In India, the small and medium enterprises (`SMEs`) sector has and continues to play a critical role in the economic development of the country. To aid these enterprises, the Government of India has introduced Udyam Registration which aims to simplify the recognition and facilitation processes regarding MSMEs. Udyog Aadhaar, has now been relocated to the Udyam Registration Portal which is fully automated. Every single entrepreneur that wants to enjoy the benefits of MSME schemes has to complete the Udyam Registration Online process and obtain the official Udyam Registration Certificate.
What is Udyam Registration?
India has launched the Udyam Registration system for Micro, Small, and Medium Enterprises for identification purposes. It gives a Udyam Registration Number to a business which is a form of government recognition. After registering on the Udyam portal, a business can easily receive financial assistance, subsidies, and government tenders.
Udyam is much simpler than the previous system of registering MSMEs as it is completely digital and only requires the user’s Aadhaar and PAN for validation. Once the registration is completed, the Udyam Registration Certificate is provided to the individual which can be used as proof of recognition.
Benefits of Udyam Registration Online
The Udyam Registration Online Process provides benefits to entrepreneurs and small businesses.
Access to govt. schemes
Subsidies, credit support, and welfare schemes which are limited to MSMEs are easily available for registered businesses.
Approvals of loans
Priority of approvals for loans is given to Udyam Registration Certificate holders and other financial institutions provide loans at cheaper rates as well.
Participation in Tenders
Many MSME Government Tenders can be easily accessed with a Udyam Registration Number.
Tax Benefits
MSMEs with valid Udhyam registrations are eligible for exemptions and concessions under taxation.
Subsidy for registration of Patents and Trademarks
Registered entrepreneurs in the Udyam registration portal may claim sponsorship for the registration of intellectual property.
The above stated factors are the main reasons for why completing registration for MSMEs on the Udyam portal is critical for advancing businesses.
Documents Required for Udyam Registration Online
Only a few documents are required, and the entire registration process is conducted online:
- Owner’s Aadhaar Number
- PAN Card of the business or individual
- Registered Email and Phone number
- Bank Account Details
- Investment and Turnover data
Why Every MSME Should Register
The Udyam registration process is an opportunity for Small and Medium Enterprises, which is beneficial for entrepreneurs; acquiring loans, interest rate reductions, and government procured projects become possible through msme certificate which simplifies the process.
The Udyam registration number is now allotted instantly and verified promptly, unlike the older MSME registration methods; this is particularly helpful for businesses.
Final Thoughts
Every MSME in India is recognized in some form, and now the process for obtaining registration is easier than ever. Advanced technology removes the need for cumbersome paperwork, and offers great benefits, which is why the Udyam registration portal is worth it. Once you go through the portal.
If you are an accredited member, do not waste time; gain the official MSME registration certificate which is necessary for obtaining the Udyam registration from the Udyam portal. The move takes hardly any time, but enables you to avail great services.
