Udyam Registration: Cancel Your MSME License On-line

The launch of MSMEs (Micro, Small, and Medium Enterprises) in India has been an entire recreation changer for a lot of. The MSME License registration or Udyam registration course of launched in June 2020 has thrown open the doorways to a variety of presidency schemes and promotions. These are particularly designed to ease the challenges one faces whereas operating a startup enterprise or an already current institution.

It has a number of advantages, reminiscent of:

Simpler Entry to Credit score

Authorities Tender Participation

Tax Advantages

Assist, Sponsorship & Mentorship Packages

MSME License On-line:

As of now, over 2 crore MSMEs have taken benefit of the simplified on-line course of to acquire their MSME license registration. This signifies the essential influence this initiative has had on empowering tens of millions of small companies throughout India.

Nonetheless, there could also be conditions the place an MSME proprietor not wants their Udyam registration. Listed here are some widespread the reason why an MSME would possibly select to cancel their Udyam license:

No Longer Required: The enterprise could have grown past the MSME classification or could have shifted its focus to actions that do not qualify for Udyam advantages.

Enterprise Closure: Sadly, some companies could also be compelled to close down as a result of varied financial elements.

Change in Possession: If there is a important change in possession construction, the brand new proprietor could not require the prevailing Udyam registration.

Steps To Cancel Your MSME License On-line

Cancelling a Udyam registration on-line is a quite simple and straightforward course of by means of the Udyam registration portal (udyam registration.gov.in). Here is a step-by-step information:

Step 1

Go to the Udyam Registration Portal: Go to udyamregistration.gov.in and find the “Replace/Cancel Udyam Registration” choice.

Step 2

Step 3

Confirm with OTP: Select to obtain a one-time password (OTP) by way of SMS to your cell phone or electronic mail deal with for verification. Enter the acquired OTP to validate your login.

Step 4

Provoke Cancellation: As soon as logged in, click on on “Cancellation” positioned on the high proper nook of the display.

Step 5

Cause for Cancellation: A drop-down menu will seem, permitting you to pick the explanation for cancelling your Udyam registration. Select essentially the most applicable choice, reminiscent of “No Additional Want,” “I Have Shut Down My Enterprise,” or another related purpose.

Step 6

Present Extra Particulars: Relying on the chosen purpose, you could be required to supply additional particulars in a devoted textual content field. This helps the authorities perceive the particular circumstances surrounding your cancellation request.

Step 7

Submit Cancellation Request: Click on on the “Cancel My Udyam” button to submit your request for cancellation electronically.

Step 8

Affirmation and Notification: The system will acknowledge your cancellation request. You’ll be able to count on to obtain a affirmation notification inside one to 2 hours of your request being permitted.

Conclusion

Whereas the Udyam registration course of has been a boon for MSMEs in India, there are conditions the place cancelling it might develop into needed. The excellent news is that the net cancellation course of is user-friendly and facilitates a easy expertise for many who not require the advantages related to their Udyam license. Bear in mind, acquiring an MSME License On-line by means of the Udyam portal stays a easy and environment friendly course of for qualifying companies searching for to unlock the benefits related to Udyam registration.

FAQs

Q1. Is Udyam registration cancellation obligatory for companies that not qualify as MSMEs?

Ans. No, cancellation is just not obligatory if you don’t establish as an MSME. Nonetheless, it is in your greatest curiosity to maintain your registration up to date in order to keep away from any discrepancies with authorities data.

Q2. What are some the reason why an MSME would possibly need to cancel their Udyam registration?

Ans. Udyam registration might be cancelled if:

– The enterprise has outgrown the MSME classification.

– The enterprise has shut down.

– There’s been a big change in possession, and the brand new proprietor would not require the registration.

Q3. How a lot does it price to cancel a Udyam registration on-line?

Ans. The cancellation strategy of Udyam registration is solely freed from price.

This autumn. How lengthy does it take to get affirmation after cancelling my Udyam registration?

Ans. The affirmation of your Udyam registration cancellation normally takes about one or two hours after your request has been permitted.

Q5. If I cancel my Udyam registration, can I re-register sooner or later if my enterprise circumstances change?

Ans. Sure, there’s a provision to use for an Udyam re-registration if your online business qualifies as an MSME once more sooner or later. The Udyam portal lets you replace your registration particulars as and when wanted.