The Udyog Aadhaar Card was an initiative launched by the Ministry of Micro, Small, and Medium Enterprises (MSME) to simplify the process of business registration for small and medium enterprises in India. Though this system has been replaced by Udyam Registration, the process of applying for a Udyog Aadhaar card remains a useful reference for those who had registered under the older system or want to understand how business registration worked in a simplified way.
Join WhatsApp GroupHere’s a detailed, step-by-step guide on how to apply for a Udyog Aadhaar card.
Step 1: Gather the Required Information
Before starting the application process, it was important to collect all necessary information. Since the registration was based on self-declaration, no physical documents were needed to be submitted. However, the applicant needed the following details
- Aadhaar number of the business owner or proprietor
- Name of the applicant as per Aadhaar
- Business name
- Type of organization (e.g., proprietorship, partnership, private limited company)
- Business location and address
- Date of commencement of the business
- Bank account number and IFSC code
- National Industry Classification (NIC) code for business activity
- Investment in plant, machinery, or equipment
- Number of employees
- Mobile number and email ID
This information was used to complete the registration form and get official recognition from the government as a Micro, Small, or Medium Enterprise (MSME).
Step 2: Aadhaar Verification
The first step in the application involved entering the Aadhaar number of the applicant. Since Aadhaar was mandatory for Udyog Aadhaar registration, only those whose Aadhaar was linked with a mobile number could proceed.
After entering the Aadhaar number and name, a One-Time Password (OTP) was sent to the mobile number registered with Aadhaar. Once the OTP was successfully verified, the applicant could continue filling out the rest of the form.
Step 3: Fill Out the Udyog Aadhaar Form
After Aadhaar authentication, the main part of the application involved entering all the business details. This included:
- Name of the enterprise
- Type of organization, such as sole proprietorship, partnership, or private limited company
- PAN number (which was optional during the Udyog Aadhaar phase but is now mandatory under Udyam)
- Business address and contact information
- Official email ID and mobile number
The applicant also had to declare the main business activity, choosing whether the enterprise was primarily in manufacturing, services, or both. Based on this, the appropriate NIC codes were selected to describe the type of business activities carried out.
Next, the applicant would enter the number of employees in the organization and the investment made in plant and machinery or equipment, depending on the nature of the business.
Step 4: Submission and Udyog Aadhaar Number Generation
Once all the required details were entered, the applicant reviewed the information and clicked the final submission button. A second OTP was sent to the registered mobile number to confirm the final submission.
After successful submission, the system generated a unique 12-digit Udyog Aadhaar Number (UAN). This number served as an official MSME identity for the business. The applicant also received a Udyog Aadhaar Memorandum (UAM) certificate, which could be used as proof of registration with the Ministry of MSME.
Benefits of Udyog Aadhaar Registration
Registering under Udyog Aadhaar provided several advantages:
- Eligibility for MSME subsidies and schemes
- Easy access to bank loans and credit facilities
- Priority in government tenders
- Protection against delayed payments
- Support for technology upgrades and certifications
Transition to Udyam Registration
While the Udyog Aadhaar system simplified business registration for thousands of enterprises, it was eventually replaced by a more advanced system known as Udyam Registration. Businesses previously registered under Udyog Aadhaar were required to migrate to Udyam to continue receiving MSME benefits.
In conclusion, applying for a Udyog Aadhaar card was a straightforward, paperless process designed to bring India’s small businesses into the formal economy. It empowered business owners with a recognized identity and opened doors to numerous growth opportunities through government support and financial inclusion.
