UDYOG AADHAAR/MSME REGISTRATION

• With the motive to provide the various kinds of exemptions, subsidies & incentives and to promote the Medium, Small and Medium Enterprises (MSME) and Small Scale Industries (SSI) Sector, The Ministry for Micro, Small and Medium Enterprises, Government of India had in September’2015 notified Udyog Aadhaar, to start a business with a single-page registration form. It is also known as Aadhaar for Business.

• The concept of Udyog Aadhaar and ease of registration have thus originated to ensure wider coverage of MSME’s and SSI’s to avail the benefits under various Schemes issued by Central/ State Governments, it is the new way of getting MSME registration. Udyog AADHAAR is a self-declaration form under which the MSME will self-certify its existence, promoter/owner’s Aadhaar details, bank account details, Investment declaration and other minimum information as required. After the successful registration on the portal the Ministry issued 12 digits Udyog Aadhaar Memorandum (UAM) Number. There is no government fee for Udyog Aadhaar registration.

• Under this in India financial assistance is available for MSME’s and SSI’s units from a variety of institutions. The important ones are:
  • Commercial/Regional Rural/Co-operative Banks.
  • SIDBI: Small Industries Development Bank of India (re-finance and direct lending).
  • SFCs/SIDCs: State Financial Corporation’s (e.g. Delhi Financial Corporation)/ State Industrial Development Corporations.

• On 13th May, 2020 the Finance Minister of India Mrs. Nirmala Sitharaman announce via press conference revised definition of MSME’s which are as under:

• Who Can Apply for Udyog AADHAAR:-

With certain conditions this is only for those Entities who are classified as a micro, small or medium enterprise as per the above table based on investment in plant and machinery and Annual Turnover. Entity can be a proprietorship, partnership firms, LLPs, & companies etc.

• Benefits from Udyog AADHAAR/ MSME Registration:-

There are numerous benefits available of this registration for the Growth and Developments of the micro, small or medium enterprise which are as follows:-

• Quick Accessibility of Collateral Free Bank loans with low interest rate.
• Protection against delayed payments.
• Fast Resolutions of Disputes.
• Eligible for government schemes and subsidies that will help in increasing revenue and growth.
• Concession in electricity bills.
• Reimbursement of payment made for obtaining ISO registration.
• Eligible for financial support from the Government to participate in the foreign exhibition.
• Reduction in fee for filing barcodes, patents, trademarks and copyrights.
• 15% subsidy under CLCSS scheme for technology upgradation.
• Eligible for Industrial Promotion Subsidy (IPS).
• Preference in allocation of Government tenders.

                                                   and many more……….

• Documents and Information required for Registration of Udyog AADHAAR:-
  • Promoter/Owner’s Personal Aadhaar number
  • GST Registration Certificate
  • PAN Number
  • Email Id of Business
  • Contact No
  • Category of applicant
  • Type of Organisation
  • Bank Details
  • Key Activity
  • Total investment made in the organization
  • National Industrial Classification code (NIC code)
  • Details of District Industry Centre (DIC)
  • Date of commencement etc.

Disclaimer:- The contents of this document are solely for informational purpose. It does not constitute professional advice or a formal recommendation.