The Ministry of Micro, Small and Medium Enterprises, in collaboration with the Government of India, established the Udyog Aadhar concept. The main goal of this plan was to make it easier for Micro, Small, and Medium Enterprises to register. This blog will go over the Udyog Aadhar Registration Fees and Process.
Udyog Aadhar is a concept
Any company that wishes to register as an MSME in India must first obtain Udyog Aadhar Registration. Each business that registers receives a twelve-digit unique identification number as well as a certificate of registration.
Additionally, any business entity can obtain this registration by submitting a form on the official website. As instances of “any commercial entity,” consider the following:
- Firm with a sole proprietorship;
- Undivided Hindu Family;
- a one-person business;
- Firm of Partnership;
- Limited Liability Corporation (LLC);
- Society of Cooperation;
- Persons’ Association.
Enterprises must, however, review the MSMED Act, 2006’s conditions before filing for Udyog Aadhar Registration.
Furthermore, there are no government-mandated Udyog Aadhar Registration Fees. That is to say, the procedure of registering is absolutely free.
Registration of Udyog Aadhar is required
The MSME sector in India serves as a cornerstone for the country’s economic growth and development. This industry employs more than 42.5 million people. Furthermore, this industry accounts for more than half of the country’s overall industrial output.
As a result, the MSME Ministry, in collaboration with the Central Government, launched the Udyog Aadhar Registration to aid this sector’s efforts. The primary goal of the registration is to encourage growth and provide benefits to the businesses who are registered.
Another factor was the amount of paperwork and documents required for MSME registration. In addition, the firm owner was required to seek both MSME and Small Industry status.
Memorandum on Udyog Aadhar
It is a one-page self-certification form on which an applicant reveals all business-related information. The phrase “information” refers to the existence of the entity, its bank account number and data, the applicant’s personal information, and so on.
The government has also waived the charge for the Udyog Aadhar Memorandum. An acknowledgement will be sent to the registered email address after the form is submitted. The Unique Aadhar Number will also be included in this acknowledgement (UAN).
The filing of an Udyog Aadhar Memorandum is not required for firms registered prior to the MSMED Act of 2006. Small-scale registration, or Entrepreneurship Memorandum I or Entrepreneurship Memorandum II, is required for such organizations.
Udyog Aadhar MSME Registration Benefits
The following are the advantages of having an Udyog Aadhar in India:
- Assists in obtaining a bank loan without the need of a mortgage or collateral;
- Exempts direct taxes from taxation;
- Interest Rates are Reduced;
- Patent registration is granted with a 50% grant;
- ISO Certification Reimbursement;
- Obtaining a licence and approvals is a simple process.
- Provides electricity at a reduced rate;
- Government Subsidies are available;
- Opening current bank accounts is simple;
- Barcode Registration Subsidies;
- Policies on Subsidies in the Manufacturing and Production Sectors;
- Under the Package Scheme of Incentive, 1993, it provides Octroi Benefits;
- Provides protection from late payments;
- Provides NSIC Performance and Credit Ratings Subsidies;
- The CGSE Scheme provides coverage.
Important Points to Remember When Registering for Udyog Aadhar
The following are the considerations for Udyog Aadhar Registration Fees and Process in India:
- “Udyam” will be the name of the company that applies for registration.
- “Udyam Registration Portal” will be the name of the Udyog Aadhar Registration Portal.”
- After registration, the entity will be assigned a unique identification number.
- The registered entity will receive an online Certificate of Registration.
- The Certificate of Registration will include a QR code that can be used to quickly access the data of the registered business on the official website.
- The registration certificate is good for a lifetime. That means you won’t have to apply for a renewal of your registration.
- There are no registration fees for Udyog Aadhar. That is to say, the registration process is completely free.
Documents Required for MSME Registration with Udyog Aadhar
The following are the documents necessary for Udyog Aadhar Registration:
- Applicant’s name and Aadhar number;
- Social Category Certificates, such as OBC, SC, and ST;
- Name of the Company;
- The Entity’s Business Nature;
- Proof of the Company’s Address;
- The company’s information and bank account number;
- Total number of employees;
- Applicant’s phone number and email address;
- The company’s PAN and total investments.
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