MSME & Startups · August 28, 2026

MSME Udyam Registration: Benefits and How to Apply

Udyam registration is the current, simplified system for registering a business as a Micro, Small, or Medium Enterprise (MSME) with the Government of India.

Key Benefits

• Priority-sector lending and easier access to collateral-free loans
• Protection under the MSME Development Act against delayed payments
• Eligibility for central and state government schemes and subsidies
• Preference in certain government tenders

How to Apply

Registration is done online via the Udyam Registration portal using PAN and Aadhaar; it is free of cost.

A Common Misconception

Udyam registration is not the same as GST registration — a business can and often should have both.