How to register an MSME company in India | Process of Registering an MSME

Process of Registration of an MSME – Registering a Micro, Small, or Medium Enterprise (MSME) in India is a straightforward online process facilitated through the Udyam Registration portal. MSMEs benefit from several government schemes, including subsidies, credit facilities, tax exemptions, and more. Here’s a step-by-step guide on how to register an MSME in India:

Process of Registration / Registering an MSME in India | How to Register an MSME

1. Eligibility Check

• Micro Enterprise: Investment in plant and machinery or equipment does not exceed ₹1 crore, and turnover does not exceed ₹5 crore.
• Small Enterprise: Investment in plant and machinery or equipment does not exceed ₹10 crore, and turnover does not exceed ₹50 crore.
• Medium Enterprise: Investment in plant and machinery or equipment does not exceed ₹50 crore, and turnover does not exceed ₹250 crore.

2. Gather Required Documents and Information

• Aadhaar Number: The applicant’s Aadhaar card is mandatory.
  • Proprietorship: Owner’s Aadhaar
  • Partnership Firm: Managing Partner’s Aadhaar
  • Company: Director’s Aadhaar
• PAN Number of the business
• Business Name and Type
• Bank Account Details: Account number and IFSC code
• Business Address
• Number of Employees
• Investment in Plant & Machinery/Equipment details

3. Visit the Udyam Registration Portal

• Go to the official Udyam Registration portal: https://udyamregistration.gov.in

4. Complete the Registration Form

• For New Entrepreneurs without Udyam Registration:
  • Click on “For New Entrepreneurs who are not Registered yet as MSME.”
  • Enter the Aadhaar number and the OTP sent to the registered mobile number.
  • Enter personal and business details as prompted.
• For Existing Udyog Aadhaar Holders:
  • Choose the option “For those having registration as UAM” to upgrade to the Udyam Registration.

5. Verification and Submission

• Verify your information carefully, as errors could lead to delays or rejection.
• After verification, submit the application.
• A registration number is generated upon successful submission.

6. Obtain Udyam Registration Certificate

• After submitting the application, you’ll receive the Udyam Registration Certificate online, which you can download.
• The certificate contains a unique Udyam Registration Number (URN), which serves as the MSME’s official registration ID.

Key Points

• No Fees: Registration is free.
• Validity: The registration does not expire and remains valid as long as the business meets MSME criteria.
• Amendments: You can make updates to the registration online if any business details change.

Benefits of MSME Registration

• Access to government schemes for credit, loans, and subsidies
• Preference in procurement and tenders
• Tax benefits, lower interest rates, and easier access to bank loans

Important Notes

• PAN and GST-linked investment and turnover data will be automatically retrieved from government databases.
• Make sure all details are accurate, as changes after registration can be complex.

This process simplifies the journey for MSMEs to access support and build a more competitive foundation in the Indian market.