Udyam Registration is the official identification system for Micro, Small and Medium Enterprises (MSMEs) in India. It replaces the earlier Udyog Aadhaar system and provides a single, digital recognition for small businesses. Once registered as an Udyam, a business is treated as an MSME for the purpose of accessing government incentives, subsidies and protection.

Registration is entirely online and paperless, based on the entrepreneur’s Aadhaar number and basic business details such as PAN, turnover and investment in plant & machinery or equipment. After successful registration, the enterprise receives a unique Udyam Registration Number (URN) and an e‑certificate that can be used for banking, licensing and tender‑related compliances.

Key benefits of obtaining Udyam Registration include:

• Priority access to government schemes designed for MSMEs, including subsidies and reimbursement programs.
• Collateral‑free and subsidised loans from banks and financial institutions under various credit guarantee schemes.
• Preference in public procurement and relaxed eligibility criteria in government tenders.
• Protection against delayed payments from buyers, along with the right to claim interest under MSME laws.
• Concessions in statutory fees for trademarks, patents, and ISO certification, helping reduce compliance costs.