How to Apply for Udyam Registration as a Manufacturer
Udyam Registration is an online process that provides businesses with a unique identification number. It replaces the old system of MSME registration

MSME Registration is an essential step for manufacturers in India who want to get recognized as an MSME (Micro, Small, or Medium Enterprise). This government initiative helps businesses access various benefits, including subsidies, loans, and market opportunities. In this guide, we’ll explain how manufacturers can apply for Udyam Registration in simple steps.
What is Udyam Registration?
Udyam Registration is an online process that provides businesses with a unique identification number. It replaces the old system of MSME registration and simplifies the process for manufacturers and other businesses. With Udyam Registration, manufacturers can enjoy several benefits, such as priority lending, tax exemptions, and access to government tenders.
Benefits of Udyam Registration for Manufacturers
1. Access to Government Tenders
One of the key advantages of Udyam Registration for manufacturers is the ability to participate in government procurement processes. The government frequently needs goods and services for public sector projects, and Udyam-registered businesses are eligible to bid on these government tenders. This opens up a wide range of business opportunities, providing manufacturers with the chance to expand their client base by serving government departments and organizations. This access can significantly boost your business's growth and credibility, as government contracts often come with long-term prospects and higher volumes of business.
2. Subsidized Loans
Udyam Registration makes manufacturers eligible for various financial benefits, including subsidized loans. Financial institutions and banks often offer lower interest rates and more favorable loan terms to Udyam-registered businesses, which is especially valuable for small and medium-sized manufacturers who may face challenges in securing funding. These loans can be used to invest in machinery, infrastructure, and other business expansion activities. The availability of low-cost loans can reduce financial strain, enabling businesses to grow and increase their production capabilities without incurring excessive costs.
3. Tax Benefits
Udyam Registration provides manufacturers with certain tax exemptions and incentives, helping to reduce their overall tax liability. Depending on the size of the business and its industry, manufacturers may qualify for exemptions on excise duty, GST, and other taxes. These exemptions can result in significant savings, improving the financial health of your business and allowing you to reinvest those savings into your operations. Tax benefits are an excellent incentive for manufacturers to register under the Udyam scheme, as it helps them remain competitive in a challenging market.
4. Credit Support
Under Udyam Registration, manufacturers can also access various credit support schemes offered by the government. These schemes, like the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), help manufacturers secure working capital and other types of financing without requiring collateral. This support makes it easier for businesses to meet their operational needs and take on new projects. Access to credit can also help manufacturers in times of cash flow shortages or when they need to scale their business quickly.
5. Protection from Delayed Payments
One of the most critical issues faced by small and medium manufacturers is delayed payments from clients. Udyam-registered businesses are protected by the law against delayed payments, especially in transactions with large companies and government entities. The registration gives manufacturers the legal right to claim interest on delayed payments and take necessary legal action if payments are not received within the agreed timeframe. This protection can help maintain smooth cash flow, ensuring that businesses don’t suffer due to payment delays and can continue their operations without interruption.
Eligibility Criteria for Manufacturers
To qualify for Udyam Registration, you must meet the following criteria:
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Micro Enterprise: Investment up to ₹1 crore and turnover up to ₹5 crore.
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Small Enterprise: Investment up to ₹10 crores and turnover up to ₹50 crores.
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Medium Enterprise: Investment up to ₹50 crores and turnover up to ₹250 crores.
Documents Required for Udyam Registration
Manufacturers need to keep the following documents handy:
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Aadhaar Card: The Aadhaar of the business owner or managing director is mandatory.
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PAN Card: The business PAN card is required for tax purposes.
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Business Details: Information about the business, including the name, type, and address.
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Bank Details: Bank account number and IFSC code.
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Investment Details: The amount invested in plant and machinery or equipment.
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Turnover Details: Annual turnover figures of the business.
Step-by-Step Guide to Udyam Registration for Manufacturers
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Visit the Udyam Registration Portal
Open the official Udyam Registration portal on your browser to start the process. -
Provide Aadhaar Details
Enter your Aadhaar number and verify it with the OTP sent to your registered mobile number. -
Fill in the Business Information
Input important details like: -
Business name.
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Type of organization (e.g., proprietorship, partnership, etc.).
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Address of the business.
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Bank account details, including account number and IFSC code.
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Provide Investment and Turnover Details
Enter details about your total investment in plant and machinery or equipment, as well as your annual turnover figures. -
Review and Confirm the Application
Double-check all the information provided to ensure accuracy. After reviewing, proceed to apply. -
Pay the Registration Fee (if applicable)
If any registration fee applies, choose your preferred payment method and complete the payment process. -
Mobile Verification with OTP
An OTP will be sent to your mobile number linked with your Aadhaar card. Enter the OTP for identity verification. -
Complete the Registration Process
Once your details are verified, your registration will be completed. -
Download Your Udyam Certificate
After verification, your Udyam Registration certificate will be generated and sent to your registered email. Download and save it for future use.
Key Points to Remember
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Single Registration for Multiple Activities: A manufacturer can register only once, but the registration can cover multiple activities.
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No Renewal Required: Udyam Registration is a one-time process and doesn’t require renewal.
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Free of Cost: The government does not charge any fees for Udyam Registration.
Common Challenges and How to Overcome Them
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Aadhaar Card Issues: Ensure your Aadhaar card is linked to your mobile number for OTP verification.
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Incorrect PAN Details: Double-check PAN details before submitting the form.
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Technical Errors: Use a stable internet connection and avoid peak hours to prevent website crashes.
How to Edit or Update Udyam Registration
If you need to update your registration, follow these steps:
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Visit the Udyam portal and click on the “Update” option.
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Enter your Udyam Registration Number and verify with OTP.
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Update the required details and save the changes.
Suggested read- Check Udyam Registration Status
Conclusion
Udyam Registration is a simple yet powerful tool for manufacturers looking to grow their business. It not only provides financial benefits but also opens doors to government procurement and other growth opportunities. By following the steps outlined above, manufacturers can easily complete their registration and start reaping the benefits.
Take the first step towards business success today by registering for Udyam as a manufacturer!
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