Here we have discussed the MSME udyam registration for Hotel & hospitality industry. Do check their eligibility criteria, documents required and online procedure to get registered under the udyam registration portal.
MSME Udyam Registration Form for Hotel Business
A hotel is a building where people stay, for example, on vacation, and pay for their rooms and meals.A hotel is a business that provides paid lodging, usually for a short period of time. One of the most profitable and best business ideas in India is the hotel industry. As a result of the prime attractions and diverse culture in India, visitor inflows are steadily increasing. As of now, one of the profitable businesses to start is the lodging industry.
In addition, India is one of the leading countries where the travel and tourism sector contributes significantly to the country’s GDP. The current trend shows that demand for hotel accommodations is increasing at a rate of 6% per year. However, supply is growing at a rate of 3% per year. As a result, there is enormous opportunity in the hotel industry for someone looking to start a new business. So any business owner can apply for a udyam registration certificate for a hotel. And list out their business under the ministry of msme so they can avail various benefits for the government of India and uplist their hotel business. It is a difficult process to open and maintain an independent Hotel. You must conduct market research, make financial arrangements, obtain medical store loans, obtain permits, hire staff, and much more. It is easy to obtain a Hotel MSME Udyam Registration in India.
Fill this MSME Registration Udyam Registration Form for getting your Hotel business certified by the ministry of MSME. Excellent opportunity for the Hotel business service enterprises for Regular & Rural Retail hotel to fill out this udyam registration application form and get registered under the new portal of MSME. InIndia wherever you conduct business that involves the exchange of goods and services, you must obtain a GST Registration and udyam registration in India. You can seek the assistance of a legal service provider to obtain GST and udyam registration.
More about Hotel Business Service in India
With a total area of 3,287,263 square kilometres extending from the snow-covered Himalayan heights to the tropical rain forests of the south, India has a rich cultural and historical heritage, as well as a diverse ecology, terrains, and natural beauty. This presents a significant opportunity to fully realise the tourism sector’s potential. Because India is one of the most popular travel destinations in the world, the Indian tourism and hospitality industry has emerged as one of the key drivers of growth in India’s services sector. Tourism has significant potential in India, as it is an important source of foreign exchange in India, as it is in many other countries. Foreign exchange earnings increased at a CAGR of 7% from 2016 to 2019, but fell in 2020 due to the COVID-19 pandemic.
The tourist and hospitality sector, which includes travel and hospitality services such as hotels and restaurants, is widely acknowledged as a development agent, a catalyst for socioeconomic growth, and a significant source of foreign exchange gains in many countries. Tourism highlights India’s rich and exquisite history, culture, and diversity while also providing significant economic benefits. The tourism industry has recovered from the covid-19 pandemic shock and is operating at pre-pandemic levels thanks to the consistent efforts of the central and state governments. According to the World Travel and Tourism Council, India ranks 10th out of 185 countries in terms of travel and tourism’s total contribution to GDP in 2019.
In 2019, travel and tourism contributed 6.8% of total GDP, or Rs. 1,368,100 crore (US$ 194.30 billion). In 2020, the Indian tourism sector employed 39 million people, accounting for 8% of total employment in the country. The Indian travel market is expected to grow to US$ 125 billion by FY27, up from an estimated US$ 75 billion in FY20. The Indian airline travel market is estimated to be worth US$ 20 billion, and it is expected to double in size by FY27 as airport infrastructure improves and access to passports expands. The Indian hotel market, including domestic, inbound, and outbound travel, was valued at US$ 32 billion in FY20 and is expected to grow to US$ 52 billion by FY27, driven by rising traveller demand and the continued efforts of travel agents to expand the market. International tourist arrivals are expected to reach 30.5 billion by 2028, generating over $59 billion in revenue.
Domestic tourists, on the other hand, are expected to drive growth following the pandemic. International hotel chains are expanding their presence in the country, and it will account for approximately 47% of India’s tourism and hospitality sector by 2020, rising to 50% by 2022. Foreign Tourist Arrivals (FTAs) in August 2022 were 498,243, representing a 437.3% increase over 92,728 in August 2021. FTAs totaled 3,263,219 from January to August 2022, up from 638,524 from January to August 2021. Bangladesh had the highest percentage share of foreign tourist arrivals in India during August 2022, followed by the United States (16.93%), the United Kingdom (10.74%), Australia (3.77%), Canada (3.44%), Sri Lanka (3.18%), Nepal (2.56%), Malaysia (2.54%), Germany (2.16%), France (2.01%), Oman (1.98%), Singapore (1.73%), the United Arab Emirates (1.45%), Italy (1.19%), and Japan (1.17%).
The Indian hospitality industry, led by the hotel market, has emerged as one of the primary sectors driving the country’s economic growth. Hotels in India are classified according to their location (city hotels, airport motels, resorts, and so on), level of service (upscale, mid-market, and economy), and themes (boutique hotels, heritage hotels, etc.). With 440 approved hotels, Kerala is expected to be the leading provider of hospitality services in the country. The other states in the top five in terms of hospitality services are Maharashtra, Gujarat, Rajasthan, and Tamil Nadu. Rooms have traditionally been the most important source of revenue for hotels. In fiscal year 2017, rooms accounted for 53.6% of total revenue in Indian hotels, followed by food and beverages and banquet services.
Hotel rooms are in high demand across the country as a result of increased business and leisure travel. Hotel owners are implementing cutting-edge marketing strategies such as social media, which have proven to be effective in increasing exposure and booking volume. Consumers are increasingly using hotel booking apps because they are simple to use and provide users with the best options based on their needs. By harmonising taxes and lowering business transaction costs, the implementation of the goods and services tax (GST) and udyam registration has helped business men in the hotel & hospitality industry save money. This, however, has been an advantage for hotel owners because the final cost that end users bear has decreased, increasing their profit margins.
Investments/Developments for Registered MSME’s in Hotel & Hospitality Industry
Between April and June 2022, FDI inflows into the tourism and hospitality sectors totaled US$ 16.48 billion.
- A total of 48,775 lodging units (both classified and unclassified) have been registered on the National Integrated Database of Hospitality Industry (NIDHI) portal, with 11,220 units self-certifying for SAATHI standards in September 2022.
- Indian Hotels Company (IHCL) announced the launch of Loya, its new Indian-concept restaurant brand, in October 2022. Loya, which made its debut at the Taj Palace in New Delhi, captures the culinary essence of North India’s landscape.
- OYO, the hospitality unicorn, has agreed to buy Direct Booker, a vacation rental company based in Europe, for US$ 5.5 million in May 2022.
- Accor, a French hospitality company, will expand its portfolio in India by adding nine new hotels in the mid-scale and economy categories, bringing the total number of hotels in India to 54.
- From 2020 to 2027, the Medical Tourism sector is expected to grow at a CAGR of 21.1%.
- With an inflow of US$ 45.7 billion in 2018, India ranked third globally in terms of investment in travel and tourism, accounting for 5.9% of total investment in the country.
- The Indian government estimates that the country will have 1.2 million cruise visitors by 2030-31. Dream Hotel Group intends to invest approximately $300 million in the cruise sector in India over the next 3-5 years.
- In terms of digital tools used for planning, booking, and experiencing a journey, India is the most digitally advanced traveller nation. The rising middle class and rising disposable income in India have aided the growth of domestic and outbound tourism.
- Pochampally in Telangana was chosen by the United Nations World Tourism Organization as one of the best tourism villages in November 2021.
Who needs a Udyam Certificate in Hotel & Hospitality Business?
In India, the Udyam registration or Udyam certificate is required for micro, small, and medium-sized enterprises (MSMEs) to avail of various government schemes and subsidies. Therefore, any hotel or hospitality business in India that falls under the definition of MSME is required to obtain the Udyam certificate. As per the definition, hotels and hospitality businesses with an investment of up to Rs. 50 crore and a turnover of up to Rs. 250 crore are considered as MSMEs. Therefore, if your hotel or hospitality business falls within this category, you will need to obtain a Udyam certificate. Hotels and the hospitality industry are integral parts of one of India’s fastest growing industries. This is due to an increasing number of people opting for travel and tourism.
Lifestyles are changing, and they are changing quickly in major cities. These hotels cater to a large number of people. These include pregnant women, ladies, the elderly, and people of all ages. As a result, it is equally important that the quality of food and hygienic practices are maintained in these hotels. To begin operations in India, all hotels must obtain an Udyam registration certificate from the Ministry of MSME. This udyam licence is subject to the terms and conditions outlined in the agreement. The terms and conditions of the MSME Act of 2006 apply to this licence. After obtaining the udyam certificate licence, every hotel, restaurant, bar, and cafe must follow these guidelines. There is a detailed guideline that hotels must follow in order to apply for an udyam License.
The process is entirely online, and all details and documents must be submitted online. After receiving the udyam e-certificate, the hotelier must apply for a new fssai licence, modifications, and duplicate licences as needed. A licence is usually only valid for one year and must be renewed before it expires. Hotels can also apply for either a Central or a State FSSAI licence. It is usually valid for one year and then renewed.
Eligibility Criteria For (Udyam Registration) MSME Registration For Hotel & Hospitality Businesses
The eligibility criteria for MSME registration (formerly Udyam Registration) for Hotel & Hospitality Businesses in India are as follows:
- Business Entity: The hotel or hospitality business must be registered as a legal entity under any of the following: Proprietorship, Partnership, Private Limited Company, Limited Liability Partnership (LLP), or any other form of business entity.
- Investment Limit: The investment limit for micro, small, and medium enterprises (MSMEs) in the hotel and hospitality sector is as follows:
- Micro Enterprise: Investment in plant and machinery or equipment should not exceed Rs. 1 crore and the turnover should be less than Rs. 5 crores.
- Small Enterprise: Investment in plant and machinery or equipment should not exceed Rs. 10 crores and the turnover should be less than Rs. 50 crores.
- Medium Enterprise: Investment in plant and machinery or equipment should not exceed Rs. 50 crores and the turnover should be less than Rs. 250 crores.
- Aadhaar Card: The proprietor, partner, director, or authorized signatory must have a valid Aadhaar card.
- PAN Card: The business must have a valid Permanent Account Number (PAN) card.
- GST Registration: The business must be registered under the Goods and Services Tax (GST) regime.
- Bank Account: The business must have a valid bank account in the name of the business.
Note: These eligibility criteria may be subject to change, and it is recommended to refer to the official government website for the latest information on MSME registration.
| Classification | Investment in plant, and equipment | Turnover |
| Micro enterprise | INR10000000 or less | INR50000000 or less |
| Small enterprise | INR100000000 or less | INR500000000 or less |
| Medium enterprise | INR500000000 or less | INR250000000 or less |
The above are some of the most important requirements for obtaining a Hotel udyam registration certificate. Hotel owners that meet these requirements will be permitted to advance to the next of msme udyam registration process.
Documents Required For Udyam Registration For Hotel
The documents required for Udyam Registration (formerly MSME Registration) for Hotel and Hospitality Industry in India are as follows:
- Aadhaar Card: Aadhaar card of the proprietor, partner, director, or authorized signatory.
- PAN Card: PAN card of the business entity.
- GST Registration Certificate: GST registration certificate of the business entity.
- Bank Account Details: Bank account details of the business entity.
- Business Address Proof: Any one of the following documents can be submitted as business address proof – property tax receipt, rent agreement, electricity bill, telephone bill, or any other utility bill.
- Nature of Business: A brief description of the nature of the hotel or hospitality business, including the activities carried out, products or services offered, and the location of the business.
- Investment and Turnover Details: Details of the investment in plant and machinery or equipment, turnover, and the number of employees.
- Self-declaration Certificate: A self-declaration certificate confirming the accuracy of the information provided.
The above list of documents is indicative and subject to change, and it is recommended to refer to the official website for the latest information on Udyam Registration for the Hotel and Hospitality Industry.
You can begin the online udhayam registration process right away if you have these udyam registration documents for the hotel and hospitality industries. Remember that your phone number must be linked to your Aadhaar card.
Udyam Registration Process for Hotel and Hospitality Industry Business
The new msme registration process for a hotel in India on the udyam registration portal is outlined below. Follow the steps outlined below to obtain certification from the Ministry of MSME.
Step 1: Go to the Udyam registration portal
Step 2: Correctly complete the Udhayam Registration Application form.
Step 3: Pay for your registration online service.
Step 4: One of the udyam executives helpline will begin the MSME Udyam registration process.
Step 5: You will receive an Udyam registration number at your registered email address within a few working hours.
Note: You will receive the OTP during the process, which you must share with our executive for further processing. If you have already registered your Hotel at the Ministry of MSME and want to convert your Udyog Aadhar certificate to an Udyam certificate, please visit https://udyamregistrationform.com/udyog-aadhar-to-udyam/.
Benefits of Udyam registration for Hotel and Hospitality Industry Business
The benefits of Udyam registration (formerly MSME registration) for Hotel and Hospitality Industry business in India are as follows:
- Access to Government Schemes and Subsidies: Udyam registration provides access to various government schemes and subsidies, including financial assistance, credit facilities, and tax benefits.
- Collateral-free loans: MSMEs registered under Udyam can avail of collateral-free loans from various banks and financial institutions.
- Priority Sector Lending: Udyam registration helps in availing of priority sector lending, which means banks have to allocate a certain percentage of their lending to the MSME sector.
- Concession on Electricity Bills: MSMEs registered under Udyam can avail of a concession on electricity bills.
- Exemption from Stamp Duty: Udyam-registered MSMEs can avail of an exemption from stamp duty and registration fees for various transactions.
- Protection against Delayed Payments: Udyam registration provides protection against delayed payments from buyers, and the buyer is liable to pay interest on the delayed payment.
- Tender Participation: Udyam-registered MSMEs are eligible to participate in government tenders reserved for MSMEs, which helps in increasing business opportunities.
- Brand Building: Udyam registration helps in building the brand of the hotel or hospitality business and provides recognition as an MSME.
Note: The above list of benefits is indicative and subject to change, and it is recommended to refer to the official government website for the latest information on the benefits of Udyam Registration for the Hotel and Hospitality Industry.
Frequently asked question & answer
How to apply for a Udyam Registration for Hotel in India?
For udyam registration process for Hotel is very simple, visit udyamregistrationform.com, fill out the form, make the online payment and within 1-2 working hour receive your udyam registration certificate with unique number.
What is the msme udyam certificate for Hotel business?
Here is the sample Hotel and hospitality business msme udyam certificate for your review.
Can Hotel’ owners apply for udyam registration certificates?
Yes, Hotel’ owners can apply for udyam registration certificates.
How do I register my Hotel on MSME?
To register your hotel with MSME, go to the udyam registration portal, fill out the application form, pay the processing fees, and an executive will verify your business details and issue you an udyam certificate.
Is udyam registration mandatory for hotel services?
Yes, hotels and hospitality service businesses in India should register with the msme udyam registration portal so they can avail various government benefits.
Can Hotel business edit udyam registration?
Yes, Hotel businesses can edit and update their udyam registration certificate online.
How to do udyam registration for a Hotel company?
For registering your Hotel company on udyam registration portal visit the official platform, fill out the udyam registration form correctly and verify it with your registered aadhar phone number. And within you will get an email of your udyam registration certificate. The Udyam registration consultancy firm is dedicated to assisting entrepreneurs and small business owners in establishing, managing, and growing their businesses while remaining financially secure.
Our goal is to educate the entrepreneur on legal and regulatory requirements, as well as to be a partner throughout the entire business life cycle, assisting at every level to ensure that the firm remains compliant and grows. Udyam registration helpline can assist you in opening a Hotel in India with an udyam certificate. If you can’t find what you’re looking for, please contact us using the application udyam form above; our customer service executive staff will be happy to help. Furthermore, if you require any assistance with the MSME Udyam Registration, please contact our business udyam advisors at 93472 86790.
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Benefits of Udyam Registration
New MSME Classification – Micro Small Medium Enterprises
Online Udyam Registration Portal
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