MSME which is the abbreviation of the Micro Small and Medium Enterprises are the ones whose contribution in the Indian economy is noticeable. Due to their great help in the growth and development of the country, the government decided to provide aid to such enterprises in many ways like tax exemptions, less interest rate loans etc. To get access to all these aids and development one needs to register under the MSME in India. Without having MSME Udyog registration it is not possible to get access to all these facilities of the government of India. Hence all the MSMEs must register themselves under the Udyog or MSME Registration. In order to register under the MSME in India one needs to follow the proper step by step criteria which we are going to discuss in detail in the present blog.
What is MSME Udyam Registration in India?
Registration of Micro Small and Medium Enterprises on the official portal of the MSME is called MSME Udyam Registration. This registration gives recognition to the MSMEs in the market. This registration is mandatory in order to get the various benefits which have been given or offered by the government of India. Without having this registration it’s really difficult to know which enterprise is MSME or which is not. Hence it is suggested to the owners of the MSMEs to get themselves registered on the platform of the MSME.
What is the Classification of MSME?
In India MSMEs have been classified into the following ways:
| Micro Enterprise | These are the tiniest businesses. They are having fewer than 5 employees. Here the investment in plant and machinery is less than ₹1 crore |
| Small Enterprise | Slightly larger than micro enterprises. Here the employees are between 5 to 49 people. In such firms investment in plant and machinery is between ₹1 crore to ₹10 crore. |
| Medium Enterprise | More substantial than small enterprises and they can employ between 50 to 249 people.Here the investment in plant and machinery is between ₹10 crore to ₹50 crore. |
Procedure to Register Under the MSME in India
Follow the steps given below in order to register under the MSME in India:
- Visit the official Udyam Registration portal.
- Fill in basic details like Aadhar number, name, and business information.
- Provide the one-time password (OTP) sent to your Aadhar-linked mobile number.
- Verify the details through OTP for authentication.
- Choose the appropriate category – micro, small, or medium enterprise.
- Furnish details about the enterprise, such as location, type of industry, and bank account.
- Declare the total investment in plant and machinery.
- Specify the turnover of the business.
- Upload scanned copies of required documents like Aadhar card, business PAN, and other relevant certificates.
- Review the provided information.
- Submit the application after ensuring accuracy.
- Once approved, you’ll receive an acknowledgment with the Udyam Registration Number.
- Download the Udyam Registration certificate containing the Udyam Registration Number and date of registration.
- Your MSME registration process is complete, and you are now officially recognized under the MSME category.
Documents Required to Register Under the MSME Udyam Registration
Some of the key documents without which it is not possible to register under the MSME are given below:
- Provide the Aadhar card details of the business owner for authentication.
- Submit a copy of the PAN that is the Permanent Account Number for the business entity.
- Furnish valid address proof of the business, such as utility bills or rent agreement.
- Submit the bank account details of the business.
- Clearly state the type and nature of the business activities.
- Declare the total amount invested in plant and machinery.
- Specify the turnover of the business.
- Provide information about the social category of the business owner.
- If applicable, provide the Registration Number from the District Industries Center.
- If registered under GST, submit a copy of the GST certificate.
- Furnish a canceled cheque with pre-printed name and account number.
- In some cases, a digital signature may be required for authentication.
Is it Mandatory to Register Under the MSME Udyam Registration
No, registration is not required; nonetheless, having this registration is necessary in order to take advantage of the many benefits and advantages offered by micro, small, and medium-sized businesses. One cannot access services like MSME Samapark and MSME Samadhaan without first registering as an MSME. These are only two of the numerous such initiatives that are available only to those who have registered as MSME. By completing the registration procedure using the Udyam registration government portal, this registration can be obtained. One can also seek the assistance of knowledgeable and experienced specialists for the same goal. Having expert help makes your task go more smoothly and easily.
Conclusion
To register under the MSME in India is a crucial step for MSMEs to avail themselves of government benefits and support. This registration, done through the official Udyam Registration portal. The simple process involves providing basic details, verifying through Aadhar-linked mobile OTP, and submitting information about the enterprise. Essential documents like Aadhar card, PAN card, address proof, and bank details are required.
The classification of MSMEs is based on factors like the number of employees and investment in plant and machinery. While registration is not mandatory, it is necessary to access government initiatives. Once registered, businesses receive an acknowledgment with a unique Udyam Registration Number, marking their official recognition under the MSME category. Overall, the registration empowers businesses to leverage government support for their growth and development.
