For small and medium-sized enterprises (MSMEs), the ability to sell goods and services to government organisations can create new business opportunities. A Government e-Marketplace (GeM portal) provides a marketplace for government buyers to discover and purchase products and services from verified sellers.
For MSMEs, the ability to register on this platform can facilitate visibility to potential government buyers and support participation in the procurement process.
Although the platform requires sellers to apply online, businesses must ensure that their identity, tax, banking and organisation details are complete and accurate.
This article discusses the key steps for the platform registration for MSMEs, the documents required for the process, and other relevant details sellers must consider while registering.
Introduction
The Government e-Marketplace is a public procurement marketplace where government agencies acquire goods and services. Businesses can register as sellers on the platform and list their products and services for sale.
According to the platform’s seller guidelines, the seller’s procedure consists of three primary tasks: creating a user credential, completing the profile, and adding products or services to the catalogues. Additionally, GeM portal registration for MSMEs is free of charge, and the platform’s seller guidelines confirm that the procedures of applying, registering, and creating a catalogue are free of cost. In essence, the platform can provide MSMEs with an additional avenue for selling eligible products and services to government agencies.
Why MSMEs Should Consider Registering
The procedure of registering on the platform can be beneficial for MSMEs that are interested in tapping into the government procurement market.
Below are some of the benefits of registering on the GeM portal:
Access to the government procurement market
Online marketplace for buyers
Opportunities to bid on applicable tenders and reverse auctions
Easy digital submission of business and product/service information
An organized procurement environment
Potential to diversify revenue streams beyond private buyers
On the other hand, the platform’s registration procedure does not guarantee sales, and each potential buyer must evaluate their eligibility and other requirements for each government procurement opportunity.
Document And Information Required For MSMEs To Open A Gem Account
Before proceeding to apply, businesses should complete the required details and prepare the mandatory documents identified by the portal’s seller guidelines.
The GeM portal seller guidelines identify the PAN, Aadhaar, mobile number linked to Aadhaar if applicable, and an active email address as mandatory details for individual sellers. Organization data also includes business PAN, constitution, and incorporation or registration particulars, as applicable.
Depending on the organization’s constitution, businesses may be required to provide the following documents:
Aadhaar or PAN of the authorised signatory
Active mobile number
Active email address
Business PAN
Organisation’s constitution
Date of Incorporation / Registration
CIN, if applicable
Income-tax return information, if applicable
Bank details
Office address
Product/service catalogue
Eligibility documents, if any
MSME/Udyam details, if any
In essence, the portal’s seller guidelines confirm that the data and documents would vary depending on an organisation’s constitution and activities.
Step-By-Step GeM Registration For MSMEs
Step 1: Navigate to Gem Seller Registration Page
Navigate to the gem platform seller registration page and ensure that users only apply through the plattform and not unverified websites offering to assist with payments, among other services.
As per the portal’s seller guidelines, users should note that GeM registration is free.
Step 2: Select Preferred Seller Registration
Click on the preferred option to register as a seller. The process requires prospective sellers to provide the following details on the authorised signatory:
Organization’s name
The organization’s constitution
PAN
Mobile number
Email address
The seller manual confirms that users must choose their organization’s constitution—proprietorship, company, firm, trust/society, and others.
Step 3: Complete Identity Verification
Complete the identity verification stage by providing Aadhaar or PAN details. When applying with Aadhaar, applicants may be required to provide a mobile number linked to the submitted Aadhaar. On the other hand, providing PAN details may require the exact PAN data to verify the authenticity of the records.
The details provided by the applicants must match the details on government databases to prevent errors in the process.
Step 4: Provide Organization Information
Complete the next step by providing business details, including the organization’s name, type, PAN, date of incorporation, address and other relevant information. Additionally, the process requires applicants to provide contact details, details of the authorised signatory, and other applicable details, including the CIN, where necessary.
As per GeM’s terms and conditions, the platform accesses government databases to verify records provided by sellers, and the organisation’s data must be correct to avoid errors in the process.
Step 5: Set Up User Credentials
Set up the user credentials after completing the verification process.
As per the portal instructions, sellers must save the email address and mobile number for future reference, including receiving communications from the portal, completing additional verifications, and other purposes, including resetting a forgotten password.
Step 6: Update Profile
Update the profile after successfully creating the user account by logging in and completing the set-up process.
As per the seller manual, users must provide complete records, including office address, bank details, experience, and other applicable records.
Like identity verification, profile details are critical for ensuring a smooth process on the portal, including ensuring the accuracy of the information provided by government buyers.
Step 7: Update Banking Information
Update the banking information by providing the details as instructed.
As per portal instructions, sellers must ensure that the provided banking details are accurate to avoid disruptions in the payment process.
Step 8: Add Products Or Services
Add products or services by completing the catalogues and submitting requests to the administrator for approval.
The seller guide references the Catalogue section, which allows registered users to select products or services and update other relevant data, including specifications, brand, model, measurement, price, image, warranty, delivery, and certification, among others.
When submitting product or service information, it is important that the details match the goods or services being sold on the portal.
Step 9: Understand Eligibility Requirements And Conditions For Bids
While the initial process is complete, prospective sellers must understand that GeM portal registration for MSMEs is just the first step towards participating in the government procurement process.
According to the seller guide, the portal provides training material to aid the understanding of the following:
Registering on the portal
Updating product/service catalogues
Bidding process
Order processing
Prior to participating in the bidding or reverse auction process, MSMEs must ensure that they meet the eligibility requirements and other conditions for bidders, including verifying organisational requirements, specifications, quantities, delivery, applicable certifications, and other relevant criteria.
Step 10: Update Information As Needed
As mentioned above, it is critical to update the information on the portal, including ensuring that the business information provided is accurate.
As per the portal’s terms and conditions, sellers must update information on the portal to ensure that the information matches the data on applicable government databases.
This is important since the portal will only accept orders from verified sellers, and the GeM terms and conditions indicate that the information provided by the sellers should be consistent with the information on government databases.
This is particularly important in situations where there are changes to the organisation’s registration details, banking information, tax details, and other relevant information.
Common Mistakes To Avoid While Registering On GeM
There are several mistakes that can complicate the process of registering on the portal or cause disruptions to the selling process.
Below are some of the common mistakes that MSMEs should endeavour to avoid:
Using incorrect business information
Providing incorrect product/service specification
Failure to meet the eligibility requirements for bidders
Incorrect documents
Using the wrong organisation constitution
Only relying on third-party administrators to complete the process
While the portal allows businesses to update the information, it is important to ensure that the documents and data provided are correct.
How Can An MSME Prepare Beforehand?
It is always important to complete the required preparations ahead of time to ensure a smooth process. As such, before registering on the portal, MSMEs should organise their documents, ensure that the business PAN and incorporation information are correct, update banking details, and prepare the relevant information about the product or service.
It is also essential to ensure that the MSME has an understanding of the categories of goods or services that the business intends to sell.
This way, the MSME can update the relevant information about the catalogue rather than randomly adding items with no intention of fulfilling government procurement needs.
MSMEs can also consider using the portal’s learning resources to understand how the process works after registering on the portal.
The link provides training material on various aspects of the portal, including registration, catalogues, bidding, and order processing.
Conclusion
The GeM portal registration can provide MSMEs with an opportunity to participate in the government procurement process through an online marketplace. The process requires sellers to complete the identity and business verification process, update the profile, and provide product or service records for the catalogues.
The most important consideration is that the portal’s registration process cannot guarantee sales, and prospective sellers must ensure that the data provided is correct.
Organizations that intend to sell products or services to government agencies should update correct records, provide accurate product/service data, consider competitive pricing, and understand the requirements for government procurement contracts.
In essence, correct GeM portal registration for MSMEs can enable businesses to consider a wider customer base.
Frequently Asked Questions
1. Is GeM registration free for MSMEs?
Yes, GeM registration is free.
As per the portal’s seller guidelines, the process of registration is free of charge.
2. Can a proprietorship register on GeM?
Yes, proprietorship can register on GeM.
The portal’s seller guidelines allow for organizational constitutions, including proprietorship.
3. Is Aadhaar mandatory for seller registration?
Aadhaar or PAN is mandatory for identity verification, as per the portal’s prerequisites.
4. Does MSME registration on GeM automatically provide government orders?
No, MSME registration on GeM will not automatically provide government orders.
Eligibility for government orders depends on several factors, including procurement requirements, product/service suitability, pricing, and other considerations.
5. Can an MSME sell both products and services?
Yes, MSME can sell both products and services.
The portal provides options for sellers, including product seller, service provider, or both.
6. Are ITR details required?
ITR records may be required for bidders depending on the eligibility criteria.
The portal’s prerequisites confirm that a verified ITR record is mandatory for Bid/RA for applicable entities, as per the exceptions provided in the document.
7. Can a business update its profile on GeM?
Yes, the business can update its profile on GeM by providing the correct information.
As the portal’s terms and conditions confirm, the companies must update correct record on GeM to ensure consistency with the data on government databases.
