What is Udyam Registration in India?

[e-startup]

Small business plays an important role in the development of any country's economy. To encourage new and existing businesses, the Government of India has launched a number of projects to help small and medium-sized businesses survive and grow. To get all these beneficial schemes, you need to Udyam Registration. Udyam Registration is also known as MSME Registration or SSI registration.

Udyam or MSME classification
Companies under the following three categories may apply for MSME registration

Micro Enterprises : It is an enterprise whose investment is < INR 1 crore and yearly turnover are < INR 5 crores.

Small Enterprises : It is an enterprise whose investment is < INR 10 crore and yearly turnover are < INR 50 crores.

Medium Enterprises : It is an enterprise whose investment < INR 20 crore and yearly turnover is < INR 200 crores.

Benefits of Udyam or MSME Registration

1) Concession in Electricity bills

2) A subsidy for Bar Code registration

3) Waivers in Security Deposit and EMD in Government Tenders

4) Reimbursement of ISO Certification charges

5) Income Tax Exemption

6) 50 % Subsidy on Patent Registration

7) 1 % Exemption of Interest on Overdraft

Collateral Free Loans

9) Protection against Delayed Payments

10) Only MSME Units are registered on TReDS Platform

MSME Registration Fees

There are no fees charged for filling and submitting the MSME registration form by Government, there are lot of services where Govt. has Nil Fees. for example - GST Registration, PF Registration, ESIC Registration etc.

So now there are doubts as to why some portals charge fees for MSME or Udyam registration. Basically they charge professional fees to complete your application by legal expertise.

So if you do not know about NIC Code to get the necessary information about msme registration process, then you are advised to take the help of consultants who can guide you through the process successfully and provides Udyam Registration Certificate at the cheapest cost.

[Rohan Kotkar]

Shopact registration is mandatory for Udyam registration to identify the business. Also, it is limited to Indian users only as per the KYC docs required so I assume this topic should be moved to Indian board.

Udyam registration is really useful for startups as Indian government also has some perks for startup recognition where we can also avail some tax benefits.

Overall, I find this information quite useful and those who are not aware can gain immense knowledge about starting up a business in India. But again, it is limited to Indian users only.