MSME/Udyam Registration Eligibility Checker
Check if your business qualifies as Micro, Small, or Medium Enterprise under the MSME Development Act. Enter your investment in plant & machinery and annual turnover (excluding exports). Get instant classification, benefits you can avail, and registration guidance. Udyam Registration is free on the official portal.
Check MSME Eligibility
How to Use
Enter your investment in plant and machinery (excluding land/building) and annual domestic turnover (excluding exports). The tool classifies your business as Micro, Small, Medium, or Not Eligible based on MSME Ministry criteria updated June 2020.
CA Tip: Register on udyamregistration.gov.in (free). Benefits include CGTMSE collateral-free loans up to ₹5 Cr, priority sector lending, and govt tender preferences. The ICAI recommends all eligible businesses register.
MSME Classification Criteria
| Category | Investment (P&M) | Turnover (excl exports) |
|---|---|---|
| Micro | ≤ ₹1 Crore | ≤ ₹5 Crore |
| Small | ≤ ₹10 Crore | ≤ ₹50 Crore |
| Medium | ≤ ₹50 Crore | ≤ ₹250 Crore |
Both criteria must be met. If investment qualifies for one category but turnover for another, the higher category applies (composite criteria). Same limits for manufacturing, services, and trading.
Key Benefits of MSME Registration
- CGTMSE: Collateral-free credit guarantee up to ₹5 Cr from banks
- Priority sector lending: Banks must allocate credit to MSMEs at competitive rates
- Govt tender preference: 25% procurement reserved for MSMEs, 3% for women-owned
- Delayed payment protection: Buyers must pay within 45 days under MSMED Act
- Subsidy schemes: CLCSS (technology upgrade), ZED certification, patent/trademark subsidies
- Lower electricity tariff: Industrial rates in many states for registered MSMEs
Udyam Registration Process — Step by Step
The registration process under the MSMED Act 2006 has been fully digitised since July 2020. Here is the complete step-by-step process:
- Step 1 — Visit the portal: Go to udyamregistration.gov.in. Click “For New Entrepreneurs who are not Registered yet as MSME” or “For those already having registration as EM-II or UAM” for migration.
- Step 2 — Aadhaar verification: Enter the Aadhaar number of the proprietor, managing partner, or authorised director. OTP is sent to Aadhaar-linked mobile for verification.
- Step 3 — PAN & GST validation: Enter PAN (mandatory for Pvt Ltd, LLP, partnership). GSTIN details are auto-fetched from GSTN. For businesses without PAN, Aadhaar alone is sufficient.
- Step 4 — Fill enterprise details: Enter business name, type (manufacturing/services/trading), NIC code, number of employees, investment in plant & machinery, and annual turnover.
- Step 5 — Submit & get certificate: On submission, the Udyam Registration Number (URN) is generated instantly along with a downloadable e-certificate. The URN format is UDYAM-XX-00-0000000.
Important: Only one Udyam Registration is allowed per enterprise. Multiple registrations for the same business attract penalties. If you have multiple business units, each needs separate registration only if they operate as independent entities with different PANs.
Need MSME registration help? Our CAs handle Udyam Registration, MSME loans, and compliance for businesses across India. Talk to a CA today →