What are the different ways to apply for a Udhyog Aadhar?

How do we cancel Udyog Aadhar Registration?| CA Rajput Jain

Udhyog Aadhar Registration (UAM) is one of the Government of India’s pro-business initiatives. It is a step towards improving the ease of doing business in India. It has multiple benefits for micro, small, and medium enterprises (MSMEs). Once an enterprise has successfully registered for Udhyog Aadhar, it gets access to numerous government-related schemes and benefits, including various subsidies and priority treatments.


Post the MSME Development Act, 2006, came into existence, the registration process for the MSMEs needed two forms to be completed. These were the Entrepreneurs Memorandum I (EM I) and Entrepreneurs Memorandum II (EM II). The purpose of EM I was for upcoming firms, while EM II was required to be completed even by the current enterprises. As a next step, EM II was required to be submitted with the District Industries Centre (DIC) with the respective government body in the state or UT as soon as the project starts.

The Ministry of MSME has introduced the Udyog Aadhaar registration to simplify the process. Its key benefits include:

  1. Post getting an Udhyog Aadhar, the enterprise can avail of plenty of benefits like access to higher credit & hassle-free loans, rebates on patents, or ISO certifications.
  2. Various government schemes such as business loans, favorable (subsidized) business loan interest rates, better business loan eligibility, and priority lending.
  3. Along with the ease of access to capital, the government also supports MSMEs financially to participate in international exhibitions as a part of the market development assistance scheme (MDA).
  4. Technology support and income tax exemptions. 
  5. Not just the access to capital for new business, an Udhyog Aadhar number helps quickly get a current bank account as wel.l

Now that it is clear that there are various benefits of registering an enterprise for Udhyog Aadhar let us explore what are the different ways to apply for an Udhyog Aadhar.

At present, MSMEs either have to migrate to Udyam Registration or new enterprises post 31st December 2021 have to register on the Udyam portal only. Udhyog Aadhar Memorandum (UAM) is invalid post 31/12/21. This means the Udyam portal is the single place for online registration for Udhyog Aadhar. 

Once on the Udyam portal, you will need the following documents to complete the registration process.

Name of Owner/PromoterSame as that in the Aadhaar Card.
AddressOfficial address including contact numbers and email address and pin code for communication.
CategoryGeneral / Scheduled Tribe (ST) / Scheduled Caste (SC) / Other Backward Castes (OBC)
Aadhaar NumberIt should be the Aadhaar number of the managing partner in case of proprietary firm / the authorized partner for a partnership firm /  the authorized person for other forms of firms.
Bank DetailsThe banker to the company and its banking details.
Type of OrganizationThis detail gets printed on the certificate, therefore it must be selected with caution. Options include- Proprietorship, Partnership Firm, Hindu Undivided Family, Private Limited Company, Co-Operative, Public Limited Company, Self Help Group, LLP, Others.
Business NameTo mention the company name under which the day-to-day business operations will be conducted. An applicant could have more than one firm and all of them could be registered as separate businesses with the same applicant Aadhaar number, to obtain separate Udyog Aadhaar.
Date of CommencementThe start date of the business operations.
Previous Registration Details (if any)Details of any earlier MSME registration.
Key ActivityDetails of the main activity of the business – service, manufacturing, or trading.
Any other detailsAny additional details about the company.
Number of persons employedThe number of employees in the business with male/female categorization. 

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