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If your enterprise is registered with MSME Udyam, you can avail these benefits:

Protection against delayed payments

A Udyam registered user is eligible to charge his/her buyer a compound interest 3 times the rate notified by RBI, if the buyer delays the payment for goods/services beyond 45 days. For more details, visit

Ease of getting licenses, approvals & registrations

As a Udyam registered user, it is now easy to get licenses, approvals and registrations irrespective of field of business. Businesses registered with Udyam are given higher preference for government license and certification.

Purchase new or upgrade your existing machinery with Udyam‘s Credit Linked Capital Subsidy Scheme(CLCSS)

Under Udyam, MSMEs are eligible for CLCSS which helps small-scale industries to purchase or upgrade their equipment and plant machinery through capital subsidies. For more details, visit

Easily take part in Government tenders

Micro, small and medium owners can take part in Government tender auctions if registered with Udyam. Easily avail exemptions from Earnest Money Deposit (EMD) while applying for government tenders.

For more details, visit

Electricity bill concessions

Enterprises having Udyam Registration can avail concession in electricity bills by giving an application to electricity board along with Udyam Registration Certificate.

Stamp duty and registration fees waiver

All industrial units having Udyam Registration will be exempted from payment of Stamp Duty and Registration fees.

Cheaper bank loans

Enterprise having Udyam registration will get cheaper bank loans as the interest rate is 1.5% lower than interest on regular loans

No collateral required for bank loans

Udyam registered enterprises can get loans up to Rs. 100 lakhs without collateral/ third party guarantees under Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) scheme. For more details:

Eligible for IPS subsidy

Enterprises having Udyam Registration are eligible for Industrial Promotion Subsidy (IPS) as mentioned in the scheme.

Reimbursement of ISO certification Fee

Under ISO Certification Reimbursement Scheme, MSMEs having Udyam registration shall be reimbursed 75% of the total ISO certification fee.

Subsidy on patent and trademark registration

Enterprise having Udyam registration can avail 50% subsidy on patent and trademark registration. This subsidy can be availed by sending an application to the respective ministry.

Exemption on Tax allowances

Enterprises having Udyam Registration can get exemption under Direct Tax laws

Source: Ministry of MSME website