MSME Classification in India: What the Official Udyam Criteria Say for a Small Service Business

Clients, tenders and banks often ask which size category your business falls into. The government's Udyam Registration portal publishes the official criteria. This guide quotes them directly so you can check your own numbers.

What the official portal says

An enterprise shall be classified as a micro, small or medium enterprise on the basis of the following criteria, namely:- A micro enterprise, where the investment does not exceed 2.5 crore rupees and turnover does not exceed 10 crore rupees.
A small enterprise, where the investment does not exceed 25 crore rupees and turnover does not exceed 100 crore rupees.
A medium enterprise, where the investment does not exceed 125 crore rupees and turnover does not exceed 500 crore rupees.

How to read this

The statements above are quoted word for word from the official source. Compare your own figures with each limit exactly as written, and confirm your category on the official portal.

Why this matters when you quote

Some clients and buyers ask for your enterprise category before awarding work, so keep your registration details ready when you send a quotation.

Sources

Official source: https://udyamregistration.gov.in/ (retrieved 2026-10-11). Figures can change; always confirm on the source page.

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General information, not legal, tax or financial advice. Confirm GST and legal wording with a qualified professional. Updated 2026-10-11.