Why Udyam Registration Should Be Your First Step as a startup

The Udyam registration is essential for all entrepreneurs in India. Most of the udyam certificates are powerful certificates for Startups. The Udyam registration for startup is a very simple and easy online process. No need for paperwork. The udyam registration is the first step to grow the business for Startup. Through the Udyam registration accessing the MSMEs schemes of startup. 

What is Udyam registration?

Udyam registration is a government-issued certificate granted to eligible businesses as Micro, Small or Medium Enterprises (MSMEs) under the MSME Development Act, 2006. In July 2020 it was introduced as a replacement for the Udyog Aadhaar. The process of Udyam registration is made easy online without a paperless process. After successfully completing your registration process, you get 16 digits of the Udyam registration number  fssai. The Udyam Registration ID is very important to log in to your Udyam portal.  Udyam registration helps to grow your business. And accessing the various government benefits. 

Types of businesses eligible for Udyam registration:

• Proprietorships.
• Partnerships firm.
• Hindu undivided family (HUF).
• One-person companies (OPC).
• Private limited companies.
• Public limited companies.
• Limited liability partnership. 
• Co-operative society.
•  Any other legal entity.

Required documents for Udyam registration:

• No need for physical documents, but keep the following documents with you:
• Adhar number of proprietor, partner, or director. 
• PAN card.
• Address of the business.
• Bank details

Steps to register the Udyam certificate:

Step 1: Visit the official website of Udyam at 

Step-2: Select the new registration of Udyam option.

Step 3: Enter all the details in the application form, like:

• Name of the applicant.
• Mobile number.
• Email ID.
• PIN code, state district.
• Gender.
• Social category.
• Business name.
• Date of commencement of business
• Address of the business.
• Type of organisation.
• Main business activity of enterprises.
• Investment plan and machinery.
• Annual turnover.
• Adhar and PAN and GST details and bank details.
• Additional details of the business.

Step 4: Enter the verification code.

Step 5: Submit the application form.

Why Udyam Registration Should Be Your First Step as a startup

Alignment with legal standards:

Startup India recognition helps ensure alignment with the regulations laid out by the Department for Promotion of Industry and Internal Trade (DPIIT). By registering under this initiative, startups showcase their dedication to operating with legal frameworks, which not only enhances their credibility but also reduces the likelihood of regulatory hurdles or compliance-related issues.

Eligibility for government incentives and programmes:

A key benefit of registration under the startup in India initiative is the eligibility it provides for a range of government-backed programmes and incentives designed specifically for emerging businesses. From tax exemptions and funding support to mentorship and incubation opportunities, recognised startups can tap into valuable resources that accelerate innovation and business exemptions.

Developing a strong reputation:

In today’s competitive landscape, gaining the trust and confidence of stakeholders is crucial for startups. Registering under Startup India acts as a mark of authenticity and dedication to a high standard of business practice. It boosts your company’s reputation and potential investors.

Easing Access to Credit and Financial Support:

Securing financing can be a major hurdle for startups, but registering under Startup India can greatly improve your chances of obtaining bank loans and other financial support. Financial institutions often favour startups with government-backed recognition, as it demonstrates an adherence to regularity standards, making them more likely to secure funding.

Promoting business development and growth:

Registering under the Startup India initiative provides startups with a solid foundation for long-term growth and expansion. The advantages gained from government recognition, combined with access to various support programmes, allow startups to broaden operations, explore new markets and diversify their product or service offerings.

Financial aid and subsidised funding:

Along with various schemes, startups registered under Udyam can access financial support and subsidies provided by government agencies and lending institutions. From concessional loans to grants, these financial resources play a crucial role in supporting the growth and scaling of your business.

Priority in public procurement:

Startup India recognition also paves the way for greater opportunities in public procurement. Startups registered under the initiative often receive preferential treatment in government tenders and contracts, giving them a distinct advantage in winning key projects and forming strategic collaborations with public sector entities.

Conclusion: 

The Udyam registration offers a single-window registration process through the Startup India portal, replacing earlier complex procedures. It aims to encourage innovation and faster entrepreneurship and create a robust ecosystem for startups in India. By offering tax exemptions, easier compliance, and funding support, the initiative plays a crucial role in driving economic growth and generating employment. The main reason behind the first step of udyam registration for startups is to grow and expand business and create more business opportunities in the India market eco system.