“Minimum Government and Maximum Governance” this is the slogan of present government. To give weight to these words, government has been taking various initiatives to make things more transparent and reduce the interference of middle men so that the benefits can reach the intended beneficiary. Jana Dhana Yojana, AYUSHMAN Yojana, Loan schemes for MSMEs are some of the many initiatives taken by government. One of such initiatives that we are going to discuss today is “GeM, i.e. Government E-Market place”. This is actually to bring transparency to Government procurements. In this article we will understand the procedure and relevance of GeM seller registration, but first let us introduce GeM to our readers.
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GeM- Salient Features and Objectives
GeM, i.e. Government e Marketplace is an online platform for government procurement in India that was introduced in 2016. The sellers who wish to sell their goods to Government of India can register on this portal and enter the market by taking GeM seller registration. The salient features of this portal are:-
- Contactless, paperless and cashless marketplace.
- Has increased the transparency and visibility in government procurement
- It has launched various initiatives for different sectors of society like- women entrepreneurs, new startups etc.
- The portal is available both for buyers and sellers.
The importance of GeM in the market can be well-interpreted from following data.
Why you should register as GeM Seller?
GeM is a government portal, so in terms of security it cannot be questioned. There are various other benefits that you may derive if you register yourself as a GeM seller-
- Access to Nation Wide Market
- Special provisions for startups, MSMEs etc.
- Easy process and documentation for participating in bids.
- Online grievance redressal mechanism available for sellers
- The platform is online, paperless and contactless.
- Prices can be monitored and changed according to market conditions.
- Brand Listing option also available.
GeM will definitely give a big boost your business as it has also got incentives along with the recognition that any business wants.
So now, let us see required documents for taking GeM seller registration
Is Enrolment to the Portal Free?
The enrolment to portal is completely free; however caution money needs to be deposited that vary on the basis of turnover of the seller.
Also there are transaction charges that vary according to SMV (Seller Merchandise Value).
Details required for GeM Seller Registration
The details required for GeM seller registration are-
- Aadhaar Number/ PAN Card of the authorized person
- PAN of the Business
- Verified Income Tax Returns for past 3 years. For entities incorporated or started less than 3 years ago, number of ITR’s as available.
- Bank Account Details
- Complete Registered Office Address with email and phone number.
- GSTIN number, if you wish to accept orders beyond Rs.2.5 lakhs
- Experience details about earlier business transactions with government.
- In case of Startup- DIPP number and in case of MSE- UAM number( Udyog Aadhaar Memorandum Number)
- Verification of Key Person information as per ITR records
Procedure for GeM Seller Registration
There is no need to visit any office or submit any documents, the process is fully online. GeM portal allows two types of seller registration.
- Primary Seller Registration
- Secondary Seller Registration
As the name suggests, one entity will have only one primary seller registration, but there can be multiple seller registrations depending on the needs of the business. The GeM seller ID for primary will have all the authorizations relating to business transactions and other details to be carried out on portal. The secondary seller can be created only by the primary seller and authorization like Participation in bid, catalog creation, purchase requisition and purchase requisition can be assigned to the secondary seller.
- Go to portal GeM.gov.in
- Select Signup option on the top right of the window and select “Seller” from dropdown
- A web page with “Create your Organisation Seller Account” opens. Click on review terms and conditions button.
- Read the terms and conditions and tick the check box
- Select “ Business Organisation type”- Proprietorship, Firm, Company, Trust/AOP/Society, Central/State Government.
- The portal will then ask Aadhaar/PAN authentication.
- After authentication, a form will appear and all details need to be entered in that form.
- An activation link will be sent to the mail ID and the account can be activated using the link.
- Complete the registration process by providing all other required details as mentioned above.
- A bank account should be created, that has to be linked to GeM portal for all the transactions. The caution money needs to be deposited in that bank account.
- After that the seller is required to update the dashboard with the products and services that he wishes to sell.
Vendor Assessment is done by the portal to ascertain the authenticity of vendor and his products. It is part of vendor validation process. It provides buyers a facility to choose the seller.
GeM seller registration is very simple process as just providing simple and basic details, one can become a seller to government. It also provides PAN India visibility to the business. As there are no major charges involved, as you need to pay only as you earn. Moreover, as the portal is owned and managed by government there is minimal chances to fraud. So getting a GeM seller registration is a good option to expand the boundaries of your business.