Udyam registration: Under the ministry of micro, small and medium enterprises, Udyam registration is the single window through which the small-scale enterprises can get registered with no documents required, it is completely a paperless process.
why the enterprises or the business owners are required to have this Udyam registration :
enterprises or the business owners who want to run their business smoothly, they need to have this Udyam registration, Udyam registered business owners can get the facilities of government initiatives or schemes which helps to run their business as well as there are the several types of benefits, they are provided by the government of India.
Also, Read – NIC Code
Understood MSME Registration
here briefly I will describe the term MSME which helps you all to understand the whole process of Udyam registration in a good way :
Under the government of India, MSME has been established under MSMED( micro, small and medium enterprises development) act, 2006. It is the highest executive body of the MSME ministry to administer and formulate the rule of law for small-scale companies or enterprises.
here on the basis of production, preservations, or processing of the goods, it has several criterias which are important to describe :
micro-enterprises are those whose annual investment in a plant or company does not exceed 25 L.
small scale enterprises or small enterprises are those whose annual investment in a company is between 25 L and 5 cr.
in medium enterprises where the investment ranges between 5 cr and 10 cr.
These are the criterias where all the MSME enterprises are categorized.
on the basis to provide the services in the market sector, it has other criterias :
In micro-enterprises, the annual investment in the company or enterprises should not exceed 10 L.
Small enterprises where the investment range should be between 10 L and 2 cr.
And in the medium enterprises, here the investment in the company should be between 2cr and 5 cr.
Udyam registration for business
Again on the topic of Udyam registration, as I told a little bit about the Udyam registration, now I throw a bright light on this topic, As we know the business owner or the enterprises for the purpose of registering their business now is called the Udyam registration.
here you will get a permanent registration number. After finishing the registration process, there will be a certificate issued through the online process.
On this certificate, a dynamic QR code is printed where all the details of the applicant are mentioned. using this QR code applicants’ or enterprises’ details can be accessed.
and there is no need for renewal for the registration, Udyam registration is fully free, which means no need to pay a payment to anyone, and is based on self-declaration.
registering in MSME, you do not have to upload any kind of documents or any proof.
the only document you will register on MSME is aadhar.
and other documents like PAN and GST will be taken through the government database automatically.
Here the online system is completely connected with the Income-tax and the GSTIN system.
but now it is mandatory to have the PAN and GST from 01-04-2021. Here one thing that is more important to know is that enterprises or the companies owners are not eligible to file more than one Udyam registration. although any activities which include manufacturing and services may be added to one registration.
so we knew about the Udyam registration and its need for the enterprises and the MSME along with the several criterias.
the online process for the Udyam registration
now I am going to tell you about the online process for the Udyam registration so that the applicants never face the problems encountered before them while filing the online process for the registration, this slide will help you all that how to register their business on the Udyam registration web portal without facing the problems :
- first, you will get a registration form on the Udyam registration portal
- no payment of the fee for filing the registration process
- only one document you are required to provide is the Aadhar card for the registration
- if the firm is of proprietor firm then the aadhar would of the proprietor, and if the firm is a partnership firm then the managing partner aadhar is required to complete the registration process
- The documents like Aadhar card, GSTIN, and PAN will be required for the “limited liability partnership, cooperative society, trust, and the authorized signatories”.
- more than one Udyam registration will not be entertained for any enterprises, all the activities which include manufacturing and services may be added bin one Udyam registration
- the enterprises that misrepresent deliberately the self declaration facts and figures in the Udyam registration will be liable for the penalty under sec 27 of the act
- all the previous enterprises registered under the UAM shall be registered again in the udyam web portal
- the registered enterprises which are registered before the 30 June 2020, their registration will be valid up to 31 march, 2021
- the enterprises or companies which are already registered with the institutions under the MSME, those enterprises shall have to get registered in the Udyam registration portal
- it is completely online, no documents are required and it is based on the self-declaration
- no need to upload the documents or the proofs for the udyam registration
- aadhar number is enough for the registration
- for the other details like PAN and GST linked information, it will be taken automatically from the government of India database
- now from 01-04-2021, it is mandatory to have the PAN and GST number
The bottom Line
so I mentioned the whole process for the Udyam registration in India, it will really help you to vanish the confusion.
It plays a vital role prominently for the small-scale enterprises in India. According to an economic survey, a large part of the Indian economy is dependent on micro, small, and medium enterprises.