Home > GST > Help Center > Udyam Registration Last Updated: Aug 31st 2024
Udyam (Udyog Aadhaar) for MSME Registration
MSME (Micro, Small and Medium Enterprise) registration made easy through UDYAM Registration to get possible benefits from Govt of India through various subsidies designed for certain segment of industries and businesses. Its vital to have Udyam registration during the economic crisis from Corona Virus pandemic
The advantages of registering the Udyam (UA) are to benefit from
- It will be a permanent registration and basic identification number for an enterprise
- Any number of activities including manufacturing or service or both may be specified or added in one Registration
- Enterprises with Udyam registration becomes eligible for priority sector lending from banks
- MSME Registration under Udyam can avail the benefits such as Credit Guarantee scheme, Public Procurement Policy etc
- MSME's registered under Udyam can get additional edge in Government Tenders
- There will be a protection against delayed payments for MSME’s registered under MSME
The following benefits were introduced in Budget 2024, which was announced on July 23, 2024, and have been largely centered on MSME's.
- Extension of Mudra Loan Limit: The limit of Mudra Loans will be increased from 10 lakhs to 20 lakhs for enterprises that have previously obtained and effectively repaid loans under the Tarun Category.
- E-Commerce Export Hubs will be established in public-private partnership (PPP) mode to facilitate the sale of products by MSMEs and traditional artisans in international markets.
- A credit assurance scheme that does not require collateral or a third-party guarantee for term loans to micro, small, and medium-sized enterprises (MSMEs) for the acquisition of machinery and equipment.
- A new mechanism has been implemented to enable the continuance of bank credit to MSMEs during their stress period.
Udyam registration is different from the entity registration such as company registration where a company registration is the registration of a business entity under the companies act. Company registration is a framework to give legal business framework.
If in case any entity (such as Company) want to get the Udyam for its intended benefits, entity must be incorporated before starting the Udyam registration.
Overall is Udyam registration gives us MSME registration. Entity registration gives us the legal business framework.
- How to start Udyam registration @ Register Udyam for MSME Registration
- Get help from experts to register, refer MSME Registration Service
- Who is MSME ? refer Who is MSME ? Proposed changes to the MSME definition
Frequently Asked Questions (FAQs)
It is better to have Udyam but not a mandatory.
Important to have it registered for your own benefit to access subsidy schemes
Yes, better to have both the registrations to easy loans and subsidies.
Visit Govt of India Portal https://udyamregistration.gov.in to register and maintain.
The validity of the Udyam is for the Life of the business. In essence, there is no expiration date for Udyam Certificate. When Officials call, approach, enquire about your business you may need to announce the state (condition) of your business for the government statistics.
There is no fee for applying Udyam Registration. No costs or Fees are to be paid to anyone
Only Aadhar number is enough for registration. PAN and GST Registration is mandatory from 01/04/2021 for Udyam registration
Yes, You need to re-register under Udyam even though you have earlier registered under EM-II or UAM
No enterprise can have more than 1 Udyam registration. However, any number of activities including manufacturing or service or both may be specified or added in one Registration
Aadhar Number of Director of Private Limited, partner in case of Partnership/LLP needs to be given