GST or Udyam Registration — Which Should You Get First?

If you're starting a small business in Maharashtra, the two registrations that come up almost immediately are GST and Udyam (MSME). They serve different purposes, and which one you need first depends on your situation.

Udyam registration is free to be eligible for and unlocks MSME benefits: priority lending, government scheme access, and protection against delayed payments from larger buyers. There's no turnover threshold to register — you can do it from day one.

GST registration, on the other hand, becomes mandatory once your turnover crosses the threshold for your state and business type, or immediately if you sell on e-commerce platforms or across state lines. Many businesses register voluntarily earlier than required because clients and marketplaces ask for a GSTIN before they'll work with you.

Our usual advice: get Udyam registered as soon as you start operating — there's no downside and it strengthens your position for loans later. Register for GST as soon as you cross the threshold, or earlier if a client or marketplace requires it. If you need both, our GST + Udyam + Gumasta combo covers all three in a single visit.