Saturday, June 3, 2023

Udyog Aadhaar: 25 Benefits of Registering Aadhaar for your Business


Udyog Aadhaar (also known as Aadhaar for Business) is a 12-digit government identity number issued by the Ministry of MSME to small and medium-sized businesses who wish to register as MSMEs.

A sole proprietor company owner, unlike other business entities, does not have formal recognition of his business. Udyog Aadhaar is highly recommended for sole proprietors who do not have official government recognition since it allows the alone proprietor to obtain a unique identity and official registration with the Government of India, which verifies the existence of his business.

Also, Read- udyam registration

Udyog Aadhaar’s Advantages:

There are various advantages to registering your business and obtaining a Udyog Aadhaar.

The following is a list of benefits gained from the Ministry of MSME’s different initiatives for the protection, growth, and development of small businesses. The same perks are available to Udyog Aadhaar holders, and they prove to be highly beneficial.

The following are the advantages:

  • Payment protection in the event of a payment delay.
  • Disputes are resolved quickly.
  • Bank loans with no collateral
  • For participating in an international trade show, you will receive special consideration.
  • Benefits of Octroi
  • Stamp duty and registration fees are waived.
  • Several Direct Tax Laws Exemptions
  • Subsidy for barcode registration
  • NSIC Performance and Credit Rating Subsidy
  • Through CGSTI, the Government of India provides a counter-guarantee.
  • Banks’ interest rates have been reduced.
  • CLCSS scheme provides a 15% subsidy for technology upgrades.
  • When applying for government bids, there are some exemptions.
  • Electricity Bills are Reduced
  • Payment for attaining ISO certification is refunded.
  • Interest on OD is exempted by 1%.
  • For optimal reasons, the acceptable loan ceiling has been increased from Rs. 25 lakh to Rs. 50 lakh.
  • Raising the level of guarantee coverage from 75% to 80%
  • MSME/SSI reserves products for exclusive production.
  • Obtaining Licenses is easier with easier registration and approvals.
  • Eligible for IPS subsidy
  • Preference in the awarding of government contracts
  • Scheme for Excise Exemption
  • Banks’ interest rates have been reduced.
  • Patent registration is eligible for a 50% subsidy.

Some of the advantages that a Udyog Aadhaar bearer can make use of are listed above. Apart from this, the same benefits are available to Udyog Aadhaar holders if and when new schemes are established.

MSME/SSI Udyog Aadhaar Online Registration:

Step 1: Go to and fill out the form.

Step 2: Type in your unique Aadhaar number. In the event of a partnership, the Partner applying for Udyog Aadhaar must provide his Aadhaar number, while in the case of a company, the Authorized Signatory registering on the company’s behalf must provide his Aadhaar number.

Step 3: Enter the OTP obtained on the Aadhaar Card-linked phone number.

Step 4: Complete the Udyog Aadhaar Application Form.

  • Aadhaar Number 
  • Owner’s Name
  • The caste of the applicant is a social category.
  • Gender
  • Physically challenged
  • Name of Business – The name of the legal entity that will be conducting business. One applicant can have many businesses, each of which must be registered for a distinct Udyog Aadhaar with the same Aadhaar number.
  • Type of Organization – This refers to the type of legal entity or business entity.
  1. Proprietorship
  1. Firm of Partnership
  1. Undivided Hindu Family
  1. Limited Liability Corporation (LLC)
  1. Co-Operative
  1. Limited Liability Corporation (LLC)
  1. Self-Help Organization
  1. Others are (Limited Liability Partnerships)
  • PAN Numbers are required for LLPs, corporations, and cooperative societies. The rest is optional.
  • Plant’s Location
  • Official Address – The business’s address, which includes a phone number and an email address.
  • Date of Inception – The date on which a business was established.
  • Previous MSME/SSI Registration Details – If relevant, details from a previous MSME/SSI registration should be entered here.
  • Bank Account Information – Information about the company’s bank account, including the IFSC code and account number.
  • Major Activity – A business’s main area of activity, such as production or service.
  • NIC Code – Use the National Industrial Classification (NIC) manual to find the relevant NIC Code. It can be found here.

The entire number of individuals employed in the firm is referred to as “a person employed.”

  • Investment in Plant & Machinery / Equipment – The amount of money spent by the company on machinery and equipment.
  • Information about the District Industry Center is closest to your business.

Step 5: When you’ve finished filling out all of the fields, click Submit.

Step 6: Enter the OTP sent to the Aadhaar-linked phone number.

Step 7: To complete the submission, enter the code on the screen.

Recommended Read- NIC code for kirana shop

What is the procedure for editing or updating your Udyog Aadhaar number?

If you need to change the information on your existing Udyog Aadhaar number, please follow the steps below:

Step 1: Go to udyam registration portal and click on the link.

Step 2: Put your Udyog Aadhaar number in the box.

Step 3: Submit the form after entering the verification code.

Step 4: Enter the one-time password (OTP) sent to your Aadhaar-linked phone number.

Step 5: Make any necessary changes and submit the form.

As you can see, there are multiple advantages to acquiring a Udyog Aadhaar for your business, and the registration process is fairly straightforward, so you may do it yourself even if you have no prior experience.



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