MSME Registration

MSME stands for Micro, Small, and Medium Enterprises. MSME term was introduced by the Government of India in agreement with the Micro, Small & Medium Enterprises Development (MSMED) Act, 2006. MSME initiated and managed under the Ministry of MSME (MoMSME) are entities engaged in the production, manufacturing, processing, or preservation of goods and commodities.

The Department of Micro, Small & Medium Enterprises (MSME) was established on 5 April 2016. The purpose of the MSME department is to develop guidelines for MSMEs to enable and further develop their capabilities. The MSME sector supports MSMEs in promoting socio-economic growth and employment opportunities. By fostering rural entrepreneurship, the department fosters the rural economy and empowers the rural population in general and rural women in particular. It also provides MSMEs with access to credit, technology and local and global markets. We are also developing clusters to provide small and medium businesses with minimal common facilities. The self-employment program encourages young people to start their own business in their hometown/village.

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Having Udyam Registration for your venture entitles your Business to the following benefits:

• Helps to avail benefits of government schemes such as the Credit Guarantee Scheme, Credit Linked Capital Subsidy Scheme, Public Procurement Policy, Protection against delayed payments, etc.
• Help to get the bank loans without Collateral/ Mortgage. 1% Exemption on the interest rate on Bank Overdraft (OD)
• Special 50% discount on Government fees for Trademark and Patent filing
• Reduces the cost of obtaining a patent or the cost of starting an industry as many discounts and benefits are available.
• MSMEs are eligible for priority sector loans from banks.
• Barcode registration subsidy
• Exemption scheme from direct taxes
• Registered Udyam gets tariff subsidies and tax and capital subsidies
• ISO certification fees reimbursement
• Electricity bills concession
• Special consideration in International trade fairs
• Any number of activities including manufacturing or service or both may be specified or added in one Registration. Along with the Udyam Registration, Enterprises may register themselves on GeM (Government  e-Market place, a portal for G to B) & SAMADHAAN Portal (a portal to address issues relating to delay in payments) and simultaneously MSMEs themselves can also onboard on TReDS Platform,(the invoices of receivables are traded on this platform) through three available platforms i.e. 1. www.invoicemart.com, www.m1xchange.com   www.rxil.in .
• Higher preference for government licence and certification.

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Following documents are required for MSME registration:

1. Aadhaar Card

In the case of a Company or Limited Liability Partnership or a Cooperative Society or a Society or a Trust, the Aadhar number of the Director/Partner/Trustee/Authorized Signatory.

In the case of a Proprietorship Firm, the Aadhar number of the proprietor is required.

In the case of a Partnership Firm, the Aadhar number of the managing partner is required.

In the case of a Hindu Undivided Family (HUF), the Aadhar number of the Karta is required.

2. PAN

In the case of a Company or Limited Liability Partnership or a Cooperative Society or a Society or a Trust, the PAN of the organisation is required

In the case of a Proprietorship Firm, the PAN of the proprietor is required.

In the case of a Partnership Firm, the PAN of the Partnership Firm is required

In the case of a Hindu Undivided Family (HUF), the PAN of the HUF is required.

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The following details are required in order to process the MSME Registration

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• Aadhaar-linked Mobile Number of an applicant.
• Date of Incorporation 
• Address of Registered Office 
• Bank Account details 
• Nature of the business
• GST Registration, if available

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