MSME/Udyam Registration
MSME/Udyam Registration Services by Deepak Prakash & Associates
At Deepak Prakash & Associates, we provide comprehensive MSME/Udyam Registration Services to help small and medium-sized enterprises (SMEs) in India unlock a host of benefits and gain access to government schemes, funding opportunities, and enhanced business growth. MSME (Micro, Small, and Medium Enterprises) is a key sector in India’s economy, and the Udyam Registration is the official certification that signifies that a business qualifies as an MSME under the Government of India’s guidelines. We specialize in assisting businesses of all sizes with the MSME registration process, helping them maximize the potential of their enterprise.
What is MSME/Udyam Registration?
MSME Registration, now known as Udyam Registration, is a process of registering your business as a Micro, Small, or Medium Enterprise with the Ministry of Micro, Small, and Medium Enterprises (MSME) under the Government of India. Udyam Registration is aimed at simplifying the registration process for small businesses and offering them several advantages, including access to various government schemes, subsidies, and financial support.
Previously, MSMEs were required to obtain an MSME/Udyog Aadhaar Registration. However, as of July 2020, the Government introduced Udyam Registration, a simplified process that can be completed entirely online with minimal paperwork.
Why MSME/Udyam Registration is Important?
Access to Government Benefits: MSME/Udyam Registration allows businesses to access various government schemes, subsidies, and funding options that can help grow and sustain the business. Some of these benefits include low-interest loans, tax rebates, and preferential treatment in government procurement.
Financial Support and Credit Facilities: MSMEs often struggle to get loans or credit from financial institutions. With Udyam Registration, businesses are eligible for priority lending under schemes like the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), which provides collateral-free loans.
Protection Against Delayed Payments: Registered MSMEs can seek protection under the Micro, Small, and Medium Enterprises Development (MSMED) Act, 2006, which provides legal protection against delayed payments from buyers. This makes it easier for MSMEs to recover dues in case of delayed payments.
Tax Benefits: MSMEs with Udyam Registration may be eligible for tax exemptions or rebates under specific government schemes, helping reduce the overall tax burden on small businesses.
Enhanced Credibility: Being an MSME/Udyam registered entity increases your business’s credibility and provides trust to customers, suppliers, and investors. It shows that your business is compliant with government regulations and standards.
Market Expansion: MSME/Udyam Registration helps you explore new markets, as the government often provides support for MSME expansion in both domestic and international markets.
Business Development and Networking Opportunities: Udyam registration opens up opportunities for MSMEs to network with larger businesses, suppliers, and government agencies, enabling collaborations and partnerships that can boost growth.
Benefits of MSME/Udyam Registration
Access to Government Schemes:
- MSMEs with Udyam Registration can benefit from various government schemes such as the Prime Minister’s Employment Generation Program (PMEGP), Credit Guarantee Fund Scheme, and others that provide financial and technical assistance.
- MSMEs with Udyam Registration can benefit from various government schemes such as the Prime Minister’s Employment Generation Program (PMEGP), Credit Guarantee Fund Scheme, and others that provide financial and technical assistance.
Lower Interest Rates on Loans:
- Registered MSMEs are eligible for subsidized loans and financial assistance from banks and financial institutions at lower interest rates. They also have easier access to collateral-free loans.
- Registered MSMEs are eligible for subsidized loans and financial assistance from banks and financial institutions at lower interest rates. They also have easier access to collateral-free loans.
Concession on Utility Bills:
- MSME/Udyam-registered businesses are eligible for discounts and concessions on electricity bills, landline phone bills, and other utility services as per the government’s initiatives for MSMEs.
- MSME/Udyam-registered businesses are eligible for discounts and concessions on electricity bills, landline phone bills, and other utility services as per the government’s initiatives for MSMEs.
Tax Benefits:
- MSMEs can claim tax exemptions under various government schemes. Additionally, they may be eligible for Income Tax exemptions for up to three years in some cases.
- MSMEs can claim tax exemptions under various government schemes. Additionally, they may be eligible for Income Tax exemptions for up to three years in some cases.
Priority in Government Contracts:
- MSME/Udyam-registered businesses enjoy preference in government procurement, enabling them to participate in tenders issued by government departments and public sector enterprises (PSUs).
- MSME/Udyam-registered businesses enjoy preference in government procurement, enabling them to participate in tenders issued by government departments and public sector enterprises (PSUs).
Protection from Delayed Payments:
- The MSMED Act ensures that MSMEs can resolve disputes regarding delayed payments from buyers and sellers. Registered MSMEs can approach the government for legal assistance in such cases.
- The MSMED Act ensures that MSMEs can resolve disputes regarding delayed payments from buyers and sellers. Registered MSMEs can approach the government for legal assistance in such cases.
Easy Access to International Markets:
- MSMEs that are registered under Udyam can apply for Export Credit Guarantee and other export-related incentives, promoting international trade and export opportunities.
- MSMEs that are registered under Udyam can apply for Export Credit Guarantee and other export-related incentives, promoting international trade and export opportunities.
Recognition and Identity:
- MSME/Udyam Registration provides businesses with a unique identification number, which helps in establishing credibility and fosters trust among customers, investors, and suppliers.
Types of MSMEs (Micro, Small, and Medium Enterprises)
The classification of MSMEs is based on the investment made in Plant & Machinery or Equipment, as well as the Annual Turnover of the business. The categories are as follows:
Micro Enterprise:
- Investment: Less than ₹1 crore
- Turnover: Less than ₹5 crore
Small Enterprise:
- Investment: Between ₹1 crore and ₹10 crore
- Turnover: Between ₹5 crore and ₹50 crore
Medium Enterprise:
- Investment: Between ₹10 crore and ₹50 crore
- Turnover: Between ₹50 crore and ₹250 crore
These thresholds are critical in determining the type of MSME registration a business is eligible for.
Process of MSME/Udyam Registration
The Udyam Registration process is completely online and can be completed in a few simple steps:
Step 1: Visit the Official Udyam Registration Portal
To begin the process, visit the official Udyam Registration Portal on the Government of India’s website. The portal is user-friendly, and businesses can register without visiting any government office.
Step 2: Fill in the Registration Form
Fill in the details in the registration form available on the portal. The form asks for details about the business, such as:
- Name of the business
- Business address
- Details of the owner/proprietor
- Nature of business
- Investment details in plant and machinery/equipment
- Annual turnover
You will also need to provide your Aadhaar number (for individual owners) and other relevant documents.
Step 3: Submit Documents
You may be asked to submit documents such as:
- Aadhaar Card (for proprietors)
- Business registration certificate (if applicable)
- Bank account details
- Income tax returns (if applicable)
- Details of plant/machinery or equipment investments
Step 4: Receive Udyam Registration Number
After completing the registration process, you will receive an Udyam Registration Certificate with a unique Udyam Registration Number. This certificate can be downloaded from the portal, and it serves as the official recognition of your MSME status.
Step 5: Verification
The registration details may undergo verification by the authorities. If there are any discrepancies, the business may be asked to provide further information or clarification.
Documents Required for MSME/Udyam Registration
Here are the common documents required for MSME/Udyam Registration:
- Aadhaar Card (for individuals or the authorized signatory of the company)
- PAN Card (for the business entity)
- Business Registration Certificate (for partnerships, limited companies, etc.)
- Bank Account Details (with IFSC code)
- Investment Details (in plant and machinery/equipment)
- Turnover Details (annual turnover of the business)
- Income Tax Returns (for businesses with taxable income)
Why Choose Deepak Prakash & Associates for MSME/Udyam Registration?
Expert Assistance: Our team of professionals provides expert guidance throughout the MSME/Udyam Registration process, ensuring that your application is completed accurately and without delay.
Hassle-Free Process: We handle all the documentation, form filling, and online submission on your behalf, ensuring a smooth and hassle-free experience.
Timely Registration: With our experience and dedicated services, we ensure that your MSME/Udyam Registration is completed promptly, allowing you to focus on growing your business.
Comprehensive Services: Beyond Udyam Registration, we offer a wide range of services to help your business grow, such as GST Registration, Income Tax Filing, and Licensing Services.
Affordable Pricing: We offer cost-effective and transparent pricing for MSME/Udyam Registration services.
