Registration of Micro, Small and Medium Enterprises (Udyam Portal)

Digital ID is used to verify the identity of business owners or authorized signatories during MSME registration process. This enables a paperless and online registration process.

The Ministry of Micro, Small and Medium Enterprises launched the Udyam Registration Portal on 1st July 2020 in collaboration with the UIDAI. It provides a unified, simplified registration system for MSMEs across India. The portal uses Aadhaar-based e-KYC to instantly verify the identity of entrepreneurs who apply for MSME registration. This eliminates the need for physical document submission and enables self-registration from anywhere. Business owners provide their Aadhaar number during registration, which validates their identity against the UIDAI database and auto-fills demographic details, such as their name and address. The platform also integrates with the Income Tax Department and GSTN (Goods and Services Tax Network) to auto-populate business financial data, which includes investment in plant and machinery and annual turnover based on PAN and GSTN, further simplifying the registration process. Upon successful registration, enterprises receive a permanent 16-digit Udyam Registration Number (URN) and a digital certificate.

As of May 27, 2025, a total of 64.09 million MSMEs have registered on the Udyam portal. Udyam registration enables MSMEs to access various government schemes and benefits, which include the Credit Guarantee Scheme (CGTMSE) for collateral-free loans, Public Procurement Policy mandating 25% government procurement from MSMEs, subsidies and incentives for technology upgrades, priority sector lending status from banks, and protection under the Delayed Payment Act.