PhonePe introduces digital-first Udyam Assist registration: What changes for micro-enterprises

PhonePe has launched a digital-first registration facility for micro businesses on the Udyam Assist Platform (UAP), becoming the first fintech to offer a complete end-to-end digital solution for its merchant base.

The move aims to bring informal micro-enterprises (IMEs) into the formal economy by providing them with Udyam Assist Certificates, which serve as a formal business identity.

With this registration, micro-business owners can access government schemes, open business bank accounts, avail tax benefits, and become part of the digital payments and financial services ecosystem.

PhonePe also signed a memorandum of understanding with SIDBI to enable credit access for registered merchants by integrating lending solutions with the UAP.

According to SIDBI, the Udyam Assist Platform has issued over 2.75 crore certificates to small businesses in the past two years. The new digital integration with fintech platforms is expected to accelerate the formalisation of informal businesses and ease the flow of credit to them.

The new initiative will enable smooth participation in digital payments and financial services.

How were they registering before?

Until now, most registrations were handled by designated agencies and banks through semi-digital or offline processes. Merchants had to depend on intermediaries, often requiring physical paperwork and visits.

With PhonePe’s digital-first option, the entire process moves online within the app, reducing paperwork and speeding up certificate issuance.

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