MSME Registration

Udyog Aadhaar or MSME registration is given to Micro, Small and Medium-sized Businesses under the MSME Development Act, 2006. Classification of an entity into Micro, Small, Medium Category is done as per the table below based on investment in plant and machinery.

• 1% exemption on the rate of interest on OD
• Collateral Free loans from banks with a rate of interest are 2% lesser
• Reimbursement of ISO certificate of Expense.
• Preference in Procuring the Government Tenders.
• Easy to get Licenses, approvals, and registrations in any business field.
• 15% CLCSS subsidy on full automated machinery that is bought under bank loan
• MSME registered businesses are eligible for IPS subsidies.
• They will get an exemption in stamp duty payment
• There is an exemption of 15 years on Electricity duty
• 50% subsidy is given to patent registration.
• Eligibility for capital subsidy.
• Consideration for international trade fairs or exhibitions

The eligibility criteria for MSME/SSI registration for each sector is as follows :

Micro Enterprises:

• The smallest entities, Micro manufacturing enterprises which have invested less than Rs. 25 lakhs in plant and machinery.
• The microservice enterprises that have less than Rs. 10 lakhs invested in equipment.

Small Enterprises:

• Small manufacturing enterprises which have invested between Rs. 25 lakhs and Rs. 5 crores in plant and machinery.
• Small service enterprises which have invested between Rs. 10 lakhs and Rs. 2 crores in equipment.

Medium Enterprises:

• Medium manufacturing enterprises with investment between Rs. 5 crores and Rs. 10 crores in plant and machinery.
• Small service enterprises with investment between Rs. 2 crores and Rs. 5 crores in equipment.

For manufacturing entities, the land and building cannot be counted toward the total investment.

The original cost of the equipment and plant and machinery is considered, whereas the depreciation cannot be factored in. Any business entity may apply, be it a partnership or a company. Sole proprietors can also apply for MSME registration.

• Proprietors obtaining Udyam Registration need to submit a copy of Aadhar Card and the PAN Card as they are the main requirements.
• In the case of the Partnership firm, the Aadhar and the PAN card of the applicant are used.
• In case of a Private limited company or a Limited Liability Partnership the Aadhar and the PAN card of the authorised signatory are used.
• A Private limited company and the Limited Liability Partnerships the Aadhar and the PAN card of the applicant are used.
• Suppose the applicant or the authorized signatory does not have a Valid Aadhar Card. The applicant has to first apply for the Aadhar card at the nearest Aadhaar enrolment center. Once the Aadhar is obtained, the Udyam registration process is initiated.

The process for MSME registration is quick and hassle-free. Get in touch for all your MSME registration queries.

Following are the steps to follow for the Registration Process for MSME:

• Fill the MSME registration form online with all required details by visiting the official site. https://www.msmeregistration.org/
• Once you submit the application form with all the required documents, you will receive a registration number
• Pay the registration fee online.
• Post the successful payment; the authority will register the applicant’s business as MSME within 1-2 working days.
• MSME registration certificate will be delivered by email to the applicant’s registered email address.

The process for MSME registration is quick and hassle-free. Get in touch for all your MSME registration queries.