Udyam Registration is a government-authorized online system created to formally recognize micro, small, and medium enterprises in India under the Ministry of MSME. This simplified, Aadhaar- and PAN-linked process allows business owners to register quickly without paperwork or registration fees. Once registered, enterprises receive a unique Udyam Registration Number along with an official digital certificate that confirms their MSME status. This recognition enhances business transparency, improves credibility with banks and stakeholders, and ensures accurate classification based on investment and annual turnover as prescribed by government guidelines.