Previously, businesses had to go through a time-consuming bureaucratic process to register as a Micro Small Medium Enterprise (MSME). The Udyog Aadhar scheme, now known as Udyam Registration, has made this process easier by leaps and bounds.
What is Udyog Aadhaar?
MSMEs are the backbone of our country’s economy. This is why the Indian Government offers a host of subsidies and incentives to promote them through the MSMED Act (2006). To avail these benefits, a business must have an MSME registration. This is where Udyog Aadhar or Udyam Registration comes in.
To facilitate the efforts of MSME enterprises, the ministry of the Micro, Small and Medium Enterprises along with the Government, had launched the Udyog Aadhar facility. The Udyog Aadhaar or the Udyam Registration is an identification system that is specifically for businesses. Udyam Registration is a Government registration that comes with a recognition certificate and a unique number, certifying your business as a micro, small, and medium business and thus allowing you to enjoy certain benefits.
Who should apply for Udyog Aadhar online?
Enterprises such as One-Person Company, Partnership Firm, Limited Liability Partnership Company, Private Limited Company, or any other association can apply for Udyog Aadhaar or Udyam registration. But, one thing should be remembered that businesses that are in manufacturing, producing, providing services, or processing goods only are eligible for Udyam registration.
Furthermore, your business enterprise also has to satisfy set standards to be classified as an MSME. Therefore, before applying for Udyog Aadhar online or Udyam registration, check whether your business fits the eligibility criteria.
Enterprises are classified based on their investment in plant and machinery or equipment.
||Up to Rs.1 crore
||Up to Rs.5 crore
||Up to Rs.10 crore
||Up to Rs.50 crore
||Up to Rs.50 crore
||Up to Rs. 250 crore
The process of Udyog Aadhar online or Udyam Registration is based on self-declaration. No fee is charged for an MSME Registration. The process doesn’t require you to submit any papers; only your Adhaar Number is required.
Benefits of Udyog Aadhaar or Udyam Registration
By obtaining Udyam Registration, your business can enjoy a host of benefits, such as.
- Several tax exemptions under direct tax laws
- Easy access to loans without collateral that too at subsidised rates and lower business loan interest rates.
- Access to exclusive government subsidies and any other government provisions for businesses.
- Reduction in fee for filing trademarks and patents registration.
- Help in getting Government tenders.
When you pair the Udyam Registration benefits with a business loan , you can bring about even more significant business growth. An unsecured business loan can offer you funds for all your business requirements, whether you want to upgrade your machinery or invest in new business infrastructure. If you are an MSME business owner, our MSME/SME business loan can give your enterprise a much-needed boost.
To apply for a loan, first, check your business loan eligibility and the documents required. Once you fit the business loan eligibility criteria, you can fill our hassle-free application and enjoy quick approval on your business loan.