Udyam (MSME) registration

Size limits from 1 April 2025

An enterprise must meet both the investment limit and the turnover limit for its class.

Class	Investment up to	Turnover up to
Micro	₹2.5 crore	₹10 crore
Small	₹25 crore	₹100 crore
Medium	₹125 crore	₹500 crore

How to register

Registration is online, paperless and free, and works on self-declaration. You need the Aadhaar of the proprietor, managing partner, karta or authorised signatory, plus PAN and GSTIN. You don’t upload any documents. You get a permanent Udyam Registration Number and an e-certificate.

Informal micro enterprises that are exempt from GST can register through the Udyam Assist Platform instead, via designated agencies such as banks. Its certificate counts the same as a Udyam certificate for priority-sector lending.

Getting paid on time

• Buyers’ tax deduction: a buyer can claim a deduction for money owed to a micro or small enterprise only once it is paid within the MSMED Act time limit. That is 15 days without a written agreement, and up to 45 days with one. This is section 43B(h).
• Delayed payments: micro and small suppliers (not traders) can file a claim on MSME Samadhaan. Interest runs at three times the RBI bank rate, compounded monthly.