Will The UDYAM Registration Boost The MSMEs?

As part of facilitating the ease of doing business initiative and reduce the transaction cost and time the government has come up with “Udyam registration” for the micro, small and medium enterprises along with single window system at champions control rooms and DIC’s for facilitation. The Ministry of MSME has also clarified that there is no such other authorized online or offline portal for MSME’s registration.                                                

As per the new definitions the micro industries in which the investment in plant, machinery and equipment should not exceed Rs 1 Cr and the annual turnover is not than more than 5 Cr. On the other hand the small enterprises are those in which the investment in plant, machinery and equipment should not exceed 10 Cr and the annual turnover is not more than 50 Cr, whereas in case of the medium enterprises the amount should not exceed 50 Cr and the turnover should not be more than 250Cr.


  1. The process is fully online and is based on self declaration. No documents or proof will be required only Aadhaar No will be required for registration.
  2. A registration number will be given after the completion of the registration.
  3. The Udyam Registration Certificate will be issued after the completion of the registration Process.
  4. Each certificate will have a dynamic QR code  
  5. There will be no need for renewal of Registration.
  6. MSME Ministry’s online system will be fully integrated with Income Tax and GSTIN systems.
  7. No enterprise will be allowed to re-register with the Udyam registration. However, any number of activities including manufacturing or service or both may be specified or added in one Registration.
  8. Registrations fees are fully free no process or cost fees are to be paid.
  9. Having PAN & GST No will be mandatory from 01:04:2021.
  10. The Aadhaar number shall be of the proprietor in the case of a proprietorship firm, of the managing partner in the case of a partnership firm and of a Karta in the case of a Hindu Undivided Family (HUF).
  11. In case of a Company or a Limited Liability Partnership or a Cooperative Society or a Society or a Trust, the organization or its authorized signatory shall provide its GSTIN and PAN along with its Aadhaar number. To know more visit the link: (https://udyogaadhaar.gov.in/)

The upcoming interested entrepreneurs whose business will fall under this category can enrol themselves with the absolutely FREE Udyam registrations. The major industries coming under the MSME sector includes the handicrafts, Khadi, textile, food processing industry, leather, clay, electronic components, wood, bamboo, plastic, rubber etc.


With a view to facilitate the ease of doing business and reduce the cost and transaction cost the Union Ministry of MSME had announced regarding the new process of classification and registration of MSME Enterprises which was launched on July 1, 2020 under the name of “Udyam registration” through a notification on June 26. The MSME Ministry launched a new portal for Udyam Registration-(www.udyamregistration.gov.in.) some of the key highlights of the move has been mentioned above.

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