Micro, Small, and Medium Enterprises (MSMEs) of India are crucial to building the nation's economy. Most trading companies—whether wholesale or retail—are classified under MSME and can now benefit from various government schemes by registering under Udyam Registration online.

If you are operating a trading company and looking to register your business, then this article is particularly for you.

Let us learn the step-by-step Udyam registration process for trading businesses in simple words.

What is Udyam Registration?

Udyam Registration is a government registration program launched by the Ministry of Micro, Small, and Medium Enterprises, Government of India. After registration, the firm gets a unique Udyam Registration Number (URN) and an e-certificate, which is evidence of recognition as an MSME.

Trading businesses were not part of the definition of MSME before. But now wholesale and retail trade is also allowed to register to avail MSME benefits.

Who can apply?

Any trading business like

• Retail shops

• Wholesalers (Distributors)

• Online sellers

• Grocery stores

• Electronics traders

• Clothes and footwear shops

• Supermarkets or grocery chains

...MSMEs can apply for Udyog registration if they meet the following criteria:

You can also udyam download with annexure 

Documents required for Udyam Registration

The good news is that there is no need to submit any physical documents for registration. The process is completely online and paperless.

You will only need the following details:

• Aadhaar number of the business owner

• PAN number of the business or owner

• Mobile number linked with Aadhaar

• Business address and activity details

• Bank account details

• A valid email ID

• GSTIN (if available — not mandatory, but useful in trading)

Step-by-step process to get Udyam registration for a trading business

Follow this easy 7-step process and get your Udyam certificate:

Step 1: Visit the Udyam Registration Portal

• Visit the official website: Udyam registration portal 

Step 2: Fill udyam registration form

Step 3: Enter basic details

• Enter Aadhaar number and name of the business owner.

• You will receive an OTP on your Aadhaar-linked mobile — verify it.

Step 4: PAN Verification

• Enter the PAN number and type of business (eg, Proprietorship/Partnership/Company).

• The portal will automatically pull and verify your PAN information.

Step 5: Fill in business details

• You will need to fill in the following details:

• Business name and address

• Date of the start of business

• Bank account details

• Number of employees

• NIC code (choose the appropriate code related to trading)

• Type of activity (choose: Trading)

• Annual turnover details

Step 6: Final submission

• After filling in all the details correctly, submit the form.

• You will receive an OTP again — verify it.

Step 7: Get Udyam Certificate Download PDF

• Your application will be processed.

• You will receive your Udyam Registration Certificate and Udyam registration number via email.

• You can download the certificate from the portal anytime.

Benefits of Udyam Registration for Trading Businesses

1. Easy access to unsecured business loans

2. Low interest rates on loans

3. Priority in government tender and procurement process

4. Benefits of MSME-specific schemes and subsidies

5. Legal protection against late payments

6. Subsidy on electricity and utility bills in some states

7. Ease in obtaining licenses and approvals

Final Words

Registering your trading business under MSME Udyam Registration is not just easy but also a smart move. It gives you government recognition, protection, and many benefits that help your business grow.

So, whether you are running a shop, online store, or any business, go ahead and register on the Udyam portal today.