Udyog Aadhar: What is it, and how can you get one?

Udyog Aadhar is a Unique Identification Number issued by the Ministry of Micro, Small and Medium Enterprises to the MSMEs. Simply put, it is an identification system for business, similar to the 12-digit Aadhar number. It is also called MSME registration.

The Government of India (GOI) began the concept of the Udyog Aadhar Certificate. 

Udyog Aadhar is highly recommended for sole proprietors since it helps them get an official registration with the GOI, which in turn validates their business existence. One of the main objectives of the GOI is to extend the benefits of various government schemes on one platform to the MSMEs besides safeguarding them from financial harassment in the hands of big industries.

As an MSME, there are numerous benefits that you can avail yourself of through Udyog Aadhar registration.

• Faster dispute resolution

• Protection against payment delays

• Collateral-free loans 

• Exemption in direct tax

• Concession in bills like electricity

• Barcode registration subsidy

• Subsidy on barcode registration

• 50% grant on patent registration

These benefits are significant for MSMEs considering the scale they operate on. They help the MSMEs in accessing capital and thereby enjoying government aid. As an MSME, one can integrate these benefits with lucrative business loans, thereby enjoying significant business improvements. 

Udyog Aadhar Memorandum

The registration form certifying the existence of the owner of the Udyog Aadhar Certificate (UAC) is known as Udyog Aadhar Memorandum. This Memorandum entails all the vital information about the UAC owner. It is a self-declaration form; therefore, other supporting documents are not required. However, in extreme cases, the state or the central authorities may ask for additional documents as proof.

How to register for the Udyog Aadhar?

Before you begin the application process, please keep the below documents handy.

• Personal Aadhar number

• Category of the applicant

• Name of the owner and character of the business

• Type of organisation 

• Bank Details

• National Industrial Classification Code

• Number of people employed at your company

• District Industry Centre Detail

• Date of Commencement

Once you have these documents ready, you can begin the application process. The process of registering for Udyog Aadhar is straightforward. You do not have to pay any fee to the Government for it. The Udyog Aadhar registration process is now called Udyam aadhar registration w.e.f. 1st July 2020. Follow these simple steps to secure the Aadhar yourself: -

1. Visit the 

   Udyam Registration Portal.

    Enter your 12-digit unique aadhar number. If you have a partnership business, your partner will also need to register by using his aadhar number. If it is a company, the application must be filed by the authorised signatory.

2. Once you check the boxes, you must validate the details through an OTP.

3. Upon successful verification through the OTP, you will be redirected to the Udyog Aadhar form. 

4. Fill out the Udyog Aadhar form. Recheck the details to avoid any errors. 

5. Scroll down to the bottom and click submit

6. You will receive another OTP on your aadhar-linked mobile number.

7. Enter the OTP and click on the final submit button

8. Your application is now submitted.

The Udyog aadhar is a tremendous boost for MSMEs in the country. Earlier, if you wished to start a business as an MSME, you must go through a humongous amount of paperwork. Udyog Aadhar has simplified the process to a considerable extent. MSMEs have been getting many benefits after getting registered via Udyog Aadhar. If you have not registered at the UAM portal yet, register yourself under the Udyam Portal today!