The Indian government offers MSMEs Udyam registration, which is a type of e-certification. It is only based on an online system that was launched by the Union Ministry of MSMEs. It was eventually replaced by the old, time-consuming Udyog Aadhar process. MSMEs can register with the government and receive all necessary benefits through Udyam registration.
Under this registration, MSMEs receive a recognition certificate and a one-of-a-kind identity number. This declaration ensures these endeavours as “MSMEs” and offers a lot of advantages which fall under the MSMEs organizations class in India.
The Indian government launched the Udyam registration portal on July 1, 2020, to encourage emerging small and medium-sized enterprises (MSMEs). A dedicated online portal for MSME entrepreneurs, the Udyam registration allows them to register their businesses and take advantage of government benefits for their industry.
For Udyam registration in Chennai, the following are the eligibilities.
- The company must be a micro, small, or medium one.
- The advantages are contingent on MSMEs’ total revenue. For example, microbusinesses with a turnover of less than INR 5 crore are eligible for registration and its benefits.
- Benefits are also available to medium-sized businesses with annual revenues of up to INR 250 million and small businesses with annual revenues of between INR 5 million and INR 75 million, respectively.
- MSMEs’ investment is just as important as turnover. For instance, for micro businesses to be eligible for Udyam registration in Chennai and benefits, their investment cannot exceed INR 1 crore, while investments in small businesses and medium businesses cannot exceed INR 10 crore and INR 50 crore, respectively.
- Go to the official Udyam Registration website for Udyam registration in Chennai.
- Select “for new entrepreneurs that have not yet registered as MSME.”
- After entering your Aadhaar number, enter the one-time password that was sent to your registered mobile number.
- To successfully validate the Aadhaar number, select the “validate” tab.
- After that, verify the PAN card. To validate your PAN card, enter the company name and PAN number for Udyam registration in Chennai.
- Complete the MSME registration form by providing all necessary information, including the organization’s date of establishment, email address, contact information, bank information, and investment amount.
- Submit the form for Udyam registration in Chennai by filling it out and selecting “agree on terms and policies.” You will then receive the OTP, enter it, and then submit the form.
- On your mail ID, you will find the e-registration certificate.
- If you want to print a copy or confirm the legitimacy of Udyam registration in Chennai, you can also directly visit their website’s verification link.
Key features of Udyam registration
When you get Udyam registration in Chennai, the following features are obtained.
- You will receive a permanent registration number once registration is complete.
- The certificate of registration will be distributed online.
- The MSME that has Udyam registration in Chennai does not need to be renewed.
- The GST identification systems and income tax systems are integrated into the Udyam portal.
- The process of Udyam registration in Chennai is free and does not require any paperwork.
- A business cannot submit more than one application for Udyam registration in Chennai.
What are the documents needed for Udyam registration in Chennai?
For Udyam registration in Chennai, the following documents are needed.
- PAN card of the enterprise
- Aadhar card
- Registered mobile number
- GST and copy of passbook
- A list of male and female employees is necessary for Udyam registration in Chennai.
- Audit details of the business
- Financial details of the business
- Partnership deed
- Articles of Association
- A Memorandum of Association is necessary for Udyam registration in Chennai.
Importance of Udyam registration
There are a few significant advantages that the Certificate obtained through Udyam registration in Chennai offers to your company. These advantages are:
- You can get loans from banks without collateral under the credit guarantee fund system for small and medium-sized businesses (CGS). Some goods have been made only for small businesses to make.
- For your microenterprise, obtaining permits, registrations, and approvals becomes much simpler once you have the MSME certificate. When submitting these applications, the procedure will be sped up if you can demonstrate your MSME certificate.
- You will receive preferential treatment for taking part in international trade fairs, exhibits, and buyer-seller meetings. You could also host international conferences and seminars that benefit the MSME sector.
If you have Udyam registration in Chennai, you can save money on many things:
- barcode registration,
- ISO certification,
- power bill,
- patent registration,
- industrial promotion subsidy (IPS) subsidy, and
- NSIC performance and credit ratings.
- For MSME-registered businesses, banks charge a loan rate that is lower than the standard interest rate.
- The CLCSS program, which provides a 15% capital subsidy up to 15 lakhs for the acquisition of plant and machinery, was implemented to encourage technological advancement in micro businesses.
- When a microenterprise applies to a government tender, the Ministry of Micro, Small, and Medium Enterprises provides the following incentives:
- The distribution of tender sets is free.
- Earnest money is not required of them.
- To a certain amount, the security deposit is waived.
- The Act also provides numerous additional benefits that are established by annual budgets.
Difference between Udyog Aadhar and Udyam
Several factors can be used to classify a company. Micro enterprises, for instance, are businesses whose turnover does not exceed five crore rupees and whose investment in plant and machinery or equipment does not exceed one crore rupees.
Small businesses are businesses with a turnover of no more than fifty crore rupees and an investment in plant and machinery or equipment of no more than ten crore rupees.
On the other hand, a company is considered to be a medium enterprise if both its turnover and the amount invested in plant and machinery or equipment do not exceed 250 crore rupees.
- The primary objective of the introduction of the Udyam registration was to speed up and simplify the registration process. Micro Small Medium Enterprise, or MSME, registration is simple for companies and small businesses.
- Udyam (MSME) Registration does not include any online or offline agencies and is completely paperless. For Udyam registration in Chennai, there is only a single government portal.
- The Ministry of Micro, Small, and Medium Enterprises, Government of India, started providing Udyog Aadhaar to small and medium businesses a few years ago. It is a 12-digit, unique identification number.
- Aadhaar for Business is a variant of this system. More than 48 lakh MSMEs in India have registered with Udyog Aadhaar as of 2020.
- The MSME Department of India’s Udyog Aadhaar Memorandum (UAM) is a process by which you can only register an industry by filling out a one-page form. Registration for Udyog Aadhaar online is free.
- The Udyog Aadhar makes registration easier, reduces unemployment, and boosts business competition. Several applicants are unable to apply for the MSME, Udyog, or Udyam registration in Chennai because they are still unfamiliar with the process.
- Udyog Aadhar and Udyam registration differ in several ways. It also says that Udyam Registration and Udyog Aadhar Registration will be the same starting in July 2020 because Udyog Aadhar Registration will become Udyam Registration starting in July.
- In contrast to Udyam Registration, which only requires the applicant’s Aadhaar card and provides verified certification following the new MSME criteria, Udyog Aadhar only requires the applicant’s Aadhar card and pan for the registration process.
- While Udyam Registration is fully integrated and registered during Udyam Registration, Udyog Aadhar has no integration with other government portals like Gem.
- The Udyog Aadhar form is shorter than the form for Udyam registration in Chennai; however, the Udyam Portal form is longer and requires information about income tax and GST for the registration process.
- Udyog Aadhar can be applied for without the Aadhar Mobile Link Facility, whereas Udyam Registration only requires an Aadhar card linked to a mobile number.
- While Udyog Aadhar can be registered multiple times under various company names, Udyam Registration can only be registered with a single applicant for an Aadhar Card.
- The process of obtaining the Udyog Aadhaar registration certificate for business registration under the Ministry of MSME was previously complicated and time-consuming due to the numerous categories and pages that needed to be reviewed.
- Uploading documents to the portal and completing a lot of paperwork was necessary. In contrast, Udyam registration in Chennai is a one-stop, paperless process that does not require any additional documents or certificates to register under MSME.
- Candidates because of disarray wrecked the enlistment process, and eventually dismissed the endorsement or a few basic slip-ups.
- So that professionals can advise you on the best way to register your business with the Indian MSME government.
- Any individual wishing to register as a micro, small, or medium-sized business must file Udyam Registration online in the Udyam Registration portal based on self-declaration without uploading any documents, papers, certificates, or proof.
- The companies that have a number through Udyam registration in Chennai is a permanent identification number that has assignment to a company upon registration on the Udyam registration portal.
- The company will receive an electronic certificate known as the Udyam registration certificate after completing the registration process.
Companies that have Udyam registration in Chennai provide businesses with several benefits, including an easy bank loan without a collateral mortgage, a preference for government contracts, a discount on electricity bills, an exemption of one per cent from interest rates on bank overdrafts, tax rebates, quick dispute resolution, protection against buyer payment delays, and a special 50 per cent discount on trademark and patent fees.
The self-declaration, paperless, and free Udyam registration in Chennai platform is for MSME entrepreneurs to register their businesses. To take advantage of a variety of MSME benefits, each business must obtain this registration.
Additionally, this aids the government in gathering information regarding the number of MSMEs in India. The data can also also have retrieval by product categories, such as clothing, electronics, jewellery, or automobile, as well as by company size, investment, and turnover, by the authorities.