How Does Online Udyam Registration Work?
Udyam registration is quick, easy, and can be done online with Legalguard.in in 3 simple steps:
We do a thorough check of the files you send in
We will appoint an expert to process your application
The certificate will be issued within 4 days of the application
Udyam Registration, SSI or MSME registration is a certificate provided to micro, small, medium-sized businesses in India under the Micro, Small and Medium Enterprise Development Act, 2006 (MSMED). Udyam Registration used to be referred to as MSME registration earlier. The main objectives of the MSME department with respect to providing Udyam registration are as follows:
- To enable the micro, small and medium enterprises to compete with international competition efficiently;
- To promote the growth of micro, small and medium enterprises on a large scale to effectively tackle the widespread problems of unemployment and poverty;
- To extend the benefits of various government scheme at one stop to the SSI units;
- To safeguard SSI from financial harassment in the hands of big industries.
Udyam Registration Eligibility
Not all businesses can obtain Udyam registration. Only those entity that is classified as a micro, small or medium enterprise as per the table below based on investment in plant and machinery is eligible for Udyog Aadhaar.
|Classification||Investment in Plant & Machinery or Equipment||Turnover|
|Micro-Enterprise||Not more than 1 Cr.||Not more than 5 Cr.|
|Small Enterprise||Not more than 10 Cr.||Not more than 50 Cr.|
|Medium Enterprise||Not more than 50 Cr.||Not more than 250 Cr.|
Benefits of Udyam Registration
After obtaining Udyam registration, a business can enjoy the following benefits:
- The applicant will receive financial support for participating in foreign expos to showcase their products.
- The applicant will also be eligible for government subsidies.
- Registration would facilitate the hassle-free opening of current bank accounts in the name of the business.
- It would also allow businesses to apply for government micro business loans and other such related beneficial schemes.
- Easier sanction of bank loans at lower interest rates.
Documents Required for Udyam Registration
The applicants personal Aadhaar is the main requirement for obtaining Udyog Aadhaar in case of a proprietorship. No further documents are required other than an email and a mobile number. Mobile number should be registered in Aadhar of the applicant.
- In case of proprietorship, the applicants Aadhaar must be used.
- In case of a partnership, the partners Aadhaar can be used.
- In the case of a company, the Directors Aadhaar can be used.
- In the case of LLP, the Designated Partners Aadhaar can be used.
If an applicant or authorised signatory of a business does not have Aadhaar, then he/she must first apply for Aadhaar at an Aadhaar enrolment centre. Once, the Aadhaar is obtained, the Udyog Aadhaar process can be started.
Details Required for Udyam Application
Follow the steps below to obtain Udyog Aadhaar registration online:
- 12 digit Aadhaar number of the applicant.
- Name of Owner – the name of authorised signatory or owner as mentioned on the Aadhaar Card. If the name does not match with the Aadhaar number, the applicant will not be able to complete the form.
- Social Category – the applicant’s caste: General/Scheduled Caste/Schedule Tribe/ Other Backward Castes.
- Name of Enterprise – the name by which the enterprise is known to the customers/public.
- One applicant can obtain more than one Udyog Aadhaar with the same Aadhaar Number, in case of multiple businesses.
- Type of Organization – the type of legal entity for the business.
- PAN – PAN Number of the proprietor in case of proprietorship. In the case of company or LLP, the PAN of the entity for which Udyam registration is sought.
- Location of the plant – the address of all location of the business.
- Official Address – the main address or corporate office address along with mobile and email address.
- Date of Commencement – the date on which the business was started.
- Previous Registration Details – details of previous MSME registration, if applicable.
- Bank Details – details of the bank account of the company, including IFSC Code and Bank Account Number.
- Major Activity – major area of activity of the business – manufacturing or service.
- Persons employed – the total number of people employed in the business.
- Investment in Plant & Machinery/Equipment – the amount of money invested in terms of machinery and equipment by the business. Do not include the value of building or land.
After submitting all the details, re-check the details filled and click on the Submit button. Verify the OTP number, generated by the registered number, with Captcha code required. An acknowledgement number will be generated and e-mailed to the applicant, which should be noted for future references.
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