Update Udyam Registration: 8 Common Mistakes and How to Fix Them

1. Entering Wrong Details

The Mistake:

Sometimes, people provide wrong names or other identifying information while updating their Udyam registration certificate.

Also, the information provided differs from the information recorded in the government database.

Different business categories may require different identifying information for verification.

The Solution:

• Enter details exactly as they appear on your PAN, Aadhaar, and GST records.
• If your government record itself is wrong, correct it with the relevant department first (for example, the Income Tax Department for PAN), then update Udyam.
• Check punctuation, spacing, and the order of names.

2. OTP or Mobile Number Issues

The Mistake:

Sometimes, the OTP is not received, or the person is unable to access the Aadhaar-linked mobile number or email with which the MSME registration was done.

The Solution:

• The OTP comes to the mobile number connected to your Aadhaar. In case of old or inactive numbers, update the number in the Aadhaar profile first, and then try again.
• Check that the phone has a network connection and has not been blocked for SMS.
• Make sure to check if the right mobile number or email has been used.
• Make sure that the mobile number has been registered, and wait for the OTP to come. Do not request the OTP several times over and over again.
• If the mobile number or email cannot be accessed, request help from the official support team.
• Do not create a new Udyam Registration if you are unable to log in due to mobile number or email issues.

3. Trying to Change PAN, Aadhaar or GST Details

The Mistake:

Sometimes, people try to change PAN, GST, turnover, or investment details directly on the Udyam website.

However, certain details such as PAN and GST are government tax-related and thus cannot be changed on the Udyam website.

The Solution:

• Aadhaar, PAN, and the names linked to them are locked after registration and can't be edited on the Udyam portal.
• GST details are linked to government databases and updated automatically.
• If the source record is wrong, correct it with the relevant authority (UIDAI for Aadhaar, Income Tax Department for PAN, GST portal for GST). If you entered a wrong PAN or Aadhaar number during your original registration, contact official support or your DIC for guidance on the correct way forward.

4. Misunderstanding How Turnover and Investment Are Calculated

The Mistake:

Sometimes, people enter the wrong value of turnover or investment figures.

Sometimes, details such as turnover are entered from the wrong financial year or by confusing total turnover with export turnover.

The mistake can also be with respect to investment values.

The Solution:

• Turnover and investment are largely auto-fetched from your ITR and GST filings, so file your returns correctly and on time. Errors in those returns can affect your classification.
• Export turnover is excluded when calculating turnover for MSME classification. Don't add it to your turnover figure.
• Use figures from the correct financial year and from your filed returns.

As per the MSME classification system applicable from April 1, 2025, the limits are:

Both the investment and turnover limits are essential while classifying a business as an MSME.

5. Selecting the Wrong NIC Code

The Mistake:

Choosing an activity code that doesn't match what your business actually does, for example, selecting a trading code for a manufacturing unit. The NIC code tells the government the nature of your business, and wrong codes can affect scheme eligibility and records.

The Solution:

• Search the NIC code list by your product or service and read the description.
• Select the codes that align with the business's activities.
• If the business engages in multiple activities, multiple activities can be selected under one Udyam Registration.

6. Creating a New Udyam Registration Instead of Updating the Old One

The Mistake:

Sometimes, people may think that only a New Udyam Registration can be used to amend a mistake in their existing Udyam certificate.

The Solution:

• If the business already has an existing Udyam Registration, it should be used to alter or amend the mistake.
• A business must not create multiple Udyam Registrations.
• The different business activities can be added to an existing MSME registration.

7. Forgetting to Update the Address or Contact Details

The Mistake:

Sometimes, people forget to update their address or contact details after amending the financial details.

For instance, one may update their financial figures but fail to update address in the Udyam Registration certificate.

The Solution:

• Before submitting the details, it is essential to check all the business-relevant details.
• Review the address of the factory, office, or plant, plus mobile and email, before submitting.
• Remember that the state and district of the official address generally can't be edited, so check them carefully.
• Make sure the details match your other business records.

8. Not Checking the Updated Certificate

The Mistake:

Sometimes, the mistake is not checked or noticed in time after submitting the update form.

The Solution:

• Once the update is done, double-check the Udyam Registration details using the available online facility.
• Download Udyam certificate and read it to ensure that the name, address, contact details, NIC codes, and other relevant information are accurate.
• If another mistake is discovered, check the solution that applies to it.

Don't know how to get the latest copy of Udyam Certificate? Follow our guide

How to Download Udyam Certificate PDF Online