Small and medium-sized firms can register as MSMEs using Udyog Aadhaar, also referred to as Aadhaar for Business, a unique 12-digit government identification number provided by the Ministry of MSME.
The Government Of India does not approve a sole proprietor’s business. Udyog Aadhaar enables a sole proprietor to receive a distinct identity and official registration with the Government of India, which validates the existence of his business.
Is the Udyog Adhaar card compulsory?
Even though the Supreme Court has not yet added Udyog Aadhar to its list of requirements, it is still necessary. To be recognized as an MSME or register as a new MSME business is an essential step. Additionally, registration with a Udyog Aadhaar might benefit greatly.
All businesses categorized as micro businesses under this Act have an investment minimum of 1 crore INR and a turnover limit of up to 5 lakh INR. Small enterprises have yearly revenues between Rs. 5 lakh and Rs.50 crore or investments between Rs. 1 lakh and Rs. 10 crores. The maximum allowable turnover or investment for medium-sized firms is 100 crore INR.
Without it, new businesses would not be able to utilize Udyog Aadhar benefits. Therefore, completing the Udyog Aadhar registration is preferred. It is, therefore, preferable to complete the Udyog Aadhar registration.
How to apply for Udyog Adhaar Registration?
The registration process for obtaining a Udyog Aadhaar is simple. For the registration, you do not need to get the form attested by any professional. The Government has not imposed any registration charges.
You need to follow the given below steps to do it yourself.
Udhyog Adhaar Card MSME/SSI online registration
Step1: Visit the official website- https://bit.ly/UdyogAadhaarregistration
Step 2: Enter your Aadhaar number. In case of a partnership, the Partner applying Udyog Aadhaar shall give his Aadhaar number. In the case of a company, the Authorized signatory shall submit his Aadhaar number.
Step 3: Enter the OTP received on the number linked with Aadhaar Card.
Step 4: Fill out the Udyog Aadhaar Form,
(Name of Enterprise– Name of the legal entity to conduct business. One applicant can have more than one enterprise doing business and register for a separate Udyog Aadhaar with the same Aadhaar Number.)
· PAN Number- Mandatory for LLP, Company, and Co-operative Society. Optional for the rest.
· Location of Plant
· Official Address– Address of the business, mobile number, and email address.
· Date of Commencement– The date on which the business started.
· Previous Registration Details– any prior MSME/SSI registration, if appropriate.
· Bank Details– IFSC Code and Bank Account number of the company.
· Activity– Manufacturing or services that the company does.
· NIC Code– NIC Code entered from the National Industrial Classification (NIC) handbook.
· The person employed– number of people working in the business.
· Investment in Plant & Machinery / Equipment– Amount of money invested in machinery and equipment by the business.
· Details of the District Industry Center nearest to the business
Step 5: Once you have filled out all the details, click on submit.
Step 6: Enter the OTP received on the number linked with Aadhaar.
Step 7: Enter the code on the screen for final submission.
What Are the Benefits of Udyog Aadhaar for Small Businesses?
The growth of the Indian economy depends heavily on the micro, small, and medium-sized businesses there. By FY-2025, the MSMEs’ share in India’s GDP will increase to 40%, according to the All India Management Association (AIMA). The Indian Government established the Udhyog Aadhar Facility to aid in the growth of MSMEs while also recognizing their relevance.
A specific identifying system for these firms has been introduced, called Udyog Adhar. This facility was introduced in 2015 by the Ministry of Micro, Small, and Medium Enterprises. Similar to the Adhar card, Udyog Adhar is a certificate with a 12-digit registration number.