The Government of India recently launched the Udyog Aadhaar Registration online process to boost small-scale companies in the country. However, Aadhaar Udyog Registration is currently going to Udyam Registration. To obtain the government’s benefits for MSMEs, they must apply for Udyam Registration.
What is Udyog Aadhar?
Udyog Aadhaar, a 12-digit Unique Identification Number (UIN), simplifies registration for the small business sector. The Government of India’s Ministry of Micro, Small, and Medium Enterprises (MSMEs) issues Udyog Aadhaar.
In September 2015, the Udyog Aadhaar Scheme began. More than 87 lakh Udyog Aadhaar registrations have been made across the country.
Is there a difference between Udyog Aadhaar registration and MSME registration?
No, there is no difference between Udyog Aadhaar and MSME registration.
Features of Udyog Aadhaar
The following are the main features of Udyog Aadhaar:
- The simple and free registration process.
- Document submission is not required.
- Possibility of submitting and over one Udyog Aadhaar.
- There is a self-declaration option available.
Registration for Udyog Aadhaar
The Udyog Aadhaar system allows for free registration. There are two ways to register for Udyog Aadhaar:
Registration without an Aadhaar number
Aadhaar-based registration
The guidelines are listed below for both registration processes:
1.Registration without an Aadhaar number
If an applicant begins to apply for Aadhaar, it is necessary to follow the instructions.
- Apply for Aadhaar enrolment if you are eligible under Section 3 of the Aadhaar Act.
- MSME-DI or DIC, however, must file the UAM registration upon production of the following documents –
- Present your Aadhaar Enrolment ID slip or a copy of your Aadhaar enrolment request.
- One of the following documents is required: a voter ID card, a driver’s license, a passport, a bank passbook with a photograph, a PAN card, and so on.
2.Registration with an Aadhaar number: If you currently have your Aadhaar, you can proceed with the steps outlined below.
- Step 1: Go to the Udyog Aadhaar official website.
- Step 2: On the home page, you will see a field where you can enter your Aadhaar number. Then enter your name and click the ‘Validate and Generate OTP’ button.
- Step 3: An OTP will appear on the phone number associated with your Aadhaar card.
- Step 4: After entering the OTP, you will turn on to a new form, which you must complete and submit.
- Step 5: You will receive another OTP, which you must enter to submit your application.
Criteria for Udyog Aadhaar Eligibility
Udyog Aadhaar registration is open to all small, medium, and micro enterprises in the manufacturing or service sectors.
Requires documentation for Udyog Acadhaar Registration
The submission of documents would not be necessary for the Udyog Aadhaar registration online process. Please keep your documentation in the safe on hand as it will not be essential to provide the information at the time of registration.
The following are the documents:
- Aadhaar card or Enrollment ID slip
- Photographic bank passbook
- Voter identification card
- Passport
- PAN number
- Driver’s license
- A government-issued employee identification card (if any)
- Certificate of Caste.
In addition to the documents listed above, you may have to produce additional documents based on the requirements.
The Advantages of Udyog Aadhar Registration
The applicants will benefit from all government programs, including easy loans, loans without guarantees, and loans with subsidized interest rates when registering their MSME.
The applicant will acquire financial support so they can exhibit their goods at an international exhibition.
The applicant is also going to be qualified for government welfare.
Registration for the business name allows bank accounts associated with the business name to open without problems.
Additionally, applying for government microloans and other similar advantageous programs for businesses would be authorized.
Fees for Udyog Aadhar Registration
Udyog Adhaar Registration will not be subject to a fee. Udyam Registration will necessitate the use of an Aadhaar number. The proprietor’s Aadhaar number is mandatory for proprietorship businesses; the managing partner’s number is a requirement for partnership businesses, and its Karata number applies for Hindu Undivided Families (HUF).
What is MSME Registration?
MSME registration is required for any business for any company to start legal operations. The registration process is free, paperless, and based on self-declaration. It falls into two categories: manufacturing enterprises and service enterprises.
How Do I Apply for MSME Registration?
Businesses that want to take advantage of the government’s MSMEs benefits must register on the ‘Udyog Aadhaar Memorandum (UAM) portal.’ The registration process is straightforward and accessible for all users.
To sign up for your company online, follow the steps below:
- Step 1: Go to the Udyam registration Portal and fill out the required form.
- Step 2: If this is your first time registering your business as an MSME, click on the first link on the page.
- Step 3: Enter your Aadhaar number and name, then click ‘Validate & Generate OTP.’
- Step 4- Once the document is validated, you must enter your PAN information. If you do not yet have a PAN card, select No.
- Step 5- After that, you have to complete the form with field numbers 5-24.
- Step 6- An OTP request will be sent to your phone once more at the end of the form. To successfully apply, enter the OTP and the verification code.
- Step 7- Upon successful registration, an “Thank You” message with a Registration Number will appear. Keep that number on hand for future use.
- Step 8- After submitting the application form, the approval and registration process can take up to 2-3 days.
- Step 9- If the application is approved, the application begins, and the MSME certificate will e-mail to you.
How to Register an MSME Without an Aadhaar Card
The applicant who does not have an Aadhaar card by section 3 of the act comes first. The UAM registration must filed with the respective DIC or MSME-DE until the individual receives the Aadhaar.
In the meantime, the user can provide the documents listed below as an alternative form of identification.
Copy of Aadhaar enrollment.
Copies of Aadhaar enrollment requests.
Voter ID, passport, driving license, PAN card, employee ID, and bank passbook are all acceptable forms of identification.
The Advantages of MSME Registration
Here are the five benefits:
- Bank loans with the lowest interest rates.
- MSMEs have quick access to credit.
- The state government is available.
- For the unpaid amount, there is a one-time agreement fee.
- ISO certification compensation.
As we are all aware of the Benefits of UDYOG AADHAAR Registration and MSME Registration, Now is time to talk about the Benefits of Udyog AADHAR/MSME Registration Online in Brief.
The Advantages of Online Udyog AADHAR/MSME Registration
Depending on your business, you might take advantage of an excise benefit plan and be exempt from paying some direct taxes during the first few years of operation.
MSME registration online allows you to clear pending payments quickly.
MSME registration online provides a 50% discount on trademark and patent registration fees.
Financial institutions such as banks recognize MSMEs and have created special programs for them. Perhaps it excludes need-based lending, which suggests there is a high likelihood that your company will receive credit approval and lower bank financing charges.
You can access the Mudra loan program through your MSME registration online.
Some states exempt sales tax, in addition to the authority, taxes, and access to state-run industrial estates. Not only that, but the central government occasionally offers various schemes.
Conclusion
Finally, the Udyog Aadhar is a valuable document suited to government agreements and tenders. It also makes it much easier to apply for federal subsidies and a business loan with no collateral.