MSME Registration Certificate

The Ministry of MSME issues an e-certificate known as the Udyam Registration Certificate to MSMEs in India. The Udyam registration certificate is known as the MSME registration certificate. The entrepreneurs receive the MSME registration certificate upon completion of the MSME registration process. The certificate will contain a QR Code, from which the enterprise details can be accessed.

MSME Registration Number

An enterprise having an MSME registration is known as Udyam, and the permanent identity number assigned to by the Ministry of MSME is known as the ‘Udyam/MSME Registration number’. The MSME Registration Certificate will contain the 19-digit MSME/Udyam Registration Number.

Who is eligible for MSME 2023?

All entities classified as Micro, Small and Medium enterprises as per the MSME classification are eligible to apply for MSME registration. An individual cannot apply for MSME registration. A proprietorship, partnership firm, company, trust or society with an investment below Rs.50 crore and annual turnover below Rs.250 crore are eligible for MSME registration.

How much time it takes for MSME registration completion?

The MSME registration is completed as soon as the Udyam/MSME registration form is filled and submitted on the Udyam Registration Portal. After submission of the form, a message will be displayed on the screen about the completion of the MSME registration. MSME registration check can be done on the Udyam Registration Portal.

How to Download MSME Registration Certificate?

MSME Registration Benefits

Below listed are the MSME registration benefits:
Due to MSME Registration India, bank loans become cheaper as the interest rate is very low, around 1-1.5%, much lower than interest on regular loans
It also allowed credit for minimum alternate tax (MAT) to be carried forward for up to 15 years instead of 10 years
Once registered the cost of getting a patent done, or the cost of setting up the industry reduces as many rebates and concessions are available
MSME registration helps to acquire government tenders easily as Udyam Registration Portal is integrated with Government e-Marketplace and various other State Government portals which give easy access to their marketplace and e-tenders
There is a One Time Settlement Fee for non-paid amounts of MSME
The MSME registration will help the MSMEs in availing the benefits of government schemes such as the Credit Guarantee Scheme, Credit Linked Capital Subsidy Scheme, Public Procurement Policy, Protection against delayed payments, etc.
MSMEs are eligible for priority sector lending from banks
MSMEs get the benefit of a government security deposit waiver that is helpful while participating in e-tenders
Any number of activities, including service or manufacturing or both, may be added or specified in one MSME registration
Barcode registration subsidy
Exemption scheme from direct taxes
ISO certification fees reimbursement
Electricity bills concession
Special consideration in International trade fairs

FAQ

How to cancel MSME registration?

Once, the MSME application is submitted, it cannot be cancelled. MSME Registration Certificate will be issued within 2-4 days of submission of MSME online application form.

Is MSME registration mandatory?

No. It is not mandatory for small, medium and micro enterprises to apply for MSME registration.

Can I get MSME registration for a partnership firm?

Yes. A partnership firm that fulfils the MSME classification’s investment and turnover criteria can apply for MSME registration.

Is it mandatory to have an Aadhar card for obtaining Udyam registration?

Yes. For obtaining Udyam registration, an Aadhaar card is compulsory. In case an applicant is other than the proprietor, the Aadhaar card of the partner and the director will be required.

What is the validity of the MSME Registration Certificate/Udyam Registration certificate?

There is no expiry of the Udyam/MSME Registration Certificate. As long as the entity is ethical and financially healthy, there will be no expiry of the certificate.

Who is eligible for MSME registration?

All entities classified as Micro, Small and Medium enterprises as per the MSME classification are eligible to apply for MSME registration. An individual cannot apply for MSME registration. A proprietorship, partnership firm, company, trust or society with an investment below Rs.50 crore and annual turnover below Rs.250 crore are eligible for MSME registration.

Is MSME registration for traders valid?

Yes. Earlier, the MSME registration covered only manufacturing and service industries. However, in July 2021, the government announced that the wholesale and retail trade would come under the MSME classification. Thus, traders can apply for MSME registration for their wholesale/retail trade business except for motor vehicles and motorcycles.

Is MSME registration and Udyog Aadhaar same?

No. Udyog Aadhaar registration is an initiative of the government to provide a 12-digit registration number for SMEs. The MSME registration replaced the Udyog Aadhaar registration; thus, all MSMEs need to obtain the 19-digit MSME registration to obtain government benefits for MSMEs.

How many days it takes for MSME Registration Certificate?

After completing the MSME registration, it usually takes 3-5 days to get the MSME Registration Certificate. The MSME Registration Certificate is sent to the mail of the entrepreneur.

What Is an MSME Certificate?

Micro, small, and medium enterprises in India can register with the government to avail of multiple benefits and government schemes. When the registration is complete, you get a certificate known as the MSME Certificate or Udyam Certificate. The MSME Certificate proves that you are a registered small-scale business in India and thus eligible for all associated government benefits. Registering in MSME in India is not mandatory, but you should do it for multiple reasons. MSME registration comes with benefits in business finance, loans, credit eligibilities, and taxation. In FY21, the government disbursed ₹9.5 trillion as loans to MSMEs, a 40% increase compared to FY20. There are also several government schemes and policies in place to aid MSMEs. You can get these benefits with an MSME registration certificate. Avail low-interest business loans. Get beneficial government tenders. Get approvals, registrations, and licenses easily. Get compensated for the expenditure of the ISO certificate. Avail tariff, tax, and capital subsidies. Be exempted under Direct Tax Laws. Get a 15% subsidy on automatic machines with bank loans. Overall, every small and medium business should complete its MSME registration after checking the eligibility criteria.

How to Get Udyam Registration Online?

Step 1: Visit the Udyam registration portal. Step 2: On the homepage, click the option ‘For new entrepreneurs who are not registered yet as MSME or those with EM-II.’ Step 3: Enter the ‘Aadhaar Number’ and the ‘Name of Entrepreneur,’ then click the ‘Validate & Generate OTP’ button. Step 4: An OTP will be sent to the mobile number linked with the Aadhaar card. Enter the OTP and click on the ‘Validate’ button. Step 5: Once the Aadhaar is validated, proceed to the PAN verification page. Enter the ‘Type of Organisation’ ‘PAN’ number, and click the ‘Validate’ button. Also, indicate whether you have filed the previous year’s ITR and if you have a GSTIN. Step 6: The Udyam registration application form will appear. Fill in all required details, including the name of the entrepreneur, mobile number, name of the enterprise, location of the plant/unit, address of the enterprise, status of enterprise, bank details, activity of the unit, NIC code, and number of persons employed. Step 7: Provide the following Details. Click the Submit button and Get the Final OTP. Investment in plant and machinery details and turnover details. Select the declaration. Step 8: Enter the final OTP received and submit the form. You will receive the Udyam e-registration certificate in your email.

What Is MSME Form 1?

The MSME Form 1 is used to furnish a return to the Registrar of Companies regarding the outstanding payments to the micro or medium enterprises. In other words, companies who take any service or goods from the micro or medium enterprises have to file half yearly return in MSME Form I regarding the payments not paid to such industries.

Purpose Of MSME Form 1

The purpose of MSME Form 1 is to help the Micro and Small Medium Enterprises and Small Scale Industries. The form was introduced because many companies used to take goods and services but did not pay for or paid the amount after much delay because of which these industries had to suffer losses. On the other hand, the introduction of the MSME Form 1 compelled such companies to report the amount due for payment and the reason for the delay of the payment after 40 days of the receipt of any goods or services.

Who Are Eligible To File The MSME Form 1?

All the companies receiving goods or services from the MSMEs (Micro Small and Medium Enterprises) All the MSMEs (Micro Small and Medium Enterprises), supplying goods and services to companies should file the return with the ROC (Registrar of Companies) Companies that take any supplies from Micro and Small Industries and those payment is pending after 40 days from the date of the receipt of acceptance of such goods or services have to file a half-yearly return along with the details as prescribed. Such companies taking supplies in the form of goods or services is termed as Specified Companies. Additionally, the detail that needs to be furnished in the MSME Form 1 are as follows; The amount of payment which is due The reasons for the delay in payment