Udhyam MSME Registration

Introduction

Welcome to your CorpIQ definitive guide on MSME Udyam Registration in India. Udyam Registration is the new face of MSME registration in India. Embracing simplicity, transparency, and inclusivity, the Government of India launched the Udyam Registration portal to ensure a seamless registration experience for the nation's Micro, Small, and Medium Enterprises (MSMEs).

The Government of India has enacted the Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 in terms of which the definition of micro, small and medium enterprises is specified. The new process for registration of micro, small and medium enterprises (MSMEs) in the name of Udyam Registration began on 1 July 2020.

• As part of the COVID-19 relief package named ‘Atmanirbhar Bharat,' the definition of MSMEs was changed to reclassify them on the basis of not just investments put in but to include turnover of the company.

• The Ministry of Finance announced for change in the definition of MSME and as a result the existing criteria of classification on the basis of Investment in the Plant & Machinery or Equipment was changed to Composite criteria of Investment & Turnover and it also eliminated the difference between the Manufacturing and the Service Sector Enterprises.

UNDER THE NEW MSME DEFINITION

There will be no more difference between the Manufacturing and Service MSMEs.

• a Micro enterprise, where the investment in the plant and machinery or equipment does not exceed one crore rupees and turnover does not exceed five crore rupees;
• a Small enterprise, where the investment in plant and machinery or equipment does not exceed ten crore rupees and turnover does not exceed fifty crore rupees; and
• a Medium enterprise, where the investment in plant and machinery or equipment does not exceed fifty crore rupees and turnover does not exceed two hundred and fifty crore rupee.

MSME includes all establishment which are engaged either in manufacturing or in rendering services but does not include those enterprises which are engaged only in the trading activities.

WHY CHOOSE CORPIQ SERVICES?

• Efficient & Quick: Hassle-free registration, ensuring your enterprise gets recognized swiftly.

• Expert Guidance: Benefit from our team's vast experience and knowledge about MSME guidelines and updates.

• Transparent Pricing: Honest and upfront pricing with no hidden costs.
• Continuous Support: We're here for any post-registration queries or modifications.



DOCUMENTS REQUIRED FOR UDYAM MSME REGISTRATION:

The process of Udyam registration is entirely online and it does not have any requirement to upload any document. However, but before applying for theUdyam Registration, the owner orproprietorof the enterprise must have the following documents:

• PAN Card
• GSTIN (GST Identification Number), if the enterprise is required to get registered under the GST Law.
• Aadhar Card
• In case of a Proprietorship Firm, the Aadhar number of the proprietor is required for the Udyam Registration form.
• In the case of a Hindu Undivided Family (HUF), the Aadhar number of the Karta is required for Udyam Registration form.
• In the case of a Partnership Firm, the Aadhar number of the managing partner is required for Udyam Registration form.
• 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 organisation or the authorised signatory is required for Udyam Registration form.



FEATURES OF UDYAM MSME REGISTRATION

• Easy to received Bank Loans.
• Interest Rate Subsidy upto 1% on Bank OD.
• There is a concession on Electricity Bills.
• Protection against delayed payment.
• There is a 50% Discount on the Trademark Registration.
• Reimbursement of ISO Certification Charges which is recognised under Govt. of India.
• Easy to Open Current Account.
• Exemption under Direct Tax Laws
• Easy to get Approvals, Licenses and Registration.
• Government Tenders specifically for MSME.
• Apply for UAN FREE of Cost.
• Protection Against Delayed Payments
• Avail Tax rebate.



PROCEDURES FOR OBTAINING UDYAM MSME REGISTRATION

• Any person who intends or wants to establish a micro, small or medium enterprise may apply for Udyam Registration online on the Udyam Registration portal,
• There is no requirement to upload documents, papers, certificates or proof.
• On registration, an enterprise will be assigned a permanent identity number to be known as “‘Udyam Registration Number”.
• On completion of the registration process. An electronic certificate, namely, “Udyam Registration Certificate” will be issued.



POINTS TO REMEMBER

• The form for the Udyam registration is available on the Udyam Registration portal.
• Free of cost registration i.e. No fee is being charged for Udyam Registration.
• Aadhaar number is required for Udyam Registration
• In the case of a proprietorship firm, the Aadhaar number of the proprietor is required, In the case of a partnership firm, the Aadhaar number of the managing partner and of a Karta in the case of a Hindu Undivided Family (HUF).
• In case of a Company or a Limited Liability Partnership or a Cooperative Society or a Society or a Trust, the organisation or its authorised signatory shall provide its GSTIN and PAN along with its Aadhaar number.
• In case an enterprise is duly registered as an Udyam with PAN, if there is any deficiency of information for previous years when it did not have PAN can filed application on self-declaration basis.
• No enterprise can file more than one Udyam Registration: Provided that any number of activities including manufacturing or service, or both may be specified or added in one Udyam Registration.
• If in any case, whoever intentionally misrepresents or attempts to suppress the self-declared facts and figures appearing in the Udyam Registration shall be liable to such penalty as specified under section 27 of the Act.