UDYOG AADHAR Registration

Udyog Aadhaar Registration in India

With a view to promote ease of doing business in the country the micro,
small and medium enterprises ministry has come up with Udyog Aadhar
after the massive success of Aadhar cards for all citizens of the country.
The abbreviations MSME and SSI stand for the Micro, Small and Medium
enterprises & the Small Scale Industries respectively. MSMEs and SSIs
in India comprise a vast majority of the business & industrial sector and
the economy. The abbreviations MSME and SSI stand for the Micro,
Small and Medium enterprises & the Small Scale Industries respectively.
MSMEs and SSIs in India comprise a vast majority of the business &
industrial sector and the economy.
The following enterprises come under the ambit of MSMEs and SSIs –

 Micro Enterprises: The enterprises engaged in manufacture or

production of goods, where the investment in plant and machinery
is less than INR 25 Lac and in the case of enterprise engaged in
providing or rendering services where the investment is less than
INR 10 Lac.

 Small Enterprises: The small enterprises engaged in manufacture

or production of goods, where the investment in plant and
machinery is more than INR 25 Lac but less than INR 5 Crores and
in the case of enterprise engaged in providing or rendering
services where the investment is more than INR 10 Lac but less
than 2 Crores.

 Medium Enterprises: The enterprises engaged in manufacture or

production of goods, where the investment in plant and machinery
is more than INR 5 Crores but less than INR 10 Crores and in the
case of enterprise engaged in providing or rendering services
where the investment is more than INR 5 Crores but less than 5
Crores.

Reasons to register an Udyog Aadhar registration 

An Udyog Aadhar registration would be very useful for an

entrepreneur working in any of these sectors. Once registered
with MSME, the micro, small or the medium enterprise would be
eligible for all government scheme benefits like without
 guarantee loan, easy loan, loan with low rate of interest. Such
benefits can be provided by COMPANY VAKIL, guaranteeing an
error free service, it being a 100% online registration process.
What we would also look after is making registrations very quick
and hassle free. The enterprises registered under this scheme
receive a lot other benefits. The MSME registered enterprises get
the financial support from the Government to participate in
foreign expo.

For any enterprise, the main problem in building it from scratch

is the funds. Due to new and not reliable startups, funds are also
not readily available. Without funds, they become very difficult to
run, thus when the government is only providing subsidies, then
it would be much easier to run. The enterprise is also entitled for
the Government subsidies. Other benefits include likewise
enabling organizations to apply for government small scale
business advances and other such related valuable plans.
Gives insurance against delay in installment assuming any
determination of dispute
And solution finding rapidly guarantee free advances from banks
elite thought is given
For taking an interest in universal Trade reasonable.

Thus, after much hard work and thought process, the government has
worked very hard in making the cumbersome task so easy. This,
eventually would encourage more and more people to come forward, be
confident about their work and get the udyog Aadhar registered.

 Process for Udyog Aadhaar / MSME /SSI registration in India.

Please do not mention the process of government website
completely, but give a brief of it and conclude it by mentioning
that the service is provided by companyvakil associates.
The process for udyog Aadhar has been made very simple by
companyvakil associates, they provide all the systems easily with
complete accuracy which is extremely reliable also. The
government website provides for a system which is not easily
understandable to a layman. Companyvakil associates help make it
easy for the entrepreneurs where all the documents are asked for
by mail and paves way for an easier and hassle free transaction.
Other parts of the transaction include filling the name of the owner,
providing the caste of the applicant, filling the name of the enterprise by
the name which it is recognised. One applicant can obtain more than one
Udyog Aadhar with the same Aadhar Number, in case of multiple
businesses.
 The proprietor would be supposed to state the type of legal entity
of the business, PAN number would then be entered of a proprietor
in the case of proprietorship, in case of LLP, enter the PAN of the
entity for which udyog Aadhar is sought. Other details include:
Previous Registration Details – Enter details of previous MSME
registration, if applicable.
Bank Details – Enter details of bank account of the company
including IFSC Code and Bank Account Number.
Major Activity – Select major area of activity of the business –
manufacturing or service.
NIC Code – Select the appropriate NIC Code from the National
Industrial Classification (NIC) handbook.
Person employed – Enter the total number of people employed in
the business.
Investment in Plant & Machinery/Equipment – Enter the amount of
money invested in terms of machinery and equipment by the
business. Do not include value of building or land.
DIC – Enter details of the District Industry Center nearest to the
business, if required.
Thus, it is not a very easy system for a layman as it becomes complicated
for the proprietors to understand. These are the matters where
companyvakil takes front stage, making it one of the best in the business
and its associates providing services which are not seen anywhere else,
making the job much easier.
 
 Documents required for Udyog Aadhaar registration 

The following table provides for all the requirements:-

Aadhaar Number Twelve digit Aadhaar number which is issued to the

applicant.

This Aadhaar number in case of Proprietary Enterprise

must be of the Managing partner, of Authorised Partner
for Partnership Enterprise and of Authorised Person for
Other forms of Enterprises

Name of The name of applicant as provided in the Aadhaar Card

Owner/Promoter
Category General / Scheduled Tribe (ST)/ Scheduled Caste (SC) /
Other Backward Castes (OBC)

Business Name Name of the entity under which it is conducting its

business. One applicant could have more than one
enterprises and each one could be registered individually
with the same Aadhaar Number for a separate Udyog
Aadhaar

Type of Type of Business entity or Legal Entity. (Proprietorship,

Organization Partnership Firm, Hindu Undivided Family, Private
Limited Company, Co-Operative, Public Limited Company,
Self Help Group, LLP, Others)

Address Postal Address of the business for communication

purposes including contact numbers and email address

Date of The commencement date of the respective businesses

Commencement

Previous Details of any previous MSME registration

Registration Details
(if any)

Bank Details Banking details of the of the company which includes

Bank Account number and IFSC Code

Key Activity Key areas of activity of the business –service or

manufacturing

National Industrial The NIC Code must be entered from the National
Classification (NIC) Industrial Classification handbook. The Applicant might
Code select multiple National Industrial Classification-2008
(NIC) Codes for including all of its activities.

Number of persons The number of employees in the business

employed

Investment in Plant Total amount investment in terms of machinery and

& Machinery / equipment by the business
Equipment

District Industry The details of the DIC (District Industry Center) nearest to
Center (DIC) such business, if needed

 Advantages & Benefits of Udyog Aadhaar registration  

 The Udyog Aadhaar has brought with it a lot of benefits. After
registering their MSME, the applicant will receive the benefits of all
the government schemes such as an easy loan, loan
without guarantee, loans with subsidized rates of interest etc. The
applicant will receive financial support for participating in foreign
expos to showcase their products. The applicant will also be eligible
for government subsidies. Registration would facilitate hassle-free
opening of current bank accounts in the name of the business. It
would also allow businesses to apply for government micro business
loans and other such related beneficial schemes. Company vakil
provides all institutions an opportunity for udyog Aadhar registration
at a very good rate and one of the most reliable services in business-
Udyog Aadhar Registration give you lot of the benefits from the
MSME Department which are following -
Once you are registered under the MSME, you are eligible for the all
most of the government scheme regarding the funding like 
a) Without Guarantee Loan
b) Easy Loan
c) Low Interested Rate Loan
Excise Exemption Scheme would also be one of the major features of
this udyog Aadhar, the way Aadhar is a common man’s right, this
would stand as a common industrialists right.
Exemption under Direct Tax Laws provides a great monetary support
for the institutions also, statutory support such as reservation and the
Interest on Delayed Payments Act. (It is to be noted that the Banking
Laws, Excise Law and the Direct Taxes Law have incorporated the
word MSME in their exemption notifications. States/UTs have their
own package of facilities and incentives for small scale. They relate to
development of industrial estates, tax subsidies, power tariff
subsidies, capital investment subsidies and other support.
Both the Centre and the State, whether under law or otherwise, target
their incentives and support packages generally to units registered
with them.

FAQs related to Udyog Aadhaar registration

1- Has EM-I/II been replaced by UAM?

Yes. After the notification dated 18-09-2015, filing of EM-I/II by
States/UTs should be discouraged and instead all efforts be made to
popularize the filing of UAM on the portal created by Ministry of MSME
2 What are the Documents required for MSME Certificate? How many
Shareholders can be there in a Pvt Ltd. Co.?
No documents required as such just a Soft Copy of a Valid Aadhar Card
and an Information Sheet has to be filled up and we’ll take care of the
rest.
3 Why should I apply before commencing operations?
It is advisable to get a Provisional SSI Registration Certificate (PRC)
before starting your operation in your enterprise. The PRC will work
smoothly for you and will help you out with particular NOCs and
clearances from regulatory bodies.
4. What is the support available for collateral free borrowing?
Certain trust such as Credit Guarantee Fund Trust has been set up by
Ministry of MSME, Government of India and SIDBI, so that there won’t
be any breakage in the flow of credit to the MSE sector without any
interference from the third party. The scheme is solidified on the basis
that the lender should give importance to project viability and secure the
credit facility purely on the primary security of the assets financed.
Cluster based approach to lending is intended to provide a full-service
approach to cater to the diverse needs of the MSE sector which may be
achieved through extending banking services to recognised MSE
clusters. The banks have, therefore, been advised to treat it as a thrust
area and increasingly adopt the same for SME financing. Banks are
always asked to take appropriate steps so that the flow of credit is
smoothly done to the identified clusters of micro and small entrepreneurs
from the Minorities Communities residing in the minority concentrated
districts of the country. The CGTMSE would provide cover for credit
facility up to Rs. 100 lakh which have been extended by lending
institutions without any collateral security. A nominal annual fee is
charged by the CGTMSE to avail of the guarantee cover.

5. What is credit rating and why is it mandatory?

Credit rating is an estimate to figure out the capability of an enterprise to
meet all the financial needs based on the previous year dealings.
Although credit rating is not compulsive but it is in the interest of the
MSE borrowers to get their credit rating done as it would help in credit
pricing of the loans taken by them from banks.

6. Where do I need to register on MSME Databank?

MSME Databank has facility for registration of three type of
organizations, namely:
1. MSME – this registration is for Individual MSME Units.
2. Association – this link is for registration by Industry Associations.
3. MSME Development Organizations – this link is for registration by
various organizations under Ministry of MSME, like DC-MSME,
NSIC, KVIC, Coir Board, MGIRI, NIMSME, etc.
7. Who can register with Udyog Aadhar?
Any Business can be registered under Udyog Aadhar until it fulfils the
Turnover Criteria of Udyog Aadhar registration, If Business exceeds the
prescribed turnover limit, and it has to get a company registration.
8. Can Udyog Aadhaar be used as a legal document for a company PAN
card?
Udyog Aadhar is not considered as a valid document to be used as a
legal document for getting a Pan Card. For getting a pan card for a
company you have to get company registration first from MCA Authority
and then you can apply for Pan Card in Name of the Company.
9. After registering through the Udyog Aadhaar, can I get a GST number?
Yes, you can apply for GST Registration as Udyog Aadhar certifies that
your MSME Unit is an Incorporated Entity in India. Udyog Aadhar is
treated as a registration certificate and that is why you can apply for GST
Number IF you have Udyog Aadhar Certificate.
10. For how long is an MSME Provisional Registration Certificate (PRC)
valid?
The validation of a PRC is for 5 years and if the unit is still not under
operational then you may still re-apply for it. As soon as you start with
your operations, you can easily apply for the Permanent License.

Submitted by: Hridaykrishna Motwani (GNLU)

[email protected]