diff --git a/internal/controller/managedcluster_controller.go b/internal/controller/managedcluster_controller.go
index de9629b9d..7894e5afa 100644
--- a/internal/controller/managedcluster_controller.go
+++ b/internal/controller/managedcluster_controller.go
@@ -49,6 +49,7 @@ import (
 	hmc "github.com/Mirantis/hmc/api/v1alpha1"
 	"github.com/Mirantis/hmc/internal/helm"
 	"github.com/Mirantis/hmc/internal/telemetry"
+	"github.com/Mirantis/hmc/internal/utils"
 )
 
 const (
@@ -396,12 +397,21 @@ func (r *ManagedClusterReconciler) updateServices(ctx context.Context, mc *hmc.M
 		}
 
 		opts = append(opts, sveltos.HelmChartOpts{
-			RepositoryURL:  source.Spec.URL,
+			RepositoryURL: source.Spec.URL,
+			// We don't have repository name so chart name becomes repository name.
 			RepositoryName: tmpl.Spec.Helm.ChartName,
-			ChartName:      tmpl.Spec.Helm.ChartName,
-			ChartVersion:   tmpl.Spec.Helm.ChartVersion,
-			ReleaseName:    svc.Name,
-			Values:         svc.Values,
+			ChartName: func() string {
+				if source.Spec.Type == utils.RegistryTypeOCI {
+					return tmpl.Spec.Helm.ChartName
+				}
+				// Sveltos accepts ChartName in <repository>/<chart> format for non-OCI.
+				// We don't have a repository name, so we can use <chart>/<chart> instead.
+				// See: https://projectsveltos.github.io/sveltos/addons/helm_charts/.
+				return fmt.Sprintf("%s/%s", tmpl.Spec.Helm.ChartName, tmpl.Spec.Helm.ChartName)
+			}(),
+			ChartVersion: tmpl.Spec.Helm.ChartVersion,
+			ReleaseName:  svc.Name,
+			Values:       svc.Values,
 			ReleaseNamespace: func() string {
 				if svc.Namespace != "" {
 					return svc.Namespace
diff --git a/internal/utils/helm.go b/internal/utils/helm.go
index 6ed9bfa56..016282055 100644
--- a/internal/utils/helm.go
+++ b/internal/utils/helm.go
@@ -20,8 +20,8 @@ import (
 )
 
 const (
-	registryTypeOCI     = "oci"
-	registryTypeDefault = "default"
+	RegistryTypeOCI     = "oci"
+	RegistryTypeDefault = "default"
 )
 
 func DetermineDefaultRepositoryType(defaultRegistryURL string) (string, error) {
@@ -32,9 +32,9 @@ func DetermineDefaultRepositoryType(defaultRegistryURL string) (string, error) {
 
 	switch parsedRegistryURL.Scheme {
 	case "oci":
-		return registryTypeOCI, nil
+		return RegistryTypeOCI, nil
 	case "http", "https":
-		return registryTypeDefault, nil
+		return RegistryTypeDefault, nil
 	default:
 		return "", fmt.Errorf("invalid default registry URL scheme: %s must be 'oci://', 'http://', or 'https://'", parsedRegistryURL.Scheme)
 	}
diff --git a/templates/provider/hmc/templates/rbac/controller/roles.yaml b/templates/provider/hmc/templates/rbac/controller/roles.yaml
index 198058ce0..739a355e3 100644
--- a/templates/provider/hmc/templates/rbac/controller/roles.yaml
+++ b/templates/provider/hmc/templates/rbac/controller/roles.yaml
@@ -182,4 +182,3 @@ rules:
   verbs:
   - get
   - list
-