About the MSME Classification
This MSME classification checker tells you whether your enterprise counts as Micro, Small or Medium under the Udyam framework. Enter your investment in plant and machinery or equipment and your annual turnover, and the tool returns the class, highlights the matching row in the limits table and summarises the benefits that class typically opens up.
It is useful for business owners applying for or updating Udyam registration, for enterprises that are growing and want to know when they will move to the next class, and for accountants, bankers and consultants who need a quick classification while assessing eligibility for priority-sector lending, credit guarantee cover or public-procurement benefits.
Classification uses two tests together. The tool applies the limits described as effective from FY 2025-26: Micro up to ₹2.5 crore investment and ₹10 crore turnover, Small up to ₹25 crore and ₹100 crore, and Medium up to ₹125 crore and ₹500 crore. Both conditions must hold, so whichever figure is higher decides your class.
How to use it
- 1Enter your investment in plant and machinery or equipment, in rupees.
- 2Enter your annual turnover, in rupees.
- 3Read your classification and check the highlighted row in the limits table.
- 4Review the benefits listed for your class, then register or update your details on the official Udyam portal.
How this is calculated
Micro: investment ≤ ₹2.5 crore AND turnover ≤ ₹10 crore. Small: investment ≤ ₹25 crore AND turnover ≤ ₹100 crore. Medium: investment ≤ ₹125 crore AND turnover ≤ ₹500 crore. Both conditions must be met for a class; if either figure exceeds the limit, the enterprise moves to the next class. Beyond the Medium limits it falls outside the MSME definition.
Frequently asked questions
What are the limits used by this MSME classification checker?
Micro: investment up to ₹2.5 crore and turnover up to ₹10 crore. Small: up to ₹25 crore and ₹100 crore. Medium: up to ₹125 crore and ₹500 crore. The tool describes these as the revised limits effective from FY 2025-26. The government revises the definition from time to time, so confirm the current limits on udyamregistration.gov.in.
My investment is within the Micro limit but my turnover is not. Which class am I?
Both conditions must be satisfied for a class. If your investment is within the Micro limit but your turnover is between ₹10 crore and ₹100 crore, the checker classifies you as Small. In other words, the higher of the two parameters decides the class, which mirrors the composite criterion used for Udyam registration.
What counts as investment in plant and machinery or equipment?
Broadly, it is the value of plant, machinery and equipment as reflected in your income-tax return; land, buildings, furniture and fittings are generally left out. A new enterprise without a return relies on self-declaration. The detailed computation rules are given in the Udyam notification, so check them or ask your accountant before entering the figure.
Is export turnover counted for MSME classification?
Under the Udyam rules, turnover from exports of goods or services is excluded when turnover is reckoned for classification. The checker simply uses the turnover figure you type in, so enter your turnover net of exports if you want the result to reflect how the Udyam portal would classify your enterprise.
Does this tool register my business as an MSME?
No. It only classifies your enterprise from the two figures you enter. Registration itself is done on the government's Udyam portal, which charges no fee and works on self-declaration linked to your Aadhaar and PAN. Once registered, keep your details updated there, because your class is reviewed using the figures you report.
What happens if my business crosses the Medium limits?
If either figure exceeds ₹125 crore of investment or ₹500 crore of turnover, the checker shows the enterprise as beyond MSME. MSME-specific benefits then stop applying, although startup, industrial or state policies may still be relevant. Use the scheme eligibility checker to see which routes remain open to a larger business.