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If you desire collateral-free loans to take your small business to the next level, consider registering for a Udyam Registration Number. Without a doubt, starting a business as a legal entity in India requires a handful of registrations - and yes, it may seem daunting at first - but, thanks to reforms, some of these registrations are easy, as they are online-based.

They come with a plethora of benefits. One of these is the Udyam Registration. In this article, we break down Udyan Registration Number, what it is, its benefits, and its step-by-step process to get one.

Also Government does not charges anything to obtain Udyan Registration Number , the charges mentioned here are only for our services to assist you.

What is the Udyam Registration?

Udyam Registration is the process by which eligible businesses {legally registered as a Sole-propietorship, LLC, Partnership, etc}, that are micro, small, and medium enterprises register as legal entities. Your business is not legally categorized or seen as an MSME until you register it at Udyam.

Until you do, you cannot benefit from the several schemes the Indian government offers to MSMEs, among others. Upon registration, you will be given a Udyam Certificate {also known as the MSME registration certificate}, which carries a 16-digit alphanumeric Udyam Registration Number.

Issuer: The Ministry of Micro, Small and Medium Enterprises (MSME)

Type: Free Registration

Medium; On-line via https://udyamregistration.gov.in/

Frequency: Once

Allotted: Udyam Registration Number and e-Certificate

This is how Udyam Registration Number is reported in your email box when it is finally registered. Have a look below.

Who should have the Udyam Registration Number?

Should your aunt, who owns a sweet shop and whose only customers are excited students who buy from her after school hours, register for a Udyam number? Well, not quite. Specific requirements must be met before a business should register for a Udyan Registration number. These include;

1. The business must be a Micro, Small, or Medium Enterprise. (MSME)
2. The business must be a registered legal entity, such as a sole proprietorship, partnership firm, or limited liability partnership, Pvt ltd. etc.
3. Depending on its category, the business must meet a threshold of investment and turnover.

Micro enterprises must have an investment limit of up to ₹1 crore and an annual turnover limit of up to ₹5 crores. Small enterprises must have an investment limit of up to ₹10 crores and a yearly turnover limit of up to ₹50 crores. Medium enterprises must have an investment limit of up to ₹50 crores and an annual turnover limit of up to ₹250 crores.

What are the benefits of Udyam Registration Number?

With so many registrations required of businesses in India, what are the benefits of a Udyam registration number? There are quite a few, and they include:

1. Ease of Registration

The portals of most government regulatory bodies have been optimized for easy registration, and Udyam is not left behind. Registration is done online, easy, and fast, as long as you submit the required documents and provide the correct information.

2. Integrated Tax System

The Udyam portal seamlessly integrates the GST and Income Tax systems, making it easier to file reports and update information as needed.

3. Access to Government Schemes

Several Government schemes are targeted at MSMEs to help them develop and grow. A major requirement for businesses to access these schemes is a Udyam registration number.

4. Access to Collateral Free Loan

One of the most significant issues for small businesses is raising capital, and this is due to stringent requirements like collateral often demanded of MSMEs by lending institutions. However, registered companies with a Udyam Registration number are usually offered collateral-free loans, low-interest loans, and other financial assistance.

5. Government Contracts

A primary requirement for being awarded a Government contract is the Udyam Registration Number. If your business has one, you can bid successfully for government contracts, which is the first step in procuring one.

So there are quite a many benefits of owning a Udyam Registration Number.

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What is the step-by-step process for getting Udyam Registration Number?

Step 1: Visit the Udyam registration portal.

Step 2: Choose your Status

and click on the 'For new entrepreneurs who are not registered yet as MSME or those with EM-II' option.

STEP 3: Enter your details

1. Enter your 'Aadhaar Number' and 'Name of Entrepreneur'. Next, click on 'Validate & Generate OTP.' The OTP will be sent to the mobile number linked to your Aadhaar.
2. Verify your PAN number by entering it and clicking the "Validate" button.
3. Please provide additional information as required, including your organization type, specific business activities, address and bank details, etc.

STEP 4: Review and Submit

Please review all your submitted information and ensure it is up-to-date and correct. Then click 'Submit and Get Final OTP.'

After submitting, you will receive your Udyam registration number and a certificate. The certificate includes a QR code that allows you to access your enterprise's details.

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What documents are required to applyy for Udyam Registration Number?

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You are required to have specific documents to get a Udyam Registration Number while registering. Note that without these documents, or by inputting the wrong ones, the entire process cannot be completed, and it would take much longer. Some of these documents include;

1. Aadhaar number: The identity card is required to get a Udyam Registration Number.

The Aadhaar number of the principal owner is required for a sole proprietorship.

For Partnership, the Aadhaar number of both partners is required.

For Hindu Undivided Families (HUF), the Aadhaar number of the Karta is required.

The Aadhaar number of all representatives is necessary for companies, LLPs, Cooperative Societies, Societies, or Trusts.

2. PAN: The company's permanent account number.

3. Proof of business registration: Only legal business identities are qualified to register for a Udyam number, so proof of registration is required.

Also Learn: A Quick Guide to Pvt Limited Company

4. Proof of Business Address: This can be an electricity bill, telephone bill, or a property tax receipt.

5. Turnover details—As mentioned earlier, a business must meet a turnover threshold before registering for Udyam. Hence, a financial statement is required to validate the turnover of your investment.

6. Investment Details: Proof of investment is required to validate that the threshold stipulated is reached.

7. GSTIN: The Goods and Services Tax Identity Number(GSTIN) is unnecessary for every business registering for Udyam. Only companies that have registered under the GSTIN regime are required to provide their GSTIN.

Note: The Udyam Registration Certificate will be issued to the applicant's registered email ID within two to four business days. 

FAQ: Udyam Registration Number

1. What is the link to the Udyam Registration Portal?

Register for your Udyam Registration number at https://udyamregistration.gov.in/

2. Can we do Udyam Registration verification online?

Yes, you can verify Udyam Registration Number through the portal online. The link is https://udyamregistration.gov.in/Udyam_Verify.aspx

3. Can we do a Udyam registration search using PAN?

Yes, you can search for Udyam Registration using your PAN. To do this, visit https://udyamregistration.gov.in/ and select the option labeled "Know your Udyam using PAN". However, this facility may be subject to change.

4. Is there any Udyam Registration fee for the registration number to be paid to the government?

The Udyam Registration process is entirely free from beginning to end by Government. However, FileAbhi.com charges for providing assistance and guidance.

5. Is there any Udyam Registration helpline number to contact for our queries?

Yes, you can contact on 011-23063800 or 011-23062354 for administrative and technical supports.

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6. Is there any Udyam Registration Number sample to verify that I have the correct number?

You can verify your Udyam Registration Number (URN) on the Udyam Assist Platform.

7. Is Udyam Registration and Udyog Aadhaar same?

The government replaced Udyog Aadhaar with Udyam registration in July 2020. 

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