MSME Udyam Registration Process: Step-by-Step Guide

If you’re running a small or medium-sized business in India, you must’ve heard of Udyam Registration. 

Maybe your banker asked for it when you applied for a loan, or you saw it as a requirement for a government tender. Whatever the case, if you don’t already have it, now is the time to get your registration done.

If you’re worrying about the long and tedious process, relax. It’s 100% online, free of cost, and much simpler than it sounds. 

In this guide, we’ll walk you through the complete Udyam registration process, who needs it, the documents required, and the exact steps to complete your registration without confusion.

• Who Needs to Register for Udyam?
• Why is Udyam Registration important for MSMEs?
• Key Documents You Need Before You Start
• Step-by-Step Udyam Registration Process [2025 Updated]
• Tips to Avoid Common Mistakes During the Udyam Registration Process
• What to Do After Getting the Udyam Certificate
• Conclusion

Who Needs to Register for Udyam?

Every MSME operating its business in India can register. This includes: 

• Manufacturing businesses
• Service providers
• Traders (now fully eligible if they meet turnover and investment limits)
• All enterprise types: proprietorships, partnerships, companies, LLPs, and others.

Revised MSME Classification (2025)

• Micro – Investment ≤ ₹2.5 crore OR Turnover ≤ ₹10 crore
• Small – Investment ≤ ₹25 crore OR Turnover ≤ ₹100 crore
• Medium – Investment ≤ ₹125 crore OR Turnover ≤ ₹500 crore

Businesses registered earlier under EM-II or UAM must re-register on the Udyam portal. The eligibility check is automatic as the portal verifies your investment and turnover directly with PAN and GST data.

Why is Udyam Registration important for MSMEs?

Having a Udyam certificate is the gateway to recognition and growth. Once registered, your business gets access to:

• Integrated systems – Linkage with Income Tax and GSTIN databases.
• Priority sector lending – Banks offer loans under the RBI’s PSL guidelines.
• Government tenders – Mandatory for bidding under the MSME Procurement Policy.
• Payment protection – Legal safeguard under the MSME Act for delayed payments.
• Subsidies and benefits – Access to tax rebates, reimbursements, and financial support.

Put simply, not registering for Udyam is like leaving money on the table.

Key Documents You Need Before You Start

Before you sit down to register your Udyam certificate, keep these details handy to avoid delays:

• Aadhaar number of the proprietor/partner/director.
• PAN card (business PAN for companies, individual PAN for proprietors).
• GSTIN (if applicable).
• Bank account details.
• Business information (type, NIC code, turnover, investment, employee count, address).
• An active mobile number/email linked with Aadhaar.

Now that you know the basic details, check out the detailed process below:

Step-by-Step Udyam Registration Process [2025 Updated]

Step 1: Visit the Official Portal

Visit udyamregistration.gov.in. This is the only authentic site. Avoid agents charging fees.

Step 2: Choose Your Category

• New entrepreneurs: Select “For New Entrepreneurs who are not Registered as MSME.”
• Existing EM-II/UAM holders: Select “For those having registration as EM-II or UAM.”

Step 3: Enter Aadhaar Details
Provide the Aadhaar number of the proprietor/partner/director. Verify with the OTP sent to the linked mobile number.

Step 4: Enter PAN & GST Details
The portal fetches details directly from government databases. Uploads are needed only if mismatches occur.

Step 5: Fill in Business Information

• Name and type of enterprise
• NIC code (nature of activity)
• Number of employees
• Investment in plant/machinery or equipment
• Annual turnover

Step 6: Add Address & Bank Information

Provide your business address with PIN code and bank details (account number and IFSC).

Step 7: Submit & Validate
Double-check everything, then submit. Verify again via OTP.

Step 8: Download Your Udyam Certificate
Your Udyam Registration Certificate is generated instantly. Download, print, and store it safely.
 

Tips to Avoid Common Mistakes During the Udyam Registration Process

Many MSMEs face delays due to small errors. Avoid them by:

• Linking Aadhaar with PAN before starting.
• Selecting the correct NIC code determines scheme eligibility.
• Using accurate turnover and investment data (auto-verified with IT/GST).
• Using the mobile number linked with Aadhaar for OTPs.
• Downloading the certificate immediately (it won’t be emailed).

What to Do After Getting the Udyam Certificate

With your certificate in hand, you can start unlocking benefits:

• Use it when applying for bank loans under PSL.
• Submit it for government tenders under the procurement policy.
• Link it to the GeM portal to participate in e-procurement and reverse auctions.
• Upload invoices on TReDS platforms to access invoice discounting from banks and NBFCs.
• Relax. Your data automatically updates via PAN and GST, so no manual renewals.

Conclusion

For MSMEs, your Udyam Registration is your business identity that is valid for life, and the foundation for accessing credit, tenders, and subsidies.

The best part? The process is online, free, and takes less than 15 minutes. If you’re serious about growth, don’t delay it any longer.

For guidance and updates on MSME policies, compliance, and finance, platforms like Bullit make it simple.