Udyam Verification vs. Employment Verification: What HR Needs to Know

Udyam verification and employment verification are often confused—they serve different purposes and are used in different contexts. HR teams should understand both to ensure they're using the right verification for their need. This guide clarifies the difference.

Udyam Verification

Confirms MSME registration with the Indian government. Validates that a business is registered under the Udyam scheme. Used for vendor onboarding, MSME benefits, government tenders, and compliance. Verifies a business entity, not an individual's employment history.

Employment Verification

Confirms an individual's work history—where they worked, when, in what role. Used for hiring decisions, background checks, and credential validation. Verifies a person's employment, not a business's registration.

When to Use Each

Udyam: Vendor/supplier onboarding, MSME compliance, government contracts. Employment: Hiring candidates, background checks for employees. Different use cases require different verification. Some BGV providers offer both. Ensure you're using the right one.

True Probe

True Probe specializes in employment verification—individual work history for hiring. For Udyam verification, consider providers with that specific capability. Match the verification to the need.