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Aadhar Udyam Integrating Aadhar for MSME Registration


aadhar udyam

Aadhar-Udyam Registration: Empowering Small Businesses in India

Aadhar-Udyam Registration, a government initiative, simplifies the process for small businesses and entrepreneurs in India to register under the Micro, Small, and Medium Enterprises (MSME) sector. This integration of Aadhar with Udyam Registration aims to streamline the process by using the individual’s Aadhar number as the primary source of identity verification, thus reducing the paperwork and time required for registration.

The Aadhar-Udyam Registration Process
The process of registering a business under the Udyam Registration portal using an Aadhar number is quite straightforward:

Visit the Udyam Registration portal.
Enter the Aadhar number and the name of the entrepreneur as per the Aadhar card.
Validate the Aadhar number using the OTP sent to the linked mobile number.
Fill in the required business details such as the name, category, address, bank details, and other relevant information.
Self-declare the previous year’s turnover and other financial details.
Complete the declaration and submit the application.
On successful submission, an e-certificate, known as the ‘Udyam Registration Certificate’, is issued with a unique identification number.
Benefits of Aadhar-Udyam Registration

Ease of Doing Business: Simplifies starting and managing a business in India with minimal bureaucratic involvement.
Access to Government Benefits: Registered MSMEs can avail of various schemes and subsidies offered by the government.
Credit Facilities: Easier access to credit and eligibility for various loan schemes with lower interest rates.
Market Access: Participation in government tenders and market development assistance.
Protection against Delayed Payments: Protection under the MSMED Act for delayed payments from buyers.
Eligibility for Aadhar-Udyam Registration

Any individual who wishes to establish a micro, small, or medium enterprise can register under Udyam with their Aadhar number.
This includes service-based as well as manufacturing-based businesses.
Post-Registration Compliance
After obtaining the Udyam Registration, businesses must:

Update their information online annually regarding turnover and employee details.
Comply with other regulatory requirements such as filing GST returns and maintaining financial records.
Aadhar-Udyam Registration is a significant step toward reducing the regulatory burden on small businesses in India. It not only facilitates ease of registration and compliance but also ensures that businesses can quickly benefit from various government schemes designed to support the MSME sector. For the vast majority of small-scale business owners, this initiative represents an opportunity to integrate into the formal economy and leverage the benefits therein for growth and sustainability.,

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This article is only published for informational purposes. Please consult your Chartered Accountant or Financial Advisor before making any important financial decisions.


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Aadhar Udyam Integrating Aadhar for MSME Registration