Indian micro, small, and medium businesses are crucial to the development of the Indian economy. As per the All India Management Association ( AIMA ), the MSMEs’ contribution to India’s Gross Domestic Product will reach 40% by 2025. Given the importance of micro, small, and medium enterprises, the Government To help MSMEs in India grow, the Indian government has developed the Udhyog Aadhar Facility.
The Udyog Adhar is an identification system specifically designed for these businesses. A facility of the Micro, Small, and Medium Enterprises Ministry was launched in 2015. A Udyog Adhar certificate is a certificate with a 12-digit registration number similar to the Adhar card. A Udyog Aadhar Card provides small and medium-sized businesses in India with the ability to take advantage of being a small and medium-sized business. From 2022 onwards, the Udyog Aadhar Registration will be migrated to Udyam Registration.
The importance of Udyog Aadhar Registration to Small Businesses
In 2007 the Udyog Adhar was launched to streamline the registration process for Small Scale Industries (SSI) and Micro, Small, and Medium Enterprises (MSMEs). With an Udyog Aadhar Certificate, businesses can benefit from government schemes, subsidiaries, and instant loan approvals. Udyog Adhar registration offers significant benefits to SSIs and MSMEs, but migration to Udyam Registration is the only way to access these benefits. In any case, businesses will need to re-register through Udyam Registration.
Who are the Udyog Aadhar Memorandum?
Known as the Udyog Aadhaar Memorandum, this document authenticates the existence of the Udyog Aadhar Certificate owner. Specifically, it contains all the information of the respective Udyog Aadhar Certificate owner, such as the Aadhar card details, bank account details, and so on. Businesses do not have to pay any fees in order to register under the Udyog Aadhar Memorandum. It is called a self-declaration form because it is self-certified. Documents don’t have to support the form. In extreme cases, the central or state authorities may, however, request documentation.
Udyog Aadhar Registration Benefits.
One of the significant benefits of the Udyog Aadhar Certificate is the reduced cost of starting a business. But getting an Aadhar card for all SSIs has a number of advantages. These are explained below.
- The patent registration grant provides SSIs with up to 50% of the grant.
- SSIs and MSMEs can obtain bank loans at low-interest rates readily.
- Obtaining licences and registering businesses becomes easier with Udyog Aadhar Certificates.
- SMEs and SSIs can benefit from tax rebates and concessions through Udyog Aadhar certificates.
- The certificate allows SSIs and MSMEs to get concessions for utility payments such as registration fees, electricity bills, and ISO certification reimbursements.
- Companies are able to get various government subsidies within a short period of time.
- MSMEs and small and medium-sized enterprises are eligible for rebates on tariffs.
- Foreign expo participation is financially supported for small industries.
- Furthermore, all of these small businesses are also eligible for extended credit facilities and business extension support.
- All SSIs or MSMEs receive marketing assistance, capital assistance, and/or excise exemption.
All these benefits are available to SMEs and SSIs who operate in their respective fields. Besides that, the registration process for the Udyog Aadhar Certificate is hassle-free and free of charge.
How to sign up for Udyog Aadhar
From the 1st July 2020, the Udyog Aadhar registration process will be renamed Udyam Aadhar registration. The registration process for Udyog Aadhar Certificates is free of charge. Registering for your Udyog Aadhar number is completely online. To register for the same, you will need to follow these steps:
- Udyam Registration Portal is the official website.
- The selection you make will depend on whether you wish to create a new registration, re-register, or migrate to Udyam Aadhar.
- By selecting the appropriate option, you will reach the Udyam Aadhar form.
- When you complete all the details, you will receive a code to verify your account.
- Once everything has been verified, you will receive an email with your application reference number.
- The registration process for the same requires businesses to provide basic information including the owner’s Aadhar Card number, address, bank details, industry name, etc.
How do you print or download the Udyog Aadhaar or MSME registration certificate online?
To obtain Udyog Aadhaar and MSME Registration Certificates, you need to follow the steps that are given below:
- Below are the steps that you need to follow in order to print or download your Udyog Aadhar Certificate or the MSME Certificate:
- For enterprises to complete the verification process, they must add their respective mobile phone number or email address and verify with a One-Time Password (OTP).
- In the Udyog Aadhar Certificate data, enterprises should verify all their information after they have completed the entire verification process.
- After ensuring that all the data is correct, enterprises can print or download Udyog Aadhar Certificate data.
Taking Away Points
India introduced the concept of the Udyog Aadhar Certificate or Udyam Aadhar Certificate in 2015. It was undertaken to accelerate the growth of all small-scale industries (SSIs) and micro, small, and medium enterprises (MSMEs). Upon undergoing the registration, small business owners enjoy a variety of benefits including subsidies, tax exemptions, loans at a lower interest rate, loan waivers, and whole or partial cancellation of utility bills. In order to receive your Udyog Aadhar Certificate, if you are an owner of a small business under SSIs or MSMEs, you could register right now!
With Vakilsearch, small businesses and enterprises are able to register, fill out accounts and documents, among other things. You can reach out to us for your Udyog Aadhar registration process to run smoothly without causing any discrepancies. With our team, we will assist you in completing the registration process and obtaining your Udyog Aadhar Certificate in a timely manner. Come visit us today!