MSME/UDYAM
REGISTRATION
Applicable only for manufacturing or service industry
Applicable only for manufacturing or service industry
UDYAM AADHAR REGISTRAION
LIST OF DOCUMENTS REQUIRED FOR REGISTRATION
Proprietorship
PAN
Aadhar (should be linked with mobile no)
Bank Details ( Account No and IFSC Code)
Partnership firm
PAN
PAN and Aadhar of authorised partner
Bank Details
Corporate Entities
PAN
Certification of Incorporation
Director PAN and Aadhar details
Bank Details
Advantages of getting a MSME Registration
Financial Advantages
Registering as a MSME gives you a major advantage in terms of priority lending by banks. By virtue of the directions by the RBI, banks have funds that are particularly earmarked for MSMEs. You will also be able to avail loans at much lower interest rates which is a great benefit given the challenges a small business faces in the absence of a collateral security.
Protection against Payments
In case, if any MSME registered enterprise supplies any goods or services to a buyer then the buyer is required to make the payment on or before the agreed date of payment or within 15 days from the day they had accepted the goods and services from MSME. Delay in payment will attract interest penalty which is three times the rate notified by RBI
Government Backing and Assistance
MSMEs enjoy various advantages when it comes to backing and support from the Government itself. Various trade events organized by the Government are open for registered MSMEs that gives them a lot of export opportunities. Also, export of goods and services by MSMEs is given subsidy, exemption from tax and other benefits.
FREQUENTLY ASKED QUESTIONS
What are some of the important provisions of the "Aatm Nirbhar Bharat Abhiyan" or Self-reliant India Scheme 2020 for MSMEs?
- MSME loans (worth 3 lakh crore)
- Collateral free loans to these enterprises
- Moratorium period is 12 months
- Manufacturing and services enterprises, both are considered to be the same entities.
- Repayment tenure shall be 48 months
- Credit guarantee is 100%
- This scheme will benefit more than 40 lakh units
Can i change business address or tradename later?
Yes. You can update the demographics details later in future.
Do I have to file any returns if I take the registration?
No. MSME Certification is a centrally certified license. It's a one time license with no compliance to be done.
Is Aadhar mandatory for registration?
Yes. Aadhar is mandatory for getting MSME registration. Moreover, Aadhar has to be linked with mobile number to complete the verification process.
Can a person involved in trading business get the certificate?
No. The registration is only applicable to business engaged in manufacturing and service industrhy.