The Indian government introduced the Udyam Registration Certificate in 2020 as a replacement for the previously used MSME registration. The Udyam registration process is entirely online, and the registration certificate is used to identify the Micro, Small, and Medium Enterprises (MSMEs) in India. The government has made it mandatory for all MSMEs to obtain this certificate, and failure to do so may result in penalties.
In this blog, we will guide you through the udyam registration certificate process, including its eligibility criteria, documents required, and the step-by-step process to obtain the certificate.
Before applying for the Udyam registration certificate, it is essential to check if you meet the eligibility criteria set by the government. Here are the eligibility criteria for obtaining the Udyam registration certificate:
- The enterprise must be registered in India.
- The enterprise must fall under the definition of a Micro, Small, or Medium Enterprise.
- The enterprise must not exceed the investment limit set for its respective category.
To apply for the Udyam registration certificate, you will need to submit certain documents. Here is a list of documents required:
- Aadhaar card of the proprietor or directors or partners.
- PAN card of the enterprise.
- GST registration certificate (if applicable).
- Business address proof (rent agreement, electricity bill, etc.).
- Bank account details of the enterprise.
- Details of the major activity performed by the enterprise.
- Details of the employees.
Step-by-step process to obtain the Udyam registration certificate
Now that you are familiar with the eligibility criteria and documents required, let us take you through the step-by-step process to obtain the Udyam registration certificate:
Step 1: Visit the official website
The first step is to visit the official website for Udyam registration at udyamregistration.gov.in.
Step 2: Registration
On the homepage, click on the “For New Entrepreneurs who are not Registered yet as MSME” button. Enter your Aadhaar number and the name of the owner or authorized signatory of the enterprise. Click on “Validate & Generate OTP.”
Step 3: Enter details
After the validation is successful, the registration form will appear. Enter all the required details, such as the name of the enterprise, type of organization, business address, and contact details. Also, provide details of the major activity performed by the enterprise, including the NIC code.
Step 4: Submit the application
After filling in all the details, click on the “Submit” button. You will be asked to review and verify the information provided before submitting the application.
Step 5: Make payment
After submitting the application, you will be redirected to the payment page. The fee for Udyam registration is Rs. 1,000. You can make the payment using any of the available options, such as debit card, credit card, or net banking.
Step 6: Final submission
After making the payment, you will receive a final confirmation of the submission of the application. You will also receive an acknowledgement number for future reference.
Obtaining the Udyam registration certificate is mandatory for all MSMEs in India. The process is entirely online, and the certificate is used to identify the MSMEs in the country. The eligibility criteria for obtaining the certificate include being registered in India and falling under the definition of a Micro, Small, or Medium Enterprise. The documents required for the process include Aadhaar card, PAN card, business address proof, and details of the major activity performed by the enterprise. The step-by-step process to obtain the certificate includes visiting the official website, registration, entering details, submitting the application
making payment, and final submission.
It is crucial to note that the Udyam registration certificate is valid for a lifetime, and there is no need for renewal. However, in case of any change in the information provided during the registration process, the MSME must update the same on the Udyam registration portal within 30 days.
Apart from being mandatory, the Udyam registration certificate offers several benefits to the MSMEs. It enables them to access various schemes and incentives offered by the government. It also helps in getting loans at lower interest rates, and it makes it easier to participate in various government tenders.
Obtaining the Udyam registration certificate is a necessary step for all MSMEs in India. The process is straightforward, and the government has made it entirely online. It is essential to ensure that you meet the eligibility criteria and have all the necessary documents before applying. Once you obtain the certificate, you can enjoy the benefits that come with it and grow your business.