The MSME/Udyam registration online is a simple and quick process that allows you to register your business as an MSME. This registration provides you with a unique identification number that can be used for various purposes, including availing of government benefits and subsidies. The process is completely online and can be completed in a few minutes.
This blog post will discuss everything you need to know about online MSME registration. We will also include the benefits and schemes rendered by the government under Udyam registration online.
What is MSME?
The MSME sector is a critical part of the Indian economy, and the government is committed to supporting its growth. The wide range of schemes and benefits available to MSMEs boosts the sector and helps it create more jobs and contribute to the country's economic development.
The Government of India provides several schemes and benefits to encourage the development of MSMEs. These include the Pradhan Mantri Mudra Yojana (PMMY), the Atal Employment Generation Programme (AEGP), the Startup India initiative, and the Make in India program amongst various others.
The PMMY scheme provides financial assistance for setting up or expanding a small business. The AEGP scheme provides financial and technical assistance for setting up new businesses in backward districts of the country. The Startup India initiative provides various benefits and support for startups, including tax exemptions, incubation support, and access to funding. The Make in India program aims to promote the manufacturing sector in India and make the country a global manufacturing hub.
What is Udyam?
Udyam is a Sanskrit word that means "effort," "endeavor," or "undertaking." It's also the name of a new initiative launched by the Government of India to promote entrepreneurship and boost economic growth.
Under the Udyam program, Indian citizens can register their businesses online and access various government benefits and support services. The program is open to all but it is designed to encourage women, youth, and first-time entrepreneurs to start and grow their businesses.
The Udyam initiative is part of the government's larger goal to make India a global hub for innovation and entrepreneurship. Promoting entrepreneurship, the government hopes to create more jobs, spur economic growth, and build a prosperous future for all Indians.
What Are Its Benefits?
The Micro, Small, and Medium Enterprises (MSME) sector is a key driver of economic growth in India. The MSME sector contributes significantly to the country's GDP, exports, and employment. The government of India has been supportive of the MSME sector and has implemented several schemes and initiatives to promote the growth of MSMEs.
The MSME/Udyam Registration is a self-declaration scheme that provides recognition to micro, small, and medium enterprises. The scheme was launched in September 2015 and is open to all enterprises that meet the eligibility criteria.
The MSME and Udyam Registration provide several benefits to enterprises. These include:
1. Recognition as an MSME: The registration officially recognizes enterprises as micro, small, or medium enterprises. This recognition is important for availing benefits and subsidies from the government.
2. Access to government schemes: The registration gives enterprises access to several government schemes and initiatives to promote the growth of MSMEs.
3. Easier access to credit: The registration makes it easier for enterprises to access credit from banks and financial institutions.
4. Enhanced credibility: The registration enhances the credibility of enterprises in the eyes of suppliers, customers, and business partners.
● Banks give the collateral-free loans
● International trade receives special consideration
● Concession on various bills, such as electricity bills
● Credit Linked Capital Subsidy Scheme is validated by the Udyam registered organizations
● Reimbursement of ISO certification fees
● Protection against delayed payments or supplied services
● Subsidy and fewer interest rates offered on bank loans
● Different reservation policies for production or manufacturing units
● Exemption of direct tax
● Subsidy on credit rating and NSIC performances fees
● Patent and barcode subsidies
The MSME/Udyam Registration is a voluntary scheme with no registration fee. Enterprises can register online through the Udyam Registration Portal.
The sector employs over 120 million people and contributes to over 45% of the country's industrial output.
Government Schemes Under MSME and Udyam
Several government schemes are available for MSMEs and Udyams, providing financial and other support to these businesses. Some popular schemes include the Prime Minister's Employment Generation Programme (PMEGP), the Micro, Small, and Medium Enterprises Development (MSMED), and the Udyamimitra.
The PMEGP is a central government scheme that provides financial assistance to small businesses to set up new units or expand existing ones. The MSMED Scheme is another central government scheme that offers a range of benefits to small businesses, including financial assistance, technical support, and marketing assistance. The Udyamimitra Scheme is a state government scheme that helps small businesses with training, mentoring, and financial support.
These are just some government schemes available for MSMEs and Udyams. These schemes provide much-needed support to small businesses, helping them to grow and create new jobs.
How can uComply help?
uComply, a consultancy firm offers various services to MSMEs (Micro, Small, and Medium Enterprises) and helps them with online Udyam registration, which is the process of registering a business as an MSME. Here's how uComply helps in the process:
Understanding the requirements: uComply helps businesses understand the requirements for Udyam registration, including the eligibility criteria, the documents required, and the registration process.
Document preparation: uComply assists businesses in preparing the necessary documents for Udyam registration, such as PAN card, Aadhaar card, GSTIN, and bank account details.
Online registration: uComply helps businesses with the online Udyam registration process, which involves registering on the Udyam Registration Portal and filling in the necessary details.
Verification: uComply assists businesses in verifying the information submitted during the registration process and ensuring that all the necessary documents are in order.
Certificate issuance: Once the registration process is complete, uComply helps businesses obtain the Udyam registration certificate, proof of registration as an MSME.
How do We do?
In India, the Ministry of Micro, Small, and Medium Enterprises (MSME) launched the Udyam Registration process in July 2020 to provide a single-window registration system for all MSMEs. The registration process is mandatory and replaced the previous Udyog Aadhaar Memorandum (UAM) system.
UComply is one of the financial services providers that offer Udyam Registration services online. Here is a detailed overview of the uComply for Udyam Registration procedure online.
Understanding the eligibility criteria: The first step in the Udyam Registration process is understanding the eligibility criteria for MSMEs. UComply helps businesses understand the criteria, which are based on the investment in plant and machinery or equipment and the business's annual turnover.
Document verification: After understanding the eligibility criteria, UComply helps businesses with document verification.
Registration process: Once the documents are verified, UComply completes the Udyam Registration process for the businesses. The registration process is entirely online and requires the business owner to fill in details such as the name of the business, address, PAN number, and investment in plant and machinery and enter OTP sent on the linked mobile number twice.
Payment: After filling in the details, businesses need to make the payment for the registration process. UComply helps businesses make payments online, which is convenient and hassle-free.
Acknowledgment: After the payment, the business owner receives an acknowledgment of the registration process. The acknowledgment contains a unique Udyam Registration number that can be used for various purposes, such as availing of benefits offered to MSMEs.
UComply offers a streamlined Udyam Registration process online, an essential step for all MSMEs in India. The process is entirely online, and uComply provides end-to-end assistance, from understanding the eligibility criteria to document verification, registration, payment, and acknowledgment.
By choosing uComply for Udyam Registration, businesses can save time, effort, and money and focus on their core business activities.