rs 50 Cr.
The investment in plant & machinery/ equipment does not exceed Rs 50 Cr and turnover does not exceed Rs 250 Cr.
Documents required for Udyam Registration for Proprietor
These are the important documents that are required for Udyam registration on the government portal:
Proprietor Aadhaar Number
Key Highlight of Udyam Registration
Fully online process Aadhaar OTP based system
It is a single-window registration portal
No documents need to be uploaded
No official Registration Fees, No Hidden Charges, No Bribe
On Submission, instant registration no. is generated
Udyam Registration Certificate (URC) will have a dynamic QR Code
Lifetime Valid certificate
No renewal of Registration
Any enterprise can file Udyam Registration only once
With one Aadhaar Number, only one registration is possible
Enterprises who have Entrepreneur Memorandum or Udyog Aadhaar Memorandum registration certificate or any other registration issued by under the Ministry of MSME will also have to re-register themselves
Proprietor Business can Apply for Udyam Registration Today!
After going through this article, you must have gained some information on Udyam registration, and its significance of having a Udyam Registration Certificate for your proprietor business.
The business registration under Udyam online process is very easy, with no additional fees, and non-complicated as the only legal document required to register a trade under UDYAM is the Aadhaar card, PAN card and GSTIN which makes the process extremely fast.
Just fill the online Udyam application form carefully and avoid any mistakes. An e-certificate - Udyam registration certificate makes sure that the business firm utilizes all the benefits of the government provides to MSMEs.
You can visit https://msmeregistrar.net/ for getting your proprietor business registered under Udyam, professional Udyam registration service work @ low fees.
There is an enquiry form hosted on the website msmeregistrar.net, if you need any help you may submit your contact details & our experts will call you back.
This website is a property of a private consultancy firm. We provide consultancy services w.r.t. MSME / Udyog Aadhaar Registration. Please note we are private consultants. We do not represent any government office or any government department.