Udyam Certificate & Udyam Registration: MSMEs (medium, small, and large scale enterprises) contribute a larger portion to India’s GDP (Gross Domestic Product) despite facing several challenges for their growth and expansion. Keeping this in mind, the Government of India, in May 2020, took the initiative to classify MSMEs to provide appropriate benefits. For this classification, all the MSMEs will have to go through the compulsory registration process, and all these MSMEs will be known as Udyam.
All these MSMEs will be issued a Udyam Certificate after the registration process. If you are a small or micro business owner or exploring business registration steps, this article is for you. This article will cover all the significant aspects of Udyam Registration and its benefits.
What is Udyam Registration?
Udyam Registration is the process of registering an enterprise under the Udyam Scheme launched by the Ministry of Micro, Small and Medium Enterprises Ministry of Government of India, wherein all the micro, small, and medium enterprises can register themselves. All the enterprises registered under Udyam shall be eligible for various monetary benefits and subsidies offered by the government.
What is a Udyam Certificate?/ Relevance of Udyam Certificate
Udyam Certificate or Udyam Registration number is an 11-digit registration number issued to a business falling under MSME (Micro, Small, or Medium Enterprise) by the Ministry of Micro, Small, and Medium Enterprise. For example, UDYAM-XX-00-0000000.
Eligibility criteria for MSMEs to apply for Udyam Certificate?
The eligibility criteria for a business to qualify as an MSME for Udyam Registration are listed below:
| Type of Enterprise | Investment criteria | Annual turnover |
| Micro | Does not exceed 1 Crore | Does not exceed 5 Crore |
| Small | Does not exceed 10 Crore | Does not exceed 50 Crore |
| Medium | Does not exceed 50 Crore | Does not exceed 250 Crore |
Required Documents for Udyam Certificate Application
The following documents or details are required for Udyam Registration:
- Adhaar Card details
- PAN Card details
- Business address proof
- Business Bank Account details
Application fee for Udyam Certificate
There is no fee for applying for the Udyam Registration Certificate. It is totally free of cost.
Benefits of Udyam Certificate
There are several benefits of the Udyam Certificate to MSMEs business owners. These benefits include:
- Easy application for a government tender
- Lower interest rates on business loans from banks and NBFCs (Non-Banking Financial Corporations)
- The benefit of various tariff subsidies
- Various tax rebates exclusively for MSMEs registered under the Udyam scheme
- Easy approvals from government institutions for licenses and other registration for business purposes
Udyam Certificate Step-by-step Online Application Process
The online process to apply for Udyam Registration is very simple and hassle-free. Given below is the step-by-step process for online Udyam registration:
Step 1: Visit the official website of the Ministry of Micro, Small, and Medium Enterprises by clicking on this link: https://msme.gov.in/.
Step 2: Scroll the bar and click on the “Udyam Registration (Online Registration for MSME)” tab on the home page.
Step 3: Click on “Registration for New Entrepreneurs”.
Step 4: Enter your Name and Adhaar Card number, then click the “Validate and Generate OTP” tab.
Step 5: You will receive an OTP on your registered mobile number. Enter the OTP in the space given and click the “Submit” button.
Step 6: Now, choose your Business Type and also enter your PAN Card number and click the “PAN Validate” button.
Step 7: After PAN Validation click the “Continue” button for further application form.
Step 8: Now fill in your personal and business related information in the Udyam Registration form.
Step 9: In this registration form you will have to fill in you personal information such as Name, Mobile Number, Email, Gender, Category, Stake in business, etc. Business information such as Name of Business, Address of Business, Business Unit Address, Status of Business, Bank Details, Activity Type, Number of Employees, Business Valuation and turnover, etc.
Step 10: Accept Terms and Condition, then click the “Submit & Get final OTP” button.
Step 11: You will get an OTP on your registered mobile number,
Step 12: Enter the OTP and fill in Verification Code and click the “Final Submit” button.
Step 13: Your application process is complete. Once the details are verified, you will receive the Udyam Registration Certificate and Registration Number on your registered mobile number and email account.
Step 14: You can download and take a printout of your Udyam Registration Certificate for further use.
How to Download Udyam Certificate/ How to Print Udyam Registration Certificate?
The process to Download Udyam Certificate is very simple. After completing your application for Udyam Registration and verifying your details, you will receive an email containing your Udyam Registration number. Note that number for future convenience. Given below is the step-by-step process to download the Udyam Registration Certificate:
Step 1: Visit the official website of the Ministry of Micro, Small, and Medium Enterprises by clicking on this link: https://msme.gov.in/.
Step 2: Scroll the bar and click on the “Udyam Registration (Online Registration for MSME)” tab on the home page.
Step 3: You will be redirected on the another website udyamregistration.gov.in.
Step 3: Click on the “Print/Verify” button given on the page and select the “Print Udyam Certificate” option from the list provided.
Step 4: Enter the “Udyam Registration Number” received through email. Then, enter your registered mobile number and choose an option to receive your OTP. Then click on the “Validate and generate OTP” button.
Step 5: Enter the OTP received on your registered mobile number/ email ID and click the “Validate OTP and Print” button.
Step 6: On the next page, provide information about GSTIN as required. Then, your Udyam Registration Certificate will appear on your device screen. Click on the “Print” button to collect the printout of your Udyam Registration Certificate.
FAQs
Q. What is the full form of MSME?
Ans. MSME means Micro, Small, and Medium Enterprise.
Q. How to register in Udyam?
Ans. One can register for the Udyam Certificate through the official website of the Ministry of Micro, Small, and Medium Enterprises.
Q. Who is eligible for the Udyam Registration Certificate?
Ans. Any person intending to establish or run a micro, small, or medium enterprise is eligible for Udyam Registration.
Q. Is it compulsory to have GSTIN for Udyam registration?
Ans. No, having a GSTIN for Udyam Registration is not compulsory.
Conclusion
In this article, we have discussed all the important aspects of Udyam Registration and Udyam Certificate. If you are a small or micro business owner and fall within the eligibility criteria, you must register your business as Udyam to avail all the due benefits provided by the government to all the MSMEs. Hope you find this article useful and informative. For more such informative articles, keep visiting our website regularly.
