{"id":27,"date":"2021-05-01T04:12:00","date_gmt":"2021-04-30T22:42:00","guid":{"rendered":"https:\/\/udyamregistration.org.in\/blog\/?p=27"},"modified":"2023-02-28T12:06:03","modified_gmt":"2023-02-28T06:36:03","slug":"what-is-udyam-registration","status":"publish","type":"post","link":"https:\/\/udyamregistration.org.in\/blog\/what-is-udyam-registration\/","title":{"rendered":"What is Udyam Registration – Everything you need to know!"},"content":{"rendered":"\n

Udyam Registration was introduced to simplify the procedure for business owners to register their business under Micro Small Medium Enterprise (MSME).
Before this, the procedure was a quite hectic and lengthy bureaucratic process that used to require lots of paperwork.<\/p>\n\n\n\n

However, things have changed after the replacement of the old system.<\/p>\n\n\n\n

So, if you own a medium, small or micro-enterprise and you are yet to register your MSME under Udyam registration, you should do it ASAP, to enjoy various and numerous benefits.<\/p>\n\n\n\n

What Is Udyam Registration?<\/h2>\n\n\n\n

The main question that many new entrepreneurs have in mind is what is Udyam registration? If you have a similar question, then you are at the right place.<\/p>\n\n\n\n

As per the notification of the Ministry of MSME dated 26.06.2020, Udyam Registration is the new process of MSME \/ UDYOG AADHAAR Registration launched by the Ministry of MSME effective from July 1, 2020. Udyam Registration also referred to as MSME Registration is nothing but a government registration that’s provided alongside a recognition certificate and 16 Digit Alphanumeric registration number. The central motive of the government behind the launch of this facility was to offer a way to the government to recognize MSME Business and provide the maximum benefits to such organizations to promote \u2018Atma Nirbhar Bharat Abhiyan\u2019 or the Self-Reliant India Scheme of 2020. The registration on UDYAM Registration Portal is paperless and based on self-declaration. All existing enterprises registered under EM\u2013Part-II or UAM shall register again on the Udyam Registration portal on or after the 1st day of July 2020.

To register under Udyam, your business should be MSME, so let’s check what is MSME and what is its classification criteria next.<\/p>\n\n\n\n

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Apply here for hassle free process<\/strong><\/a><\/div>\n<\/div>\n\n\n\n

What Is MSME ?<\/mark><\/h2>\n\n\n\n

MSME stands for Micro, Small, and Medium Enterprise. In accordance with the Micro, Small, and Medium Enterprises The Government of India has introduced MSME or Micro, Small, and Medium Enterprises<\/strong> in agreement with the Micro, Small, and Medium Enterprises Development (MSMED) Act of 2006. These enterprises primarily engaged in the production, manufacturing, processing, or preservation of goods and commodities.<\/p>\n\n\n\n

What Is MSME’s Classification Criteria ?<\/h2>\n\n\n\n
Classification<\/strong><\/td>Micro<\/strong><\/td>Small<\/strong><\/td>Medium<\/strong><\/td><\/tr>
Manufacturer \/ Service Provider \/ Traders<\/strong><\/td>Investment in plant and Machinery or Equipment:
Not more than Rs.1 crore
and
Annual Turnover: not more than Rs. 5 crore<\/td>		Investment in Plant and Machinery or Equipment:
Not more than Rs.10 crore
and
Annual Turnover: not more than Rs. 50 crore<\/td>		Investment in Plant and Machinery or Equipment:
Not more than Rs.50 crore
and
Annual Turnover: not more than Rs. 250 crore<\/td><\/tr><\/tbody><\/table>
MSME’s Classification Criteria<\/figcaption><\/figure>\n\n\n\n
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Know more about Udyam Registration now<\/strong><\/a><\/div>\n<\/div>\n\n\n\n

Now, since you have known, the classification criteria, let’s check the process for registration next.<\/p>\n\n\n\n

What Is Udyam Registration Process?<\/h2>\n\n\n\n

The process of registration is quite easy and free of cost, and the form-filling process is quite simple.
Things are way simple and efficient now. Here is the step-by-step process for the process:<\/p>\n\n\n\n

Step 1: Visit Government Website<\/h3>\n\n\n\n

Visit the government Udyam Registration portal, by clicking here<\/a>.
Click on – “For New Entrepreneurs who are not Registered yet as MSME or those with EM- II” option<\/p>\n\n\n\n

Step 2: Enter Your Personal Information<\/h3>\n\n\n\n

The initial particulars that you will need to enter will be your name and your 12-digit unique Aadhar number. Click on \u201cValidate & Generate OTP.\u201d You will receive an OTP on your registered mobile number. Enter the OTP.<\/p>\n\n\n\n

Special Note: For New Enterprises, Aadhaar number shall be required for Udyam Registration, of the proprietor in the case of a proprietorship firm; of the managing partner in the case of a partnership firm; of a Karta in the case of a Hindu Undivided Family (HUF); of authorized signatory in case of a Company or a Limited Liability Partnership or a Cooperative Society or a Society or a Trust.<\/p>\n\n\n\n

Step 3: PAN Verification<\/h3>\n\n\n\n

Select the type of organization and enter your PAN no and click on validate. PAN validation takes place.<\/p>\n\n\n\n

In case of a Company \/ LLP \/ Cooperative Society \/ Society \/ Trust that its authorized signatory shall provide PAN and GSTIN of the Company \/ LLP \/ Cooperative Society \/ Society \/ Trust along with his Aadhar number.<\/em><\/p>\n\n\n\n

Step 4: Filling Correspondence Details<\/h3>\n\n\n\n

After filling in all the details mentioned above, the next information that you will have to provide will be the complete postal address of the company\/enterprise\/entity. Also info about your company\u2019s district, pin code, state, email address, and mobile number.<\/p>\n\n\n\n

Step 5: Fill Bank Details<\/h3>\n\n\n\n

You will have to enter your enterprise\u2019s active bank account number along with the IFSC code of the concerned branch. If you don\u2019t have the IFSC code of the concerned branch, you can obtain the same on the bank\u2019s website.<\/p>\n\n\n\n

Step 6: Enterprise Details<\/h3>\n\n\n\n

You will have to mention the mainline activity of your enterprise from the \u201cservices\u201d or \u201cmanufacturing\u201d. You will have to submit the total number of persons employed and National Industry Classification(NIC) Code for Activities.<\/p>\n\n\n\n

After filling in all the particulars, the last thing will be entering the total amount of money (in lakhs) that you have invested in your machinery or plant.<\/p>\n\n\n\n

Step 7: Select the District Industry Center and Accept the Declaration<\/h3>\n\n\n\n

In the final step of this process, you will be selecting the district industry center from the provided drop-down list. After that, you will have to accept the declaration and click on \u201cSubmit and Get final OTP\u201d<\/p>\n\n\n\n

Enter the OTP received on mobile and click on the \u201cFinal Submit\u201d button.<\/p>\n\n\n\n

Once you click on \u2018Submit and Get Final OTP \u2019you will receive a registration number. Once all your information is verified by the Government, you will receive an E-registration document on your e-mail id.<\/p>\n\n\n\n

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Documents Required for Udyam Registration?<\/h2>\n\n\n\n