Understanding Udyam Registration:
The Udyam Registration, introduced in 2020, replaced the earlier system of MSME registration (Udyog Aadhaar Memorandum). It is a simple and online process aimed at facilitating the ease of doing business for MSMEs. Through Udyam Registration, MSMEs can avail themselves of various benefits such as access to credit, subsidies, incentives, and government schemes. This registration is based on self-declaration of enterprise details like investment in plant and machinery or equipment, turnover, etc.
Need for Re-registration:
The concept of re-registration comes into play to ensure the accuracy and currency of information provided by MSMEs. Over time, businesses change various aspects such as turnover, investment, ownership, or operational scope. Hence, it becomes imperative to update these details periodically to maintain the integrity and relevance of the MSME database. Re-registration under Udyam is a means to validate and refresh the information provided by enterprises.