GeM Readiness India.
Know exactly where you stand.

Any registered Indian business entity — proprietorship, partnership, private limited company, LLP, cooperative, or self-help group — can register as a seller on GeM. Key prerequisites: (1) Valid GST registration; (2) PAN of the entity or proprietor; (3) Current bank account for payment; (4) Udyam Registration (for MSMEs — provides additional preference in GeM procurement); (5) DPIIT Recognition (for startups — provides additional procurement preferences). Certain product categories require additional certifications (BIS, ISO) which must be in place before those products are listed.

GeM covers a wide range of products (goods) and services. Major categories: IT products (laptops, printers, servers, software licences), office supplies and furniture, vehicles, medical equipment, industrial machinery, construction materials, textiles and uniforms. Services: transportation, cleaning and housekeeping, manpower services, security services, IT services, consulting services. Each category has specific compliance requirements — for example, IT products require BIS registration, and certain vehicles require government compliance certification. IBEAN helps identify the right product categories and compliance requirements for your specific business.

MSMEs with Udyam Registration get several procurement preferences on GeM: (1) Government buyers have a mandate to procure 25% of their annual procurement from MSMEs; (2) MSME sellers with turnover below ₹1 crore can get an Exemption from Earnest Money Deposit (EMD) in tenders; (3) Purchase preference: in competitive bids, MSMEs can match L1 price (lowest bid) and still win the order if the L1 is a large enterprise; (4) Small tenders up to ₹25 lakh are exclusively for MSMEs; (5) Micro enterprises owned by SC/ST entrepreneurs get additional preference. Udyam Registration is therefore mandatory for any MSME serious about GeM procurement.

GeM mandates that government buyers pay within 10 days of delivery confirmation for goods and 30 days for services. In practice, payment often takes 30–60 days for goods (depending on buyer efficiency and delivery confirmation delays). For MSMEs, this creates a working capital gap — especially for large orders where you pay suppliers upfront and wait for payment. Solutions: (1) GeM MSME Sahay — a TReDS-linked invoice discounting facility for GeM sellers; (2) SIDBI's GeM seller financing — working capital loans specifically for GeM order fulfilment; (3) Pre-bid working capital line from your bank based on GeM order in hand.